Caesars Entertainment Corp withdrew its partnership venture with Suffolk Downs to seek for a casino gambling license in Massachusetts.The state's gaming commission conducted an investigation on the companies' application to get a casino license for the Boston area. However, Suffolk asked Caesars to pull out after the state's gaming commission disclosed the results of its probe. The results of the findings were not disclosed by the commission. However, a person with knowledge of the matter but was not authorized to speak publicly told Bloomberg that the regulators were concerned about the financial structure of Caesars.
Caesars carried a USD 23 billion debt load and had depended on other partners to finance new projects, Bloomberg reported. Caesars was bought in 2008 by Apollo Global Management and TPG Capital through a leveraged buyout. The recent development now lessened the chances of Caesars' further expansion in the US.
Suffolk said it was confident that it would receive the license to operate in the Boston area by itself. Wynn Resorts and Foxwoods Casino-affiliate Crossroads Massachusetts were competing with Suffolk for the sole casino resort license.
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