Wynn Resorts walks away from proposed Crown Resorts takeover
In an abrupt turn of events, Wynn Resorts has abandoned plans to take over James Packer’s Crown Resorts after news of the potential deal was leaked to the press.
The confidential talks on the deal, reported to have been worth US$7.1 billion ($10 billion), were confirmed by Crown on Tuesday sending its shares higher. However, the public nature of the announcement scared Wynn off immediately.
“Following the premature disclosure of preliminary discussions, Wynn Resorts has terminated all discussions with Crown Resorts concerning any transaction,” Las Vegas-based Wynn said on Tuesday.
Crown shares rose nearly 20 per cent on news of the takeover talks on Tuesday but fell back down by 9.1 per cent on Wednesday to end the day trading at $12.77.
The deal would have seen Packer pocket a $US4.7 billion payout.
Sheridan Randall, 11th April 2019
