Stockholders have approved the long-planned acquisition of gaming giant Harrah's Entertainment (NYSE: HET) by Apollo Management L.P. and the Texas Pacific Group. Two-thirds of voting shares agreed to the $90-per-share purchase price, which was recommended by Harrah's board. The final price was $6.19 more than the stock's closing price on March 8, the cutoff for inclusion in the deal. In the $17.1 billion buyout, TPG and Apollo take on $10.7 billion in debt. Paying down this debt will overshadow any expansion plans for the future.
A number of regulating agencies in areas where Harrah's operates have yet to review and approve the deal. Harrah's expects the deal to be completed by year's end.
Harrah's, by revenue the world's largest casino company, has facilities in the U.S. and around the world, including some of Las Vegas' prime properties.
For more about Apollo, see Tom Taulli's article in BloggingStocks.com.
