Atlantic Club Owner RIH Acquisitions Files for BankruptcyTiffany Kary
The Atlantic Club Casino’s owner filed for bankruptcy court protection, saying it will consider reorganizing or selling its assets, which include an 801-room hotel in Atlantic City, New Jersey.
RIH Acquisitions NJ LLC, which owns and operates the Atlantic Club Casino Hotel, listed as much as $50 million in debts and assets in a Chapter 11 filing in in Camden, New Jersey, yesterday. The hotel, formerly known as the Atlantic City Hilton and ACH, has seven restaurants, an event space that can accommodate 1,600 people, and more than 75,000 square feet of gaming space including slots and table games.
The closely held company said in court papers that it seeks to honor casino chips and manage its cash in order to keep operating. RIH Acquisitions said it intends to preserve its “going-concern value” while it pursues its options including an auction of its assets in bankruptcy.
Affiliate RIH Propco listed as much as $50,000 in assets and debt in its own bankruptcy filing today.
Casinos in Atlantic City have struggled with a weak economy and competition from new gambling venues in nearby Philadelphia.
Atlantic City-based Revel AC Inc. filed bankruptcy in March, listing $1.1 billion in assets and $1.5 billion in debt, less than a year after opening the city’s first new casino since 2003. The company emerged from bankruptcy in May under a deal with creditors that cut debt and gave them ownership of the resort.
The case is In re RIH Acquisitions NJ LLC; 13-bk-34483; U.S. Bankruptcy Court, District of New Jersey (Camden).