Jack Entertainment Chairman Dan Gilbert could fetch up to $2.7 billion if he cashed in all his chips on casino investments in Cincinnati, Cleveland, Detroit and elsewhere.
But industry analyst Chad Beynon said Gilbert could also generate “$1.5 billion or so” by continuing to operate casinos and selling off real estate assets tied to gaming.
Beynon, who follows the gaming industry for Macquarie Capital, compiled the estimates at WCPO’s request after a Sept. 5 Bloomberg report that Gilbert is evaluating a potential sale. Bloomberg quoted "people familiar with his plans" as saying Gilbert hired Deutsche Bank and Credit Suisse to represent the company in a sale process.
Detroit-based Jack Entertainment declined to comment. The Ohio Casino Control Commission said it had no information about a potential sale.
"Should any of Ohio’s casinos be sold in the future, once an agreement in principal has been reached the affected company will appear before the Commission at a public meeting to provide an update," said spokeswoman Jessica Franks. "Given the nature of the discussions, however, most of that update will likely take place in an executive session."
Beynon, who has followed the gambling industry for more than a decade, said Jack Entertainment would be attractive to Las Vegas-oriented gaming companies that view the Midwest as a feeder market.