TPG Newbridge eyeing the Australian SkyCity casinos

Rumors are emerging that TPG Newbridge, one of the world's biggest private equity funds, could be buyer of the Australian SkyCity Entertainment Group (NZE:SKC).

TPG Newbridge eyeing the Australian SkyCity casinos Although a representative for TPG Newbridge is calling it market speculations and said that the firm will not comment, the rumors for a possible buyout of the Australian casino and entertainment group SkyCity are in full force with shares rising over 25% through the week. Last week SkyCity said it had received an "indicative and confidential" approach expressing interest in 100% of its shares, full release of the details surrounding the possible deal are yet to be released by SkyCity's board.

TPG Newbridge is one of the biggest private equity funds and consist of Texas Pacific Group and its Asia-Pacific affiliate Newbridge Capital. TPG has already entered the casino industry with the recent buyout of Harrah's Entertainment with the partner Apollo Management for $27.8 billion, a deal set to complete by the end of the year. Harrah's Entertainment operates more than 30 casinos in the United States and TPG is also establishing itself on the international markets, after Harrah's purchase of the London Clubs International last December. London Clubs International operates several U.K. casinos, two casinos in Egypt and one casino in South Africa.

Published on 09/27/2007