Lucky Island casino is among a list of high-profile ventures set to become public by the end of next year in a $10 billion move that could be worth $40 billion to $50 billion.
The casino is expected to open in the summer of 2019 in Las Vegas, Nevada, and will be the first of its kind in the US.
“I think that’s a fantastic move,” said Jack Bogle, chief executive of the Bogleheads Fund, a private equity firm that owns about $2.3 trillion in assets, according to data compiled by Bloomberg.
“This is a unique opportunity.
It’s an investment opportunity that is going to create a new economic engine that is not going to happen again.”
The move comes as other private-equity players in the industry seek to increase their stake in the gambling sector.
Bogle said the Black Hawk Casino would create new opportunities for gambling in the gaming industry.
“There are many opportunities out there for this kind of investment, and we are taking advantage of them,” he said.
Casino executives, including Bogle and the Black Hawks owner, James J. DeBartolo Jr., also told Bloomberg that the new company is in talks with some of the largest and most well-known names in the casino business.
They include the operator of the Las Vegas Sands Corp., Wynn Resorts Inc., MGM Resorts International Inc., Caesars Entertainment Group Inc., Pinnacle Entertainment Group, and CVC Capital Partners LP.
The casino will have a full-service restaurant, casino lounge, bar, and a live music venue.
The Black Hawks is also expected to provide a gaming room at the hotel, which is owned by Hilton Hotels & Resorts.
Lucky Island’s CEO, Michael Kowalczyk, said the deal is about adding to the “magnificent” casino experience for the guests.
“Our vision for the Blackhawk Casino is a new and truly exceptional casino experience,” Kowaczyk said in a statement.
In its filing with the Securities and Exchange Commission, the company said the partnership would create a company with $2 billion in total revenues and more than 100,000 full-time jobs.
The partnership would also create new jobs at the BlackHawk casino, with employees expected to start as soon as 2021.
Black Hawk’s revenue is expected as high as $5.2 billion and is expected in the range of $10 to $20 billion, according a person familiar with the matter.
The person spoke on condition of anonymity because the deal was not publicly announced.