Bally's Shareholders Disapprove Standard General's Takeover Offer

Criticism has emerged from shareholders regarding Standard General's proposed acquisition of Bally's Corp., with K&F managing partners Edward King and Dan Fetters expressing dissatisfaction. They argue that the bid significantly undervalues Bally's, proposing instead a sale of its online assets rather than a full takeover.

K&F suggests an alternative strategy, advocating for a comprehensive strategic reset. This would involve divesting Bally's online assets, reducing investments, and prioritizing efforts in the sports betting sector. Additionally, they recommend a refocus on the land-based business, advocating for a halt to costly projects in Chicago, Las Vegas, and New York.

Standard General's offer, made in March, proposed acquiring the remaining shares of Bally's at $15 per share. Soo Kim, chairman of the gambling corporation, leads Standard General and currently holds the largest stake in Bally's, owning 25% of its shares. K&F holds a stake in Bally's through its subsidiaries.