Fitch Ratings put a Rating Watch Negative alert on Bally’s Corp.’s debt Monday. The message follows Bally’s announcement of a $3.2 billion sale of Gamesys to Intralot.
According to Fitch, the notification “reflects elevated EBITDAR leverage from the pending combination of its international interactive business with Intralot,” as well as the risks involved with its sale and leaseback of Bally’s Twin River-branded casinos in Rhode Island.
Bally’s is expected to use the proceeds from the Gamesys sale toward retirement of debt due in 2028 and fund construction of Bally’s Chicago, the $1.7 billion megaresort currently arising in the Windy City.
“However, if leverage remains elevated or Bally’s is unable to release…