Crisis-stricken casino giant Crown Resorts has appointed former Telstra boss Ziggy Switkowski as its next chairman to replace Helen Coonan,who will resign from the company on Friday.
Anyone keen to understand why the sharemarket is hitting record highs despite lockdowns would do well to pay attention to the corporate earnings season.
If Crown loses its Victoria licence,the hit for James Packer would be enormous. Most of his wealth is tied up in his 37 per cent stake in Crown and his lifestyle is funded from the hundreds of millions of dollars it generates.
Crown’s Helen Coonan has denied trying to interfere with Victoria’s royal commission into the group when she wrote to the gaming minister to warn findings against its Melbourne casino licence would be a “huge problem for the government too”.
Crown Resorts faces growing calls from shareholders to start a formal sale process for the wounded casino giant after becoming the subject of a bidding war.
James Packer has indicated he is open to selling his 37 per cent stake in the casino group Crown Resorts following an $8 billion takeover offer from private equity giant Blackstone.
The smart money was waiting for a proposal from The Star for a merger of the two casino giants but it is James Packer who holds all the cards in who ends up owning the casino group.
The Victorian Premier worked the loudhailer on Tuesday to assure the public that he is willing to rip up Crown’s licence if the royal commission finds it unsuitable.
Helen Coonan turned herself inside out attempting to answer questions on whether she is part of Crown’s problem rather than its solution.
Casino giant Crown Resorts’ search for new board members is being led by Harold Mitchell who himself is under pressure to resign.
James Packer’s 37 per cent stake in Crown is his largest investment and the dividend it yields is his major source of income.