Bally’s is currently in negotiations with a potential buyer for the rights to its ambitious $1.1 billion development project linked to the Oakland Athletics’ future stadium in Las Vegas. As the casino giant grapples with substantial debt, estimated at roughly $4.5 billion, it is exploring options to generate capital. This exploration occurs alongside commitments of $4 billion for a New York casino resort in the Bronx and an additional $1.7 billion set aside for a project in Chicago.
In their second-quarter earnings report, Bally's stated they are 'actively progressing the development of the retail, entertainment and dining complex' in Las Vegas. Recent reports from the Las Vegas Review-Journal indicated that there is interest in acquiring the development rights.
With hopes of finalizing a deal before Thursday’s Las Vegas Stadium Authority board meeting—where stadium development will be discussed—Bally’s is moving quickly. The construction of the stadium started last year on a 35-acre site, which was previously home to the Tropicana hotel located on the Las Vegas Strip, with a target completion date set for 2028.
The company also aims to finish Phase 1 of its development by 2028, which will introduce a plaza featuring retail, entertainment, and dining options. The complete project encompasses plans for a new casino, a hotel, and a 2,500-seat theater. Bally's expressed enthusiasm about being 'in advanced negotiations with potential partners for exciting retail and entertainment offerings' and plans to update stakeholders as the project develops.
However, the sale of these rights could pose complications for the A's stadium plans. Steve Hill, the chairman of the Las Vegas Stadium Authority, has requested more detailed information from Bally’s regarding the project. "We have asked the A’s and Bally’s GLPI for a definitive plan as it relates to the entrance to the stadium," Hill stated, emphasizing the importance of adhering to legal standards that require the stadium to be a premier world-class facility.
If the negotiations do not lead to a sale, sources have indicated that Bally's will proceed with its development plans as outlined.
Aside from this, Bally’s is pursuing other ventures despite its financial burdens. It is nearing a deal to acquire Evoke, which manages betting brands like William Hill and 888, through its subsidiary Bally’s Intralot. Bally’s holds a 58% equity interest in the Greek-based Bally’s Intralot, and TPG, an investor in companies like Spotify and Uber, has indicated a willingness to finance the Evoke acquisition with approximately $1.1 billion.
Additionally, Bally's eyes opportunities for a casino project in Japan, which is gradually easing its restrictions on gambling and allowing foreign investments in casino resorts. MGM Resorts is collaborating with local entities to open a casino in Osaka by 2030, and there are plans for developments in Hokkaido and Aichi. Bally’s chairman, Soo Kim, expressed strong interest in entering the Japanese market, citing its large population and attractiveness as a business opportunity. "If an opportunity arises, we will definitely throw our hat into the ring," he said back in March.
In its most recent earnings report, Bally’s recorded $401 million in revenue from its casinos and resorts, reflecting a 2% increase from the same period last year. Total revenue experienced a growth of 20.5%, reaching $792.2 million, bolstered primarily by Bally’s Intralot and its interactive segment in North America.
