Harveys stalls on proposed merge

By Susan Wood, Bonanza News Service
December 23, 2000
Talks of Harveys Casino Resorts' $1.28 billion buyout of Pinnacle Entertainment have stalled as financing issues get ironed out.

The Stateline casino announced it was postponing plans to sell $675 million of high-yield securities that were to help finance the acquisition of Pinnacle, a gaming company based in Glendale, Calif., which owns and operates eight casinos in Nevada, Mississippi, Louisiana and Argentina, the Bloomberg financial service reported. Pinnacle is also building a major casino complex in Indiana. Harveys also owns casinos in Iowa and Colorado.

Harveys, which is run by the private investment firm Los Angeles-based Colony Capital, agreed in April to buy Pinnacle for $24 a share plus the assumption of about $650 million in debt.

Read this entire article in The North Lake Tahoe Bonanza.