Caesars (CZR) IPO Trading Like a Casino
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The IPO for casino operator Caesars Entertainment (Nasdaq: CZR), well, looked like a casino in its first few minutes of trading...
After pricing a small float of just 1,811,313 shares at $9, and opening at $9.06, shares were halted on a circuit breaker five minutes later after surging to $12.86. Shares continued to as high as $13.95 before settling in at the current price of $13.61.
Caesars Entertainment is a well-known casino powerhouse, operating the Caesars, Harrah’s and Horseshoe brand names in the United States. As of September 30, 2011, the company's facilities had an aggregate of approximately three million square feet of gaming space and approximately 42,000 hotel rooms. The company also has 40 million Total Rewards members.
Caesars Entertainment was brought public by private-equity firms Apollo Global and TPG Capital, which bought the company in December of 2006.
While the float was small, the market capitalization is still quite large. 125,025,500 shares will be outstanding after the offering, which places the market cap at approximately $1.6 billion.
The company posted net revenue of $6.62 billion and a loss of $467 million for the nine months ended September 30, 2011.
The deal was led by Credit Suisse and Citigroup.
Caesars is a highly leveraged company. As of September 30, 2011, the company had $22.5 billion in face value of outstanding indebtedness.
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After pricing a small float of just 1,811,313 shares at $9, and opening at $9.06, shares were halted on a circuit breaker five minutes later after surging to $12.86. Shares continued to as high as $13.95 before settling in at the current price of $13.61.
Caesars Entertainment is a well-known casino powerhouse, operating the Caesars, Harrah’s and Horseshoe brand names in the United States. As of September 30, 2011, the company's facilities had an aggregate of approximately three million square feet of gaming space and approximately 42,000 hotel rooms. The company also has 40 million Total Rewards members.
Caesars Entertainment was brought public by private-equity firms Apollo Global and TPG Capital, which bought the company in December of 2006.
While the float was small, the market capitalization is still quite large. 125,025,500 shares will be outstanding after the offering, which places the market cap at approximately $1.6 billion.
The company posted net revenue of $6.62 billion and a loss of $467 million for the nine months ended September 30, 2011.
The deal was led by Credit Suisse and Citigroup.
Caesars is a highly leveraged company. As of September 30, 2011, the company had $22.5 billion in face value of outstanding indebtedness.
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