Columbia wins Aztar bidding war, plans $3.15 billion debt financing

By Sara Rosenberg

New York, May 19 - Columbia Entertainment has come out on top in the bidding war for Aztar Corp., entering into a definitive merger agreement on Friday, under which it will acquire all Aztar shares for $54.00 per share in cash, according to a company news release.

In order to fund the acquisition, Columbia has received a commitment for $3.15 billion in debt financing from Credit Suisse.

Columbia Entertainment and Pinnacle Entertainment Inc. have been bidding back and forth for about two months for Aztar. Pinnacle's most recent offer had been $51.00 per share in cash and the company was unwilling to increase the per-share price from there.

The acquisition is subject to regulatory approvals, approval by Aztar shareholders and customary closing conditions and is expected to close by the end of the year.

Columbia is a Fort Mitchell, Ky., owner, developer and operator of hotel properties and casinos. Aztar is a Phoenix-based gaming company.

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