A ruling that prevents Sun International from merging with Peermont threatens to keep the Menlyn Maine integrated casino resort called Times Square that both wanted to build from going forward.
The two erstwhile rivals had reached an agreement last year for Sun to buy Peermont for R9.43 billion and merge the two companies. Now that a government anti-monopoly ruling has prevented that, Sun is seeking a R675 million settlement to compensate it for the failed bid.
Peerpont’s resources include hotels and casinos in South Africa and Botswana totaling nine casino resorts, one casino and three hotels. Its largest is Emperor’s Pala Hotel Casino Resort in Johannesburg. Despite the blow of losing those resources Sun says it plans to go forward with the casino and open it in 2017. To do so it will pay Peermont R675 million.
