Crown Resorts (CWN) resumes takeover talks
CWN +16.57%: received another takeover bid today from its 2nd largest shareholder behind JP, namely Blackstone. This is now the 3rd time Blackstone have approached CWN and have now upped their offer to $12.50 cash, valuing the company at about $8.5 billion. They had bid $11.85 in March and $12.35 in May. The price in +25% premium to last close but remains conditional on a few things, including Blackstone doing due diligence on an exclusive basis and the global investment firm receiving final approval from its investment committee + they also want complete board support. We think a deal will get done here, however the market is rightly sceptical given recent history of failed buyouts. This is obviously positive for the shares + also positive for the Hybrids (CWNHB) we hold in our income portfolio.