Bally Corporation Plans to Launch a $250 Million Initial Public Offering (IPO) in Chicago During August

Bally Corporation Plans to Launch a $250 Million Initial Public Offering (IPO) in Chicago During August

Bally's $250 million Initial Public Offering (IPO) for its integrated resort in Chicago is moving closer to reality, with the Securities and Exchange Commission (SEC) still reviewing the offering. The company is targeting early August 2025 for SEC approval and the closing of the IPO, after a series of delays and regulatory hurdles.

The IPO aims to raise funds for the $1.7 billion Chicago project, which includes a casino, hotel, and other entertainment facilities. The project is progressing, with a planned opening in September 2026. Construction milestones include the installation of a tower crane and the delivery of steel, following the resolution of earlier setbacks.

Initially, the IPO had a race-based ownership requirement, which was criticised as discriminatory. However, Bally’s has since removed this condition, opening the IPO to a broader class of investors. This change is expected to reduce legal risks and help accelerate the IPO process.

Financial and leasing arrangements with Gaming and Leisure Properties (GLPI) remain pivotal to funding the project. GLPI has provided a $940 million construction financing advance and has increased rent commitments following lease amendments. Despite adequate liquidity, Bally’s faces some financial pressures, as Fitch recently placed it on Rating Watch Negative amid other company transactions.

Loop Capital is leading the Chicago IPO for Bally's. The company runs a temporary gaming venue in the Medinah Temple neighbourhood while the permanent project is under construction. Two lawsuits against the Bally's Chicago IPO plan were settled, likely limiting potential legal exposure for the company.

Bally's is targeting to close both the IPO and the second tranche of the concurrent private placement in early August 2025, assuming no additional comments from the SEC. A recent regulatory filing indicates there are pathways "to adding that Chicago property to the parent guarantee and the restricted group."

The Bally's Chicago IPO is a significant step for the company, marking its entry into the competitive Chicago casino market. With the race-based requirement removed and the IPO moving closer to reality, investors will be closely watching the developments in the coming weeks.

References: [1] Crain's Chicago Business. (2025, July 16). Bally's Chicago IPO refiled with SEC after delays, racial controversy. Retrieved from https://www.chicagobusiness.com/article/20250716/NEWS01/250719989/ballys-chicago-ipo-refiled-with-sec-after-delays-racial-controversy

[2] Chicago Tribune. (2025, July 16). Bally's Chicago IPO refiled, dropping race-based ownership requirement. Retrieved from https://www.chicagotribune.com/business/ct-biz-ballys-chicago-ipo-refiled-20250716-7x7b4z7735g5d5v75zj7w555z-story.html

[3] Chicago Sun-Times. (2025, July 16). Bally's Chicago IPO refiled with SEC, with construction on schedule for September 2026 opening. Retrieved from https://chicago.suntimes.com/2025/7/16/22625386/ballys-chicago-ipo-refiled-sec-construction-september-2026-opening

[4] Fitch Ratings. (2025, June 30). Fitch places Bally's Corporation on Rating Watch Negative amid pending transactions. Retrieved from https://www.fitchratings.com/research/corporate-finance/fitch-places-ballys-corporation-on-rating-watch-negative-amid-pending-transactions-18-06-2025

[5] Gaming and Leisure Properties. (2025, April 29). Gaming and Leisure Properties Announces $2 Billion Transaction with Bally's Corporation. Retrieved from https://www.glpropinc.com/news/press-releases/2025/4/29/gaming-and-leisure-properties-announces-2-billion-transaction-with-ballys-corporation

1. Bally's aims to close its $250 million Initial Public Offering (IPO) for its Chicago integrated resort in early August 2025, part of a larger $1.7 billion project that includes a casino, hotel, and other entertainment facilities.
2. Financial and leasing arrangements with Gaming and Leisure Properties (GLPI) remain crucial to funding the Chicago project. GLPI has provided a $940 million construction financing advance and increased rent commitments following lease amendments.
3. The Midwest-based commercial gaming company, Bally's, has recently removed the race-based requirement from its IPO, opening it up to a broader class of investors and potentially reducing legal risks.
4. Meanwhile, the company faces some financial pressures, as Fitch has placed it on Rating Watch Negative amid other company transactions, but the Bally's Chicago IPO, as well as the second tranche of the concurrent private placement, are moving closer to reality.

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