Enjoy Sells the Casino in Punta del Este Due the Financial Reorganization
The renowned casino in Punta del Este, Uruguay, Enjoy, is put on sale due to the financial reorganization of the company that owned the casino.
The sale of the popular casino:
From now on, the popular casino, which had been visited mostly by Brazilians who were looking for fun in nearby casinos, has new owners, Euroamérica and Penta. The owners will try to get back the investment that was required for the new casino acquisition.
The decision about selling was, without a doubt, tough. The company didn’t intend to sell the casino, but after the significant losses that occurred in the Q1 of the year, that was the natural next step. Asset Chile, who was in charge of all the operations related to the casino, decided to go on the market.
The casino in Uruguay has been owned by Enjoy since 2013, and since then, they didn’t want to sell it, but the climate changed, and that caused the sale.
After the financial organization, when Asset Chile helped Enjoy, the company remained its loyal ally all the time until the sale.
The price under which the casino will be sold is still unknown. However, reportedly, the casino wants to get back at least one part of the initial investment.
Ten years ago, Enjoy bought 45% of the property in Uruguay, and the cost of that was US$139 million. In 2017, when the remaining part of the property was sold to Enjoy, the cost was US$189 million, not including the debt the casino acquired and all additional investments.
Interested parties and plans for the future:
The official sale process didn’t officially begin, but some important players in the industry had already been notified and prepared to bid. On the other hand, the company doesn’t give up – the current focus is on long-term plans to increase the profitability of its operations, “so they are always analyzing new business alternatives both in Chile and in other markets, not ruling out a possible partnership or sale of assets as one of the possible alternatives.”
The company spokesperson added: “The pandemic had longer and more profound effects than those estimated at the time, so once the merger that did not materialize was over, the board of directors and management have been working on long-term strategic plans to resume profitability, analysis of alternatives for a strategic transaction that allow achieving the same objectives set out in the discarded merger with Dreams, such as strengthening the Company’s balance sheet.”
According to the source, the company’s focus lies in maintaining high efficiency and value generation projects. Their mission is to focus on process automation and implementing new technologies to boost income generation.
