STOCK TITAN

Caesars Entertainment, Inc. Announces Proposed Offering of Senior Notes

Rhea-AI Impact
(Low)
Rhea-AI Sentiment
(Neutral)
Tags

Caesars Entertainment, Inc. (NASDAQ: CZR) has announced its intention to offer $1,000.0 million aggregate principal amount of senior notes due 2032 in a private placement. The offering is subject to market and other conditions and will be made to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S of the Securities Act.

The company plans to use the proceeds to tender, redeem or repurchase a portion of its existing 8.125% Senior Notes due 2027 and to pay associated fees and expenses. The new notes will not be registered under the Securities Act and may only be offered or sold in the U.S. under exemption from registration requirements.

Caesars Entertainment, Inc. (NASDAQ: CZR) ha annunciato la sua intenzione di offrire 1.000,0 milioni di dollari di importo principale aggregato di note senior scadenza 2032 in un collocamento privato. L'offerta è soggetta a condizioni di mercato e ad altre condizioni e sarà rivolta a investitori istituzionali qualificati ai sensi della Regola 144A e a non persone statunitensi ai sensi della Regolamentazione S del Securities Act.

L'azienda prevede di utilizzare i proventi per offrire, ritirare o riacquistare una parte delle sue esistenti Note Senior all'8,125% scadenza 2027 e per pagare le spese e le commissioni associate. Le nuove note non saranno registrate ai sensi del Securities Act e possono essere offerte o vendute negli Stati Uniti solo in base a un'esenzione dai requisiti di registrazione.

Caesars Entertainment, Inc. (NASDAQ: CZR) ha anunciado su intención de ofrecer 1.000,0 millones de dólares en cantidad principal agregada de notas senior con vencimiento en 2032 en una colocación privada. La oferta está sujeta a condiciones del mercado y otras condiciones y se realizará a compradores institucionales calificados bajo la Regla 144A y a personas no estadounidenses bajo la Regulación S del Securities Act.

La empresa planea utilizar los ingresos para ofertar, canjear o recomprar una parte de sus notas senior existentes al 8,125% con vencimiento en 2027 y para pagar las tarifas y gastos asociados. Las nuevas notas no se registrarán bajo el Securities Act y solo se podrán ofrecer o vender en EE. UU. bajo una exención de los requisitos de registro.

Caesars Entertainment, Inc. (NASDAQ: CZR)는 2032년 만기의 총 10억 달러 규모의 시니어 노트를 개인 배급 형태로 제공할 계획을 발표했습니다. 이 제안은 시장 및 기타 조건에 따라 달라지며, 144A 규칙에 따라 자격을 갖춘 기관 투자자를 대상으로, 그리고 미국 외의 개인에게는 증권법에 따른 S 규정에 따라 진행됩니다.

회사는 수익금을 기존 2027년 만기 8.125% 시니어 노트의 일부를 Tender, 상환 또는 재매입하는 데 사용할 계획이며, 관련 수수료와 경비를 지급합니다. 새로운 노트는 증권법에 따라 등록되지 않으며, 미국 내에서 등록 요건 면제를 통해서만 제공되거나 판매될 수 있습니다.

Caesars Entertainment, Inc. (NASDAQ: CZR) a annoncé son intention de proposer 1.000,0 millions de dollars d'un montant principal global d'obligations senior arrivant à échéance en 2032 dans le cadre d'un placement privé. L'offre est soumise aux conditions du marché et à d'autres conditions et sera faite à des acheteurs institutionnels qualifiés conformément à la règle 144A et à des personnes non américaines conformément à la réglementation S de la loi sur les valeurs mobilières.

L'entreprise prévoit d'utiliser les produits pour acheter, racheter ou rembourser une partie de ses obligations senior existantes à 8,125% échéant en 2027 et pour payer les frais et dépenses associés. Les nouvelles obligations ne seront pas enregistrées en vertu de la loi sur les valeurs mobilières et ne pourront être offertes ou vendues aux États-Unis que dans le cadre d'une exemption des exigences d'enregistrement.

Caesars Entertainment, Inc. (NASDAQ: CZR) hat die Absicht angekündigt, 1.000,0 Millionen US-Dollar an aggregiertem Hauptbetrag von unbesicherten Anleihen mit Fälligkeit 2032 in einer Privatplatzierung anzubieten. Das Angebot unterliegt Markt- und anderen Bedingungen und wird an qualifizierte institutionelle Käufer gemäß Regel 144A sowie an Personen außerhalb der USA gemäß Regulierung S des Securities Act gerichtet.

Das Unternehmen plant die Einnahmen zu verwenden, um einen Teil seiner bestehenden 8,125% Senior Notes mit Fälligkeit 2027 anzubieten, zurückzukaufen oder einzulösen und um damit verbundene Gebühren und Kosten zu decken. Die neuen Anleihen werden nicht unter dem Securities Act registriert und dürfen in den USA nur aufgrund einer Ausnahme von den Registrierungsvoraussetzungen angeboten oder verkauft werden.

Positive
  • Potential refinancing of existing debt with new senior notes
  • Possible reduction in interest expenses if new notes have lower interest rate
  • Strengthening of capital structure through debt management
Negative
  • Increase in total debt by $1 billion
  • Potential dilution of existing shareholders' value
  • Dependency on market conditions for successful offering

Insights

Caesars Entertainment's proposed $1 billion senior notes offering is a significant financial move aimed at restructuring its debt profile. By targeting the redemption of its 8.125% Senior Notes due 2027, the company is likely seeking to reduce its interest expenses and extend its debt maturity profile. This could potentially improve Caesars' financial flexibility and cash flow in the medium term.

The offering to qualified institutional buyers under Rule 144A suggests a strategic approach to tap into a sophisticated investor base, potentially securing more favorable terms. However, investors should note that this private placement means reduced liquidity compared to publicly traded securities.

While the exact pricing of the new notes isn't disclosed, if secured at a lower interest rate than the 8.125% notes being redeemed, it could result in substantial interest savings for Caesars. This move aligns with broader industry trends of companies taking advantage of the current interest rate environment to optimize their capital structures.

This debt refinancing initiative by Caesars Entertainment reflects a proactive approach to capital management in the highly competitive and capital-intensive casino industry. The timing of this offering is crucial, as it comes when the gaming sector is rebounding from pandemic-related disruptions.

Investors should consider how this move might impact Caesars' financial ratios and credit ratings. A successful refinancing could potentially improve the company's debt-to-EBITDA ratio and interest coverage ratio, which are key metrics for evaluating the financial health of gaming companies.

Moreover, this offering could signal management's confidence in the company's future cash flows and ability to service debt. It's worth monitoring how this refinancing affects Caesars' overall financial strategy and its ability to invest in growth opportunities or return capital to shareholders in the future.

LAS VEGAS & RENO, Nev.--(BUSINESS WIRE)-- Caesars Entertainment, Inc. (NASDAQ: CZR) (the “Company”) today announced that the Company intends to offer, subject to market and other conditions, $1,000.0 million aggregate principal amount of senior notes due 2032 (the “Notes”) in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and to persons outside the United States under Regulation S of the Securities Act.

The Company intends to use the proceeds of the offering of the Notes to (i) tender, redeem or repurchase (the “2027 Notes Redemption”) a portion of the Company’s existing 8.125% Senior Notes due 2027 and (ii) to pay fees and expenses in connection with the offering of the Notes and the 2027 Notes Redemption.

The Notes will be offered to persons reasonably believed to be qualified institutional buyers under Rule 144A of the Securities Act and to persons outside the United States under Regulation S of the Securities Act. The Notes will not be registered under the Securities Act, and, unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Forward-looking Statements

This announcement includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include statements regarding our strategies, objectives and plans for future development or acquisitions of properties or operations, as well as expectations, future operating results, trends and other information that is not historical information. When used in this report, the terms or phrases such as “anticipates,” “believes,” “projects,” “plans,” “intends,” “expects,” “might,” “may,” “estimates,” “could,” “should,” “would,” “will likely continue,” and variations of such words or similar expressions are intended to identify forward-looking statements. Specifically, forward-looking statements may include, among others, statements concerning the offering or the expected use of proceeds thereof. Such statements are all subject to risks, uncertainties and changes in circumstances that could significantly affect the future results and business of the Company (“we,” “us,” “our” or other similar terms).

Any forward-looking statements are based upon underlying assumptions, including any assumptions mentioned with the specific statements, as of the date such statements were made. Such assumptions are in turn based upon internal estimates and analyses of market conditions and trends, management plans and strategies, economic conditions and other factors. Such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond our control, and are subject to change. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend upon future circumstances that may not occur. Actual results and trends may differ materially from any future results, trends, performance or achievements expressed or implied by such statements. Forward-looking statements speak only as of the date they are made, and we assume no duty to update forward-looking statements. Forward-looking statements should not be regarded as a representation by us or any other person that the forward-looking statements will be achieved. Undue reliance should not be placed on any forward-looking statements. Some of the contingencies and uncertainties to which any forward-looking statement contained herein are subject include, but are not limited to, the following: (a) the impact of economic trends, inflation, public health emergencies, terrorist attacks and other acts of war or hostility, work stoppages and other labor problems, and other economic and market conditions, including reductions in discretionary consumer spending as a result of downturns in the economy and other factors outside our control, on our business, financial results and liquidity; (b) the impact of future cybersecurity breaches on our business, financial conditions and results of operations; (c) our ability to successfully operate our digital betting and iGaming platform and expand its user base; (d) risks associated with our leverage and our ability to reduce our leverage; (e) the effects of competition, including new competition in certain of our markets, on our business and results of operations; and (f) additional factors discussed in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K as filed with the Securities and Exchange Commission.

In light of these and other risks, uncertainties and assumptions, the forward-looking events discussed in this press release might not occur. These forward-looking statements speak only as of the date of this press release, even if subsequently made available on our website or otherwise, and we do not intend to update publicly any forward-looking statement to reflect events or circumstances that occur after the date on which the statement is made, except as may be required by law.

Investor Relations:

Brian Agnew, bagnew@caesars.com;

Charise Crumbley, ccrumbley@caesars.com

800-318-0047

Media Relations:

Kate Whiteley, kwhiteley@caesars.com

Source: Caesars Entertainment, Inc.

FAQ

What is the size of Caesars Entertainment's (CZR) proposed senior notes offering?

Caesars Entertainment (CZR) intends to offer $1,000.0 million aggregate principal amount of senior notes due 2032.

How does Caesars Entertainment (CZR) plan to use the proceeds from the senior notes offering?

CZR plans to use the proceeds to tender, redeem or repurchase a portion of its existing 8.125% Senior Notes due 2027 and to pay fees and expenses related to the offering and redemption.

Who are the target investors for Caesars Entertainment's (CZR) senior notes offering?

The senior notes are being offered to qualified institutional buyers under Rule 144A and to persons outside the United States under Regulation S of the Securities Act.

Will Caesars Entertainment's (CZR) new senior notes be registered under the Securities Act?

No, the new senior notes will not be registered under the Securities Act and can only be offered or sold in the U.S. under exemption from registration requirements.

Caesars Entertainment, Inc.

NASDAQ:CZR

CZR Rankings

CZR Latest News

CZR Stock Data

8.74B
212.48M
0.73%
106.77%
6.87%
Resorts & Casinos
Hotels & Motels
Link
United States of America
RENO