Posted on 01/27/2025 10:12:16 AM PST by DUMBGRUNT
Bally’s, the big casino operator, is selling shares only to women and minorities in its new gambling resort mecca being built in Chicago’s River West neighborhood. A minority preference of some kind was a condition to city approval of the project, and this is what the city and Bally’s agreed to.
Here’s the deal that’s offered, which is detailed in the company’s S-1 filing with the Securities Exchange Commission and other company materials: Instead of just buying one share for $25,000, a buyer can put up as little as $250 and Bally’s will loan you the remainder of the purchase price. You thus buy an “Interest,” as it’s called in the offering documents.
The Interests are subject to extensive transfer restrictions and won’t, at least initially, be traded on any public exchange, so “you may find it difficult to sell your Class A Interests,” as the S-1 mildly puts it.
(Excerpt) Read more at wirepoints.org ...
Sucker bait.
"A buyer will never see any dividends until the loan is repaid plus interest at 11% annually, compounded quarterly, and that could be a long, long time, if ever. The company says in its S-1 that it currently expects not to have cash available for distribution until approximately three to five years after the Chicago facility opens, which they are targeting for September 2026. “However, this may fluctuate depending on ”the ability to generate cash from operations and its cash flow needs and payments on senior debt.” At 11% compounded quarterly, the loan balance would double in less than six and a half years."
No racism there at all…/s
Sounds like a violation of civil rights laws, one that must be investigated by the DOJ.
Speaking as a white guy — thank you to Bally’s and the City of Chicago for excluding me from this scam.
It’s clearly discriminatory and illegal, but......no intelligent white male would go near that scam.
Stealing from those who have nothing. There is nothing new, under the Sun.
“Where the white wimmens at?”
If you are not making an employment decision, taking federal funds, or operating under certain other federal programs, you may discriminate on the basis of race.
Let’s form a Conservative White Men’s Investment Vehicle.
What’s good for the goose ...
Obviously.
Oh, brother, no lie. "You may find it difficult to sall your Class A interests," they say. Think of a stinking, dead albatross tied to your neck...
That unconstitutional racist municipal objective will not hold up well when challenged in court
I hope that multiple class action lawsuits are filed against them by white men around the country.
Creating a long-term successful business is hard enough.
Creating it from the mind of Lori Lightfoot, dirty Chicago politics and government, while marketing it according to the worst of woke racial politics?
Sounds like a disaster waiting to happen.
No question.
The only issue will be trying to prove damages. As others have noted, the offer is sucker bait and anyone who buys shares is unlikely to see any returns for several years, if ever.
I question the legality of the share instrument. Restricting stock purchase on sex and race is a blatant violation of the Civil Rights Bill.
Bookmark
If it was worth it, the property would already be in use by a thriving business.
You left out the KEY part!
The investor is not on the hook for the loan,
Shows that they believe it is easier to fool women and minorities, yes?
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