Leisure/Hotels

Vegas won’t quake at Singapore’s challenge

19 Mar 2010

Two new glitzy supercasinos in Singapore aim to poach trade from Las Vegas and Macau. With no captive gambling audience, less VIP traffic and tough regulation, Singapore looks unlikely to become a gaming capital. Still, it's easy to see why investors are betting on the project.

Apple’s iTunes milestone proves who’s piper

25 Feb 2010

The tech giant just sold its 10 billionth song online as the pace of downloading from its digital media service quickens. That means consumers are getting themselves increasingly locked in to Apple products. And the company s grip on the entertainment world is tightening.

Icahn’s bid to strangle Saw studio looks scary

17 Feb 2010

The billionaire activist wants to raise his stake in Lions Gate to just under 30 pct. His offer hinges on the studio refraining from buying rivals like Miramax or MGM. But Lions Gate's M&A track record isn't so bad and Icahn doesn't seem to have other ideas to help the shares.

Terminator saga takes an ugly off-screen twist

10 Feb 2010

Audiences can expect more from the actionpacked cyborg series even though last summer's Salvation seemed to conclude it. But it's in bankruptcy court where the latest battle for the future is taking place. A fight over the film's rights has the makings of a financial thriller.

Movie Gallery’s second flop should be its last

3 Feb 2010

The alsoran U.S. video rental chain is in bankruptcy protection for the second time in just over two years. Even back in 2007, it was apparent Movie Gallery was losing a fight against entertainment and technology trends. Some companies should just be put out of their misery.

Wealthy celebrate recession’s end in style

26 Jan 2010

Luxury goods flew off the shelves in the last months of 2009. Strong recoveries in financial services and emerging markets have left the wealthy feeling flush again. Puritans may regret the bling, but big spenders could provide a welcome tonic for weak economies.

US antitrust bark appears worse than bite

26 Jan 2010

The Department of Justice's new approach to competition law was supposed to be vigorous. Yet it declined to take the Ticketmaster/Live Nation merger to court and settled for relatively minor remedies. That's not how a watchdog inspires fear.

Ski battle adds frisson of danger to winter games

25 Jan 2010

When Fortress and Lehman stood at the summit in 2006, ski resort operator Intrawest looked enticing. Now it's a dead property deal being fought over by these wounded participants. The tussle has dragged in the Vancouver Olympics, though that's probably just a sideshow.

Steve Wynn’s ex should separate from stock too

7 Jan 2010

As part of their divorce, the casino mogul s former wife gets half his stock, worth $740 mln. If gambling havens rebound, Elaine Wynn could become richer still. But the risks are high and the upside looks limited. Matters of the heart aside, she may want to part with Wynn shares.

Boyd tries to muscle in on Station Casinos

17 Dec 2009

The casino operator has made a $2.45 bln bid to buy Station out of bankruptcy. That tops its theoretical standalone value. The Fertittas, Station's founding family, stand to lose control if they let Boyd into the bankruptcy process. But cash should speak louder than emotions.

Junior creditors get help in bankruptcy fights

9 Dec 2009

It isn't easy for lesser creditors to organize opposition to a bankrupt US company s restructuring plan. But in recent decisions on Six Flags and Freedom Communications, judges have handed them small wins. They should take heart that a debtor s plan isn t always a fait accompli.

Anglo might shine brighter without De Beers

1 Dec 2009

The mining giant's 45 percent stake of the diamond producer is largely a financial investment and De Beers' cash needs are eating into Anglo's capital. An Anglo spinoff might be good for De Beers, and correct a valuation gap for Anglo, killing two birds with one sparkly stone.

Station bankruptcy shapes up as bare-knuckle brawl

1 Dec 2009

The US casino operator run by the Fertitta family, also owner of Ultimate Fighting Championship, is restructuring. Rival Boyd Gaming wants to buy it and could offer a good price. But the Fertittas look poised to block a deal. Station s creditors shouldn t let them play rough.

MGM Mirage investment would be risky bet

21 Oct 2009

Kirk Kerkorian may sell part of his 37% stake in the casino company. He could be looking for a little valuation validation. But the investor would have to believe in MGM's unfinished Las Vegas shopping centre or count on a rebound in gambling revenues. Both are chancy.

US gun sale spree running out of ammo

20 Oct 2009

Private equity shop Cerberus plans to float gun maker Freedom Group. It had better hurry. President Obama s victory sent weapon sales and firearm valuations shooting upward. Falling backlogs could trigger a plunge in sales.

Pritzkers’ Hyatt IPO priced to sell

20 Oct 2009

The Chicago family is selling around $1bn of stock in a deal that puts a $4bnplus valuation on the hotel group. That's a big discount to Marriott. But given internal family squabbles and a stock overhang, that's probably warranted.

UK rightly takes on Ticketmaster/Live Nation deal

8 Oct 2009

The Competition Commission has provisionally ruled combining the dominant ticket agent with one of the largest concert promoters could hurt consumers. This should encourage US regulators which were already sceptical to gut the deal.

AB InBev gets hangover insurance from Blackstone

8 Oct 2009

The Budweiser and Stella brewer has offloaded its American theme parks arm to the buyout firm for $2.3bn. Getting a deal done at all is an achievment. But AB also gets to skim off $400m from Blackstone's profits, dulling the pain of selling cheaply.

US sports establishment wakes to full global reality

24 Sep 2009

The country s pro teams have imported players and exported games and gear, but remained averse to foreign owners. The financial crisis may end this protectionist streak with a sale of the NBA s Nets to Russia s richest man. The results could make leagues regret waiting so long.

Harrah’s plays catch up – but isn’t home and dry

9 Sep 2009

The US casino operator has just completed the latest stage of a restructuring designed to cut its debt. But the business may still be worth less than what it owes creditors. It s a reminder of how frothy debt markets became and why new creditors to old LBOs should be cautious.