The Nevada Gaming Commission Approves Buyouts

The meeting that was held in Las Vegas involved the Nevada Gaming Commissioners who were in full agreement to sell off Eldorado’s acquisition of Circus Reno and the other remaining part of the Silver Legacy from MGM Resorts. Many gaming regulators were highly pleased with this move as they termed it as a boost to the Northern Nevada gaming market. The deal that had been previously announced in July was finally approved by the Commissioners from Gaming control board on November 5.Derek Steven’s desire to purchase the remaining 35 percent of the Golden Gate owned by Mark Brandenburg also materialized in the same meeting. The downtown Las Vegas, which was founded by Mark Brandenburg’s family, was sold at an undisclosed price by the commission..The regulators also approved the buyout of a 10 percent stake of the Los Angeles-based SBE Entertainment. The approval indicated that SLS Las Vegas, which owns the Stockbridge Capital Partners to have a ten percent stake in the property of Sam Nazarian, who the owner of SBE Entertainment is.The Eldorado deal was announced in back in July, which involved MGM. The company will now acquire full ownership of the three resorts, Eldorado, Silver Legacy and Circus Reno s in downtown Reno. It will also control a 32 percent of all the hotel rooms. However, the Eldorado Chief Executive, Tom Reed indicated the properties will be operated by one entity.

The Gaming Commission chairman Tony Alamo Jr, who was present at the meeting, congratulated Mr. Reed terming the decision a very good thing for the gaming community.

What Eldorado is doing is that the company is trying to make a huge impact in the economic boom that is currently being felt in Reno. Nowadays, Reno collects 3.3percent of its total revenues from Gaming, and Mr. Reed is confident that investing in Reno will increase the company’s revenue by a quarter of Eldorado’s annual cash flows.

The golden gate acquisition that took few minutes to approve was also widely lauded by many with Stevens saying that the deal was a transfer of the interest in him and Brandenburg, and it is why the sales price was not disclosed. The Golden is an old company that started in 1906 and had over 120 hotel rooms in Las Vegas.

Stockbridge, which is based in San Francisco Los Angeles, will have to pay a licensing fee for SBE for the SLS name the deal will then be tabled at the Nevada Gaming Commission for scrutiny and approval. SLS has been involved several buyouts with the conspicuous one being the purchase and renovation of Sahara, which had been closed down in 2011 due to continuous losses. The company is now making huge profits from Sahara, which now has over 200 hotel rooms.