Bally’s Chicago Aims to Finalize $250 Million Casino IPO Amid Project Progress
Bally’s Chicago Pursues Completion of $250 Million IPO
After several months of hurdles, Bally’s Chicago is making strides toward completing its $250 million initial public offering (IPO), with hopes to finalize the transaction in the upcoming weeks. This effort supports the development of a $1.7 billion entertainment complex located in River West, which has encountered regulatory challenges and legal opposition since the IPO launch earlier this year.
Progress and Regulatory Updates
Identifying itself as a leading provider of land-based gaming and online entertainment in the United States, Bally’s recently updated its IPO filing with the Securities and Exchange Commission (SEC) on July 15, including revised financial disclosures. The company is now aiming for SEC approval and completion of the offering by early August.
Chris Jewett, Bally’s senior vice president of corporate development, shared that while the IPO is still under SEC review, the company is optimistic about moving closer to the official launch.
Expanding Investor Eligibility and Legal Challenges
Initially, Bally’s planned to allocate 25% of the Chicago casino stake exclusively to women and minority investors, aligning with the city’s diversity objectives. However, this approach was broadened in April to welcome all investors, with a preference for residents of Chicago and Illinois. This change came amid two federal lawsuits alleging discrimination against white men; one was dismissed in April, and the other settled by June.
Leading the IPO is Loop Capital Markets, a Chicago-based investment firm, managing the offering of 10,000 shares across four stock classes ranging from $250 to $25,000. To encourage participation from underrepresented groups, Bally’s is also providing loan options.
Investor interest remains strong, according to Jewett.
Construction and Operational Developments
Bally’s Chicago launched a temporary casino at Medinah Temple last fall. Despite some obstacles during construction—such as debris spilling into the river and a temporary halt triggered by the discovery of an unauthorized waste hauler—the project is back on schedule for a September 2026 opening.
Jewett noted recent progress: “The tower crane has just been installed, and steel deliveries have begun.”
Illinois Casino Market and Future Outlook
The broader Illinois gambling sector continues to thrive, reaching record tax revenues in 2024 thanks to sports betting, traditional casinos, the growth of online gambling, and increased use of video gaming terminals. Wind Creek and Hard Rock have seen significant revenue increases, while Bally’s, currently ranking fifth, hopes the new permanent venue will boost its position.
The temporary casino’s role was crucial for generating tax revenue and job creation while paving the way for the permanent facility. Jewett emphasized that the temporary site was never intended as a long-term solution.
Strategic Partnership Announcement
In late April, Bally’s announced a binding term sheet with Star Entertainment Group, positioning the company to assume control and assist in stabilizing Bally’s financial situation moving forward.