Penn National Inc. has announced its plan of separating the company into two. The bookmaking property owner of M Resort is reportedly splitting the business into traded public entities which include a huge investment trust for real estate. Penn National Gaming gladly announced to the online bookmaking community four other states included in the list of regulatory bodies nodding their approval to the split. Just recently, the Mississippi Gaming Commission, Iowa Gaming and Racing Commission, Pennsylvania State Racing Commission and Louisiana Gaming Control Board joined the bandwagon of gaming regulators to okay the plan of separation. Online and land based casino operators see this move as a positive sign for the expansion and freedom practiced in the gaming industry.
The Nevada Gaming Commission initialized this move as the regulatory and gaming board granted its approval to the prime casino operator just last month. Penn National Gaming is still awaiting the Securities and Exchange Commission or SEC in the United States government to bestow their approval on the proposed plan. The nod and go signal from SEC would culminate and seal off the transaction and its legitimacy to operate and go through with the business and company separation. According to Penn National legal team, the process will soon take off as soon as the company has secured all the necessary approval and authorization in compliance with the gambling regulations. The planned split of the huge bookmaking company includes a spin off and twists towards the real estate industry.
According to online reports about this proposition from the prime casino operator, Penn National Gaming seeks to put 19 of its bookmaking properties with the inclusion of M Resort into real estate investment trust. This transaction would result to the leasing back of seventeen bookmaking properties to the company. This would also mean that the trust signifies the right of Penn National Gaming to operate and own several bookmaking properties particularly those in Perryville, Maryland and Baton Rouge, Louisiana. Based on reports and forecasted development plans from the company, Penn National is aiming to initialize and start the split transaction by end of 2013.