Palms Casino Resort partners up with Leonard Green and TPG

Jun 14, 2011 5:04 PM

Palms Casino Resort, the iconic hotel, entertainment and gaming destination in Las Vegas, announced today it has agreed to a recapitalization in which the Maloof family, led by Palms chairman George Maloof, has partnered with TPG Opportunities Partners, the special situations platform of TPG Capital, and Leonard Green & Partners, to significantly reduce the amount of debt on the company’s balance sheet and position the company for continued growth.

George Maloof, chairman of Palms Casino Resort, said, "We are excited to partner with Leonard Green and TPG, both leading private investment firms that will help the Company identify and execute on growth opportunities in our existing market of Las Vegas and beyond. While the last three years have been challenging for all Las Vegas operators, the Palms has been performing well and, with a stronger balance sheet, will be well positioned to undertake the initiatives that will continue to make it one of the foremost destinations in Las Vegas."

Leonard Green and TPG said in a joint statement, "We are excited to partner with the Maloof family on this world class asset and iconic brand."

The recapitalization is subject to customary regulatory approvals.