If you are someone who follows the gambling industry, you might have heard about the Ocean Resort Casino. The luxurious casino resort was opened in 2018 in Atlantic City, New Jersey, and was considered one of the most expensive casinos ever built. However, due to financial troubles, the casino went bankrupt just after two years of its operation.
In September 2020, it was announced that the casino had been sold. But who bought the Ocean Resort? Let’s find out.
Background
Before we dive into the details of who purchased the Ocean Resort Casino, let’s first understand a little bit about its history. The casino resort was initially built by Revel Entertainment Group at a cost of $2.4 billion. It officially opened its doors in June 2018 after being closed for more than four years due to bankruptcy.
Despite being one of the most beautiful and well-equipped casinos in Atlantic City, it failed to generate enough revenue to sustain its expenses and debt payments. As a result, it filed for bankruptcy again just after two years of operation.
The Sale
In September 2020, it was announced that Luxor Capital Group had purchased the Ocean Resort Casino from its previous owners for an undisclosed amount. Luxor Capital is a hedge fund based in New York City that specializes in managing investments in distressed debt and equity securities.
The acquisition made sense for Luxor Capital as they had previously owned a portion of the property’s debt and were already familiar with its operations. After buying the casino resort, Luxor Capital decided to rebrand it as ‘Ocean Casino Resort’ and invest around $15 million into renovations and upgrades.
About Luxor Capital Group
Luxor Capital Group is a New York-based hedge fund founded by Christian Leone in 2002. The company manages around $3 billion worth of assets and specializes in investing in distressed securities, high yield bonds, and equities. The company has a reputation for making successful investments in companies that are undergoing significant changes or facing financial difficulties.
Conclusion
The purchase of the Ocean Resort Casino by Luxor Capital Group has given new life to the struggling property. The company’s expertise in managing distressed assets makes them the ideal candidate to turn the casino resort’s fortunes around. With their investments in renovations and upgrades, the Ocean Casino Resort is set to provide a luxurious and entertaining experience to its guests once again.