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Caesar’s Scaled Back IPO Prices At $9.00 a Share
CNBC.com | February 07, 2012 | 05:07 PM EST

Caesar’s Entertainment priced its initial public offering at $9.00 a share, according to a person familiar with the matter. At$9.00, the company will raise roughly $16 million in proceeds.

It’s a road to IPO that has been anything but smooth for the Nevada-based Casino operator.

The company was originally expected to price the deal Monday night, but a technical glitch derailed the process, forcing the underwriters to wait until Tuesday to finish the offering, according to a person familiar with the matter.

Caesar’s had previously attempted to sell 31 million shares at a range of $15 - $17 in November 2010, but adverse market conditions forced it to abandon the offering entirely.

As part of Tuesday’s offering, it will sell only 1.8 million shares to the public – a small 1.4 percent of the company. A select group of co-investors will also be allowed to sell a block of roughly 11 million shares once the stock opens for trading.

Majority owned by private equity giants Apollo and TPG, Caesar’s remains saddled with a tremendous debt burden of more than $22 billion. The company disclosed in a filing that it will use the IPO proceeds for “general corporate purposes, including development projects and maintenance capital expenditures.”

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