Packer Agrees To Follow Board Decision On Blackstone Bid

James Packer the largest shareholder of Crown Resorts the Australian casino operator has stated he will go with the Board’s decision on the offer from US equity firm Blackstone.

Blackstone have tabled an offer of $6.2 billion for the troubled casino operator that has seen its application for a casino license in their new $2 billion development in Sydney rejected because of internal regulatory failings and also the operator is under license review for its two other resorts in Perth and Melbourne.

Many observers see the offer from Blackstone who also own the US resorts MGM Grand, the Mandalay Bay and the Bellagio as an opportunity to restart their business with a clean slate and possibly apply with new ownership for a license in Sydney.

With Packer agreeing to stand by the decision of the Crown Resorts decision he has in essence moved away from negotiating any separate deal with Blackstone for his shares and putting pressure on the Crown Resorts Board to follow suit.

This analysts believe could be a move to make Blackstone increase their bid for the ailing casino operator that many see as a low valuation still for the business.