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Crown Resorts

From Alfawiki
Crown Resorts Limited
Company typePublic (until 2022), now private
IndustryGaming and entertainment
Founded2007
FounderPublishing & Broadcasting Limited (PBL) divestment
FateAcquired by Blackstone in June 2022
Headquarters
Melbourne
,
Australia
Area served
Australia, United Kingdom, United States (former holdings)
Key people
James Packer (former chairman), Barry Felstead (former CEO)
ProductsIntegrated resorts (Crown Melbourne, Crown Perth, Crown Sydney), online betting, casino games
ParentBlackstone (since June 2022)

Crown Resorts Limited is an Australian company specializing in gaming and entertainment, operating three integrated resort properties: Crown Melbourne, Crown Perth, and Crown Sydney. The company was listed on the Australian Securities Exchange until its acquisition by Blackstone in June 2022.

2000s

Established in 2007 following the divestment of gambling operations by Publishing & Broadcasting Limited (PBL) to Crown Limited, with PBL rebranded as Consolidated Media Holdings retaining its other business interests.

In December 2007, Crown reached an agreement to acquire Cannery Casino Resorts (CCR) for $1.75 billion; however, the transaction fell through by March 2009. Instead, Crown acquired a 24.5% shareholding for $370 million and paid a $50 million termination fee.

In 2008, Crown aimed to enter the Las Vegas market by purchasing a 19.6% stake in Fontainebleau Resorts for US$250 million. The investment was ultimately lost after the project collapsed due to an $800 million financing withdrawal by other investors, leading to bankruptcy in 2009. This loss was part of wider significant write-downs on investments including Gateway Casinos, Harrah's Entertainment, and Station Casinos, totaling $547.5 million.

2010s

In September 2013, the Sri Lankan government approved an investment by Crown's chairman and largest shareholder, James Packer, in Crown Sri Lanka located in Colombo, with a planned completion date of 2015. Nonetheless, the new administration under President Maithripala Sirisena revoked all three casino licenses granted by the prior government, including Crown’s project.

In August 2014, Crown Resorts acquired Betfair's 50% interest in Betfair Australia. On 5 August 2014, Crown purchased the site of the former New Frontier Hotel and Casino on the Las Vegas Strip for $280 million, intending to develop a new hotel commencing in 2015.

By December 2014, James Packer had gained control over Matthew Tripp's online betting company BetEasy. On 26 June 2015, Crown unveiled plans for a $6 billion hotel development named Alon Las Vegas on the former New Frontier site, targeting an opening in 2018. However, this project was suspended in December 2016 as Crown sought to divest its interest.

In October 2015, Crown secured a 20% equity stake in restaurant and hotel brand Nobu for US$100 million. Construction of Crown Sydney began in 2016 with an expected launch towards the end of 2020.

In February 2017, Barry Felstead succeeded Rowen Craigie as CEO of Crown Melbourne. On 21 March 2018, James Packer stepped down from his role as executive chairman of Crown Resorts.

In May 2019, Packer agreed to sell approximately one-fifth of Crown’s shares—equivalent to nearly half his personal holdings—to Melco Resorts & Entertainment for A$1.76 billion (US$1.22 billion). Melco is led by Lawrence Ho, who previously partnered with Packer in Melco Crown Entertainment. On 8 August 2019, New South Wales gaming regulator ILGA initiated an investigation into Melco’s acquisition due to Ho’s recent directorship at a company barred from association with Crown. The inquiry also reviewed allegations featured on Australia’s 60 Minutes television program.

2020s

In December 2020, the Supreme Court of New South Wales granted Crown Sydney a provisional liquor licence, permitting the opening of its accommodation, dining, and bar services without including gaming activities. This enabled a limited launch of several restaurants and lodging options by the end of that year, with additional venues scheduled to open in early 2021. However, in February 2021, the court ruled that Crown Limited was "unsuitable" to operate within NSW unless it implemented significant reforms across cultural, operational, and management areas. The Independent Liquor and Gaming Authority (ILGA) retained ultimate approval authority, effectively delaying Crown Sydney’s entry into gaming and creating uncertainty regarding Crown’s broader Australian operations. The NSW government awaited further assessments before taking action, while Crown Resorts Limited refrained from making public comments.

By December 2021, Crown declared plans to commence gambling activities at Crown Sydney "early in the new year." Subsequently, in February 2022, Crown Resorts agreed to an AUD 8.9 billion acquisition proposal from the American private equity firm Blackstone. The Federal Court of Australia authorized this transaction in June 2022, resulting in Crown’s removal from the Australian Securities Exchange.

In July 2024, Crown divested its ownership in Nobu to a company within Blackstone’s portfolio for US$180 million (A$266 million), valuing the restaurant chain at roughly A$1.3 billion. In 2025, Crown Resorts sold its London casino asset, Crown London Aspinalls, to Wynn Resorts.

Holdings

  • Crown Melbourne[1]
  • Crown Perth[1]
  • Crown Sydney[1]
  • Aspers Group – Four casinos across the UK with Crown holding a 50% interest[2]
  • Betfair Australasia – Fully acquired online betting exchange by CrownCite error: The opening <ref> tag is malformed or has a bad name
  • DGN Games – Texas-based developer of casino games acquired for $27.5 million as part of Crown’s entry into social gamblingCite error: The opening <ref> tag is malformed or has a bad name[1]
  • Chill Gaming – A joint venture split equally with New Gaming focused on creating games aimed at MillennialsCite error: The opening <ref> tag is malformed or has a bad name[1]

Former

Crown Rewards

Crown Rewards is the loyalty program available at Crown Melbourne, Crown Sydney, and Crown Perth. It consists of five levels: member, silver, gold, platinum, and black. Participants begin at the entry level and can progress by accumulating status credits, which are evaluated twice yearly and may be reduced if inactive. Status credits are earned through points conversion: every 500 casino points or 1,500 lifestyle points equals one status credit. Casino points accumulate when members use their rewards card on poker machines or at gaming tables. Lifestyle points are earned at a rate of five points per dollar spent on accommodations, dining venues, bars, retail outlets, or events. Points can be redeemed independently from status credit accumulation; typically, 100 points correspond to a $1 reward value.

Philanthropy

The Crown Resorts Foundation actively contributes to fields such as the arts, social welfare, education, healthcare, and environmental conservation. In 2014, James Packer, the chairman and principal shareholder, established the National Philanthropic Fund, committing $100 million over a decade from both his family foundation and Crown's own foundation to support community initiatives across Australia.

Illegal advertising

In April 2016, CrownBet—a partnership involving Crown Resorts—admitted guilt on five charges related to unlawful betting advertisements in New South Wales that promoted gambling incentives. The NSW Department of Justice indicated that CrownBet attempted to avoid conviction; nonetheless, the court underscored the importance of deterrence and safeguarding at-risk consumers. Consequently, CrownBet was found guilty on all counts and received a $10,500 fine in addition to $10,000 in legal expenses.

60 Minutes 'Crown Unmasked'

In July 2019, the investigative program 60 Minutes broadcast an episode titled Crown Unmasked, alleging that Crown breached Chinese law by marketing casinos to gamblers from mainland China. This report, supported by The Age and the Sydney Morning Herald—both under Nine Network following its acquisition of Fairfax Media in 2018—included testimonies from former Crown employees and raised concerns about Crown’s links to junket operators associated with Hong Kong triads. Additionally, it disclosed an arrangement with Australia’s Department of Home Affairs to fast-track visa approvals for Crown’s VIP patrons. Crown refuted these allegations, describing the investigation as “a deceitful campaign” founded on “unsubstantiated allegations, exaggerations, unsupported connections and outright falsehoods.” Following the broadcast, federal and state authorities such as the Australian Commission for Law Enforcement Integrity and the Australian Criminal Intelligence Commission initiated investigations.

Government inquiries

A New South Wales inquiry in February 2021 declared Crown unsuitable to hold a gaming license, prohibiting casino operations at Crown Sydney. The investigation uncovered that Crown had enabled money laundering involving hundreds of millions of dollars at Crown Perth and Crown Melbourne through junket operators linked to organized crime groups. It also revealed the use of shell companies like Riverbank Investments Pty Ltd and Southbank for laundering activities.

On 22 February 2021, Victoria announced a royal commission into Crown Melbourne’s operations. Western Australia followed with its own inquiry and imposed a ban on Crown using overseas junket operators at its Perth casino.

The Royal Commission’s final report in March 2022 determined that Crown was unfit to manage its Perth casino but granted a two-year period for regaining suitability under independent oversight. Crown accepted these findings and pledged to enhance compliance measures.

In May 2022, Crown Resorts faced an $80 million penalty for unlawfully accepting Chinese bank card payments at its Melbourne casino. These transactions were misclassified as hotel services, leading to forfeiture of the associated revenue.

By July 2025, after implementing corrective actions ensuring regulatory adherence, the Western Australia Gaming and Wagering Commission recommended that Crown Perth retain its gaming license. Additionally, improvements in corporate governance helped restore Crown’s compliance standing within Australia’s gaming sector.

Internal investigations

In December 2023, Crown Resorts Limited launched an internal inquiry following claims that CEO Ciaran Carruthers permitted guests to gamble despite existing security restrictions. Specific incidents under scrutiny involved allowing an intoxicated woman onto the gaming floor of the Victoria venue on 25 November 2023, as well as admitting a patron who had been banned for one year due to bringing a minor into a restricted casino area. Anthony Pearl, Chief Legal and Compliance Officer, stated that the investigation was conducted in accordance with governance standards outlined in the company's 2021 license reform guidelines.

By February 2024, the inquiry reached its conclusion with Carruthers being exonerated of all accusations. Concurrently, the Victorian Gambling and Casino Control Commission, which was carrying out a separate investigation, indicated its approval of how Crown Resorts handled the matter.

See also

External links

  1. ↑ 1.0 1.1 1.2 1.3 1.4 1.5 Cite error: Invalid <ref> tag; no text was provided for refs named :5
  2. ↑ 2.0 2.1 Cite error: Invalid <ref> tag; no text was provided for refs named :4
  3. ↑ 3.0 3.1 Cite error: Invalid <ref> tag; no text was provided for refs named keybus
  4. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named crownsl
  5. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named :6
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