Resorts World Catskills To Be Sold to Genting Malaysia
Recently updated on November 28th, 2019
Resorts World Catskills know New York seems to be going ahead with a move to privatize the company. If you remember earlier this year, we had a story about one of the shareholders of Resorts World Catskills who filed a lawsuit trying to stop the sale of the casino resort. David Mullen the disgruntled shareholder will be losing his fight to stop the sale of Resorts World Catskills to immolation gaming giant. Empire resorts which is the parent company of cat s skills in New York is going full steam ahead and is ready to sign the paperwork between itself and Genting Malaysia. Most of the minority shareholders seem to be backing this move as a way to save the Investment possibly. It seems Empire resorts is not having a good financial year they have been embattled since last year with a number of resorts being sold or going bankrupt. They might be trying to avoid the same fate for Resorts World Catskills in New York.
How Much Resorts World Catskills Is Being Sold For?
The Malaysian gaming Giants Genting Malaysia is paying his rumoured to be paying close to $130 million for Resorts World Catskills New York. They have only been waiting for approval from all the shareholders. And now that bankruptcy seems imminent shareholders rejected any bankruptcy protection which may have affected their pockets. This was great news for Empire resorts because it paved the way for the deal to be finalized. Basically, Genting Malaysia shareholders will own 49% of the casino resort while the other 51% goes to the chairman of Genting Malaysia via his trust fund – Kien Huat Realty III trust.
Although the sale seems to be going through the sale price of each share of Resorts World Catskills which is just under $10 has not been taken well by most shareholders. And shares expected to go for $9.74. At first it was just David Mullen who launched the initial lawsuit protesting the share price which he thought was unfair to the shareholders and only served Empire resorts. Now they are more lawsuits which have followed and have been submitted accusing Empire resorts board of directors for only looking out for their own interest and undercutting the value of the shareholders’ interests. They are pulling evidence from previous suggested sales where they could have got almost $20 per share yet Empire resorts did not work to finalize that deal.
We expect more lawsuits and protests around the sale. However, it seems that empire resorts and Genting Malaysia have already made it till and nothing will stop them. We will keep you updated with any more developments in this story. Otherwise you can enjoy other United States casino news stories in our blogs.