Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.

Crown share price falls 10% after Wynn cancels $7.1 billion takeover talks

Australian casino, Crown Resorts shares plummeted on Wednesday, after Wynn resorts pulls out of A$10 billion takeover

It comes after one of the world’s largest US casino operators, Wynn, offered Crown Resorts a $10 billion takeover bid.

Crown share price.

Crown shares plunged 10% after Wynn quit takeover talks on Wednesday, abandoning the $7.1 billion dollar bid after details became public.

On Wednesday’s open, Crown shares then pared some losses to trade 8.5% under Tuesday's closing price, while the broader market fell 0.1%.

Despite the share price drop, Crown is still trading almost 10% higher than its pre-offer price At A$12.86.

Crown shares initially soared 20% after news of the takeover bid was leaked on Tuesday.

Change of heart

Wynn walked away from the deal after details of the offer became public through a leak to an Australian newspaper.

‘Wynn's actions are more likely to reflect a genuine frustration with a breach of the confidential nature of the discussions than an attempt to add pressure to the negotiation,’ said Angus Gluskie, managing director of White Funds Management, which holds Crown shares.

Leaked news breaks deal

The news was first leaked by Australian newspaper, Australian Financial Review on Tuesday afternoon, as confirmed by Crown. The paper also disclosed Wyn’s price offer.

Shortly after the leak, Wynn issued two statements, first confirming the talks, and, a few hours later, stating that they had ended.

Crown said in a statement it noted Wynn's decision.

Wynn fell almost 4% in New York on Tuesday.

The deal was originally to benefit both companies. Wynn would take on competition in Macau by giving it two lavishly revamped Australian casinos.

While, the offer came as Crown revenue suffered, due to high-rolling Chinese gamblers at its Australian tables.

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Act on share opportunities today

Go long or short on thousands of international stocks with spread bets and CFDs.

  • Get full exposure for a comparatively small deposit
  • Trade on spreads from just 0.1%
  • Get greater order book visibility with direct market access

See opportunity on a stock?

Try a risk-free trade in your demo account, and see whether you’re on to something.

  • Log in to your demo
  • Take your position
  • See whether your hunch pays off

See opportunity on a stock?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Trade a huge range of popular stocks
  • Analyse and deal seamlessly on fast, intuitive charts
  • See and react to breaking news in-platform

See opportunity on a stock?

Don’t miss your chance. Log in to take advantage while conditions prevail.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Sunday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of spread betting and CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.