Hedge fund Standard General has made an offer to purchase gambling corporation Bally's for a total of $773 million, valuing each share at $15. Standard General is currently the company's largest shareholder, holding approximately 23% of Bally's. Following the announcement of the offer, Bally's shares experienced a 26.15% surge, reaching $13.40.
The proposed $15 per share offer, as of March 8, 2024, represents a 41% premium to Bally's current price. Standard General anticipates that Bally's board of directors will establish a special committee of independent directors to assess the proposal. However, if Bally's management fails to form a committee, Standard General has stated it will not insist on the transaction or proceed with it.
Given Standard General's "experience and familiarity" with Bally's, along with discussions with funding sources, the fund expressed confidence that there would be no obstacles in completing the deal.
