Las Vegas headquartered hotel and casino corporation Caesars Entertainment has pulled out of the race to secure approval to develop a second resort on Australia’s Gold Coast, report several media outlets.
With speculation mounting over which foreign operators could be interested in bidding to the Queensland State Government, Caesars and Hard Rock International were two firms to have previously stepped forward.
However, in light of its $17.3m merger agreement entered into alongside Eldorado Resorts this week, it would appear the initial allure of the project has now worn off.
In a statement published by The Gold Coast Bulletin this week, a Caesars spokesman is quoted as saying: “Several weeks ago, Caesars Entertainment decided that it would not pursue a casino license in Queensland”.
Despite no formal announcement being made by the firm, Caesars has seemingly communicated its decision to the Queensland Tourism Department, with its director general Damien Walker added that it had been informed that “this decision was a result of internal company changes, and not the attractiveness of the Gold Coast market as an investment opportunity.”
It would also appear that the decision falls in line with comments made by Eldorado CEO Tom Reeg during an investor call this week regarding its Caesars merger.
Reeg, who alongside further Eldorado senior personnel will lead the new organisation, stressed that “no firm decisions” had yet been made on the company’s long-term international ambitions, but “the opportunity internationally will have to be stupendous for us to run in that direction.”
Questions marks still exist surrounding The Sunshine State’s proposed second casino, with no site yet confirmed and speculation rife over whether the region is large enough to support another such establishment.
Furthermore, should plans proceed in the future, it’s believed it would put an end to a proposed $2bn expansion by Star Entertainment at its The Star Gold Coast property, which strives to add four new hotel towers.