Caesars Ipo : Share price soars up to 80 percent on Nasdaq

02/09/2012 : CAESARS IPO GOES WELL
 
Share price soars up to 80 percent on Nasdaq
 
Caesars Entertainment's IPO launch of 1.81 million shares at $9.06 each met with impressive success on the Nasdaq exchange this week, resulting in an 80 percent bonanza for the company as the stock climbed as high as $17.90 (valuing the company at $2.24 billion) before settling back into the plus $16 range.
 
The company, then titled Harrah's Entertainment, delisted four years ago at a total of $31 billion, but placed a defined number of its shares representing about 2 percent of its stock back on the market this week in order to raise a target of $16.3 million.
 
The Wall Street Journal reports that trade was brisk on the shares.
 
Caesars is currently 70 percent owned through Hamlet Holdings by private equity firms Apollo Management and TPG Capital. The company carries a $22 billion debt burden
 
The Bloomberg news agency opined that the success of the latest offering paves the way for the sale of additional shares by investors in Caesars' 2008 buyout, led by Apollo Global Management LLC and TPG Capital, the biggest in history for a U.S. casino.
Credit Suisse Group AG and Citigroup Inc. led the new IPO, disclosing that Caesars plans to use the proceeds for general purposes, including development projects, possible acquisitions and maintenance.
 
Caesars gets more than 90 percent of its sales from the United States, with more than 50 properties across the country.