Mr Crawford also said Crown was also on track to have the casino licence for its new $2.2 billion tower at Barangaroo conditionally reinstated in the coming weeks, after it was suspended in late 2020 amid the state’s damning public inquiry into Crown.
Victoria’s Gaming Minister Melissa Horne said a sale of Crown would not affect how the Andrews government addressed the recommendations from last year’s royal commission.
The state government implemented nine recommendations late last year, including appointing a “special manager” to oversee its reformation over the next two years, and has committed in principle to implementing the remaining 24 recommendations.
“Any potential change in ownership does not change that we will acquit all the recommendations of the royal commission, with further legislation to be introduced this year,” Ms Horne said.
A spokesman for the Victorian Gambling and Casino Control Commission said its probity assessment of Blackstone was “ongoing and not yet complete”.
The Alliance for Gambling Reform’s chief advocate Tim Costello said a change of ownership at Crown was no reason to stall stronger legislation and regulation to address gambling harm raised by Victoria’s royal commission.
“We heard story after story of abuse inflicted by Crown,” he said. “Just because the casino has changed hands doesn’t mean Blackstone can forget past sins.”
Crown chief executive Steven McCann said the company would recommend shareholders accept Blackstone’s cash because it was a “compelling offer” that reflected the group’s value of its assets.
Mr McCann, who joined the company last year as part of a complete clean-out of its senior management and board, said there was “no reason to believe” regulators would have any concerns that could stop the transaction.
Mr Packer, who previously ran Crown as executive chairman, has tried to sell his stake in Crown on several occasions over the past seven years. He agreed in 2019 to sell a 20 per cent stake to Hong Kong casino group Melco for $13 a share, which is less than Blackstone’s offer.
Mr Packer now faces additional pressure to exit his major wealth vehicle after Victoria’s royal commission recommended he be ordered to reduce his stake to below 5 per cent.
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Chris Tynan, senior managing director and head of real estate at Blackstone Australia, said the firm was looking forward to completing the sale. “Crown plays a pivotal role in Australia’s economy,” Mr Tynan said. “We are excited to bring our local expertise and global hospitality and gaming experience to contribute to Australia’s post-pandemic recovery and position Crown for future growth.”
Blackstone has extensive casino industry assets, including the Bellagio, MGM Grand and until recently Cosmopolitan casinos in Las Vegas, and also owns the Spanish group Cirsa, which has 147 casinos through Spain, Morocco and Latin America.
Blackstone is already Crown’s second biggest shareholder, with a 9.9 per cent stake, and has been stalking the company for almost a year. It made its first takeover offer at $11.85 per share in March 2021, and raised that three times until finally landing at $13.10 in January which convinced Crown’s board to offer it full due diligence.
