Sunday, October 9, 2016

Carl Icahn can profit from Trump Taj Mahal casino flop



Icahn's a savvy investor, but even he could not have foreseen the problems that might come to harm the properties that endure Trump's name: in line with facts from Foursquare, foot site visitors to his places of enterprise were hurt throughout his campaign for the presidency.
however there may be still a way Icahn can swing a profit at the failure of the Trump-affiliated gaming residence. He simply wishes Trump's former shoppers in Atlantic town to move over to the Tropicana.
Icahn, via Icahn establishments LP, is also an investor in Tropicana leisure, a purple-sheets listed gaming business enterprise with operations in Atlantic city (where the Trump on line casino announced it'll shutter come exertions Day in a few weeks). The agency's inventory is up extra than nine percentage this year, and Icahn is its chairman and, by using proxy of the fund, controlling shareholder.
"Tropicana AC has benefited from the closure of several competition in Atlantic city and current capital investments," Icahn's conserving enterprise stated in financials Thursday.
The Tropicana business enterprise also has facilities in Indiana, Nevada, Mississippi, Missouri, Louisiana and Aruba, and Icahn's protecting organization stated its Evansville (Indiana) Tropicana has helped the corporation enhance revenue.
To be sure, south Jersey's gaming scene is beneath trustworthy financial stress, with on-line apps sucking up capability clients and the development of more upscale motels towards close by metropolitan areas potentially putting a damper on earnings.
Neither Trump nor Icahn may be capable of make Atlantic town extraordinary once more — however the Tropicana has gotten a boost in sales for both the 3- and six-month intervals.
Atlantic town is getting ready for its casino headcount to fall once more, from 8 to seven, once the Trump property closes subsequent month.

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