X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

ATLANTIC CITY-Donald Trump and BNAC Inc., an affiliate of Beal Bank Nevada, have entered into an agreement to purchase Trump Entertainment Resorts Inc. Under the terms of the deal, Trump and BNAC will invest $100 million in the private company and restructure about $486 million in debt.

According to a company statement, the firm’s management and its board of directors have approved the reorganization plan. In February, the company filed for Chapter 11, and Trump and his partner reportedly beat out bondholders in bankruptcy court to once again own the company that operates three casino resorts here: Trump Taj Mahal, Trump Plaza and Trump Marina. The reorganization plan must also pass muster with the bankruptcy court.

“My previous investment in the company was destroyed by excessive and restrictive debt,” said Trump in a statement. “This reorganization changes all that. I am pleased that the reorganization affords me an opportunity to make a new investment and help revive a company that has borne my name, but not performed to my standards or been under my management. My daughter Ivanka and I will work tirelessly to make this company great again. As I have done in the past, we will make Atlantic City hot once more.”

“As a private enterprise under the ownership of the Trump family and BNAC, the company will be well capitalized and positioned for success, and we are hopeful for the court’s expeditious approval so that the new capital can start being invested,” said Mark Juliano, Trump Entertainment’s chief executive, in a statement. “I am confident that this is the best proposal to provide the company with a platform for growth.”

Back in 2004, Trump Hotels & Casino Resorts, Trump Entertainment’s predecessor company, filed for bankruptcy protection. As part of that reorganization plan, Trump’s personal stake in the company was reduced and he resigned as chairman of the company in February. A new credit agreement extends the maturity period for the repayment of $486 million in debt to December 2020 from the original target of 2012.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.