Stanley's Casino see losses of £130 million
6th December, 2007
The Malaysian owner of Britain’s Stanley Casinos says it has almost lost £130 million as a result of a rise in gaming duty and the smoking ban in England.
The company said: “The impairment is largely attributable to the increase in gaming duty rates from April 2007.”
Stanley has a portfolio of 46 casinos including Britain’s oldest, Crockfords in Mayfair. 41 of these 46 casinos are based outside London. The Malaysian owner Genting took the company private last year, he said he saw the company as “a platform for expansion in the soon-to-be deregulated UK gaming industry.”
The delays for plans to award 17 new casinos licences under the Gambling Act have been delayed by the controversy surrounding the single super casino envisaged under the new legislation.
Genting had hoped to acquire London Club International (LCI), in which it held a 29.8 per cent stake. Unfortunately LCI decided to accept a $669 million equal to £325 million takeover from Harrah’s Entertainment, which is s Las Vegas gaming behemoth, just a few after the Stanley deal.
Down the line Harrah’s itself is subject for a takeover for a recommended amount of $27.8 billion takeover by Apollo Management and the TPG Capital, the buyout firms. It is expected that this takeover will completed sometime this month (Dec 2007).
