The Majestic Star Casino announced today that its reorganization plan has been completed and that the company has successfully emerged from bankruptcy. The company had filed for Chapter 11 protection in the United States Bankruptcy Court for the District of Delaware and its reorganization plan was approved on March 10, 2011.
As part of the plan, the Company has eliminated over $500 million in debt and its lenders will become the new owners of Majestic Holdco. Private investment funds managed by Wayzata Investment Partners, a Minnesota-based private equity firm, will be the largest holders of Majestic Holdco.
"We are emerging from Chapter 11 with a strengthened balance sheet and an ability to compete more effectively in our respective markets,” said Mike Darley, the Company's Chief Operating Officer, in a statement. “With the reorganization process behind us, we are better positioned than ever before to provide our visitors and guests with the best hospitality, entertainment and gaming experience possible."
The Majestic Star Casino, LLC, owns and operates two adjacent dockside gaming facilities (Majestic Star and Majestic Star II) and a hotel located in Gary, Indiana; a Fitzgeralds brand casino and hotel located in Tunica, Mississippi (Fitzgeralds Casino Hotel -- Tunica); and a Fitzgeralds brand casino located in Black Hawk, Colorado (Fitzgeralds Casino -- Black Hawk).
Majestic Star Casino emerges from Chapter 11
December 2, 2011