• Home
• News
• Latest News

ATLANTIC CITY — Donald Trump’s former financial backer is making an independent bid to buy the three Trump Entertainment Resorts Inc. casinos out of bankruptcy.

Beal Bank has launched its takeover attempt a week after Trump switched sides and agreed to a settlement with a rival group of corporate bondholders in their attempt to acquire the casinos.

Beal disclosed its buyout plan during a teleconference this morning in U.S. Bankruptcy Court, immediately sparking opposition from attorneys representing the bondholders. However, Bankruptcy Judge Judith H. Wizmur gave Beal and the bondholders until Dec. 3 to try to reach a deal.

 

Beal Bank and Trump previously had offered $114 million in cash, while bondholders have proposed a $225 million buyout. Beal’s new deal would leave the company debt-free once it emerges from Chapter 11 bankruptcy protection, the bank’s attorney said during the teleconference.

 

Beal holds a $486 million loan on the Trump casinos and is first in line among creditors in the bankruptcy case. The bank would convert the loan into equity in the casinos as part of its buyout plan.

 

 

No comments have been posted. Be the first poster!

PressofAtlanticCity.com offers everyone the opportunity to comment on published stories. However, it is impractical for editors to screen all comments.
If you believe a comment is offensive, please click on the abuse-reporting link and your objection will be considered by an editor. We encourage participants to use their real names, but inoffensive screen names are acceptable. Comments are the sole responsibility of the person posting them.
Please post responsibly. Do not post comments that are off topic, defamatory, obscene, abusive, threatening or an invasion of privacy.
Be polite. Don’t hate. Users who don’t play by the rules may be blocked from participating.

View our full terms of service and privacy agreement

Click here to report a comment as abusive.

You must login to post a new comment