Game regulators in Indiana forced Eldorado Resorts and Caesars Entertainment to sell three properties if the two companies wanted approval for a $ 17.3 billion merger.
The Indiana Gambling Commission made the announcement Friday, citing concerns over the “economic concentration” of the state casino market. Currently, the two companies own five of the state’s 13 casinos, which account for up to 60 percent of the state casino tax revenue.
Eldorado owns the Tropicana casino in Evansville, while Caesars controls Harrah’s Hoosier Park Racing & Casino, Horseshoe Hammond, Caesars Southern Indiana and Indiana Grand Racing & Casino visit poker88.
The impact of this unprecedented transaction is greater on Indiana than any other state, “the IGC said in a statement.
The IGC did not specify the three casinos needed to sell, but they did specify that the new company could not reduce staff at the remaining casinos for the next three years. According to an Associated Press report, Eldorado CEO Thomas Reeg said that Tropicana, Caesars Southern Indiana, and Horseshoe Hammond casinos are the three casinos that are likely to be up for grabs.
Both Caesars properties both make regular stops at the World Series of Poker Circuit. With its proximity to Chicago, the Hammond property regularly attracts some of the greatest areas seen by the WSOP Circuit.
The move comes less than a week after Nevada regulators approved the deal. Last month, the United States Federal Trade Commission issued a stamp of approval as well. The FTC agreed to the deal after the two companies sold three casinos in Atlantic City, Lake Tahoe and Louisiana to Rhode Island-based Twin River Worldwide Holdings.
Approval from regulators in Indiana and New Jersey are some of the latest hurdles preventing the deal’s completion.
Last summer, Eldorado sold three casinos in West Virginia and Missouri to split up its Louisiana property last January. Around the same time, Caesars sold the Reno casino as well to help reduce the new company’s economic footprint.