Crown only has c$185m of cash. To buy 13% more of Echo, which...

Crown only has c$185m of cash.

To buy 13% more of Echo, which would cost $377m, they would either have to take on some debt or issue some equity .... possibly at a discount

Debt to EBITDA at Crown is already about 3 - 4x so I think they raise some equity, given that the stock trades on a 21xPE as well.

Interested to hear peoples views, but doesnt this make being long Echo and short Crown quite a nice trade ?

Also. The QLD gov and NSW worked together on the probity so it seems a formality that they will grant approval. That leaves Genting to go after the 25% they also want.