Las Vegas Gambler Dodges a $7 Billion Bullet
Wynn’s bid for Crown Resorts was too expensive, but its options are looking pretty limited. Don’t be shocked if it gives the deal another spin.
It's kill or be killed for Wynn Resorts.
Photographer: Martyn Goddard/Corbis HistoricalWynn Resorts Ltd. has dodged a bullet by scrapping a $7.1 billion bid for an Australian rival, but the casino giant founded by billionaire Steve Wynn shouldn’t quit the gunfight just yet.
With growth prospects in Macau shrinking and its license there coming up for renewal, the Vegas-based operator is right to think about diversifying its overseas presence – even if the abandoned offer for James Packer’s Crown Resorts Ltd. was far too generous. Wynn has no casinos outside the U.S. other than Macau, where its focus on Chinese high-rollers looks a little shaky given the slowdown in China’s economy. It might also be forced to take on local partners in Macau when the gaming licenses are re-awarded in 2022.