Harrah’s Entertainment decided to cancel its initial public offering because of “market conditions” just a day after General Motors went public without much of a bang.
Casino giant Harrah’s Entertainment, which was taken private by Apollo Global and TPG Capital for $30.7 billion in 2008, was set to sell 31.3 million shares in the range of $15 to $17 each yesterday on the NASDAQ under the ticker CZR. Priced at the mid-point of the projected range, the IPO would have generated more than $500 million in proceeds, but Harrah’s, which had planned to change its name to Caesars Entertainment Corp. prior to the offering, announced, “it is not pursuing its initial public offering of common stock at this time due to market conditions.”
Harrah’s was the last of a set of big private equity portfolio companies planning to go public this year. It will be interesting to see whether Harrah’s moves forward with its planned IPO in the near future, and where the rest of the casino sector goes from here.