Bally’s Removed from ‘Rating Watch Negative’ by Fitch, Rating Still B-
Posted on: October 24, 2025, 12:28h.
Last updated on: October 24, 2025, 12:46h.
- Completion of Intralot transaction helps reduce debt
- Bally’s still at an impasse with creditors over sale of Rhode Island casino real estate
Regional casino operator Bally’s was removed from “rating watch negative” by Fitch Ratings following the recent completion of a $3.17 billion transaction with Greek lottery provider Intralot that makes Bally’s the majority owner of the combined entity.
Fitch reiterated an overall credit rating of “B-“ on Bally’s, implying the issuer’s corporate debt is highly speculative. That grade is six notches into junk territory and just one rung above the dubious “CCC” range that implies substantial risk of default.
In July, Bally’s announced that it’s combining its international digital business with Greek lottery provider Intralot, resulting in $1.76 billion in cash flowing to Bally’s along with a 60% equity interest in the new version of Intralot. That deal, which was completed earlier this month, is expected to provide as much as $450 million in crucial funding for the operator’s $1.7 billion Chicago casino hotel project.
Bally’s has liquidity to fund its Chicago casino. No material debt maturities occur until 2028. The rating also reflects limited debt market access, high leverage, and reliance on Chicago’s construction and execution,” observes Fitch.
Fitch has a “stable” outlook on Bally’s credit rating while noting that grade and outlook could change pending the outcome of the Rhode Island real estate transaction.
Speaking of Rhode Island …
Last month, Bally’s announced plans to sell the real estate of the Twin River Lincoln Casino Resort in Lincoln, RI to Gaming and Leisure Properties (NASDAQ: GLPI) for $735 million and lease back the venue from the buyer.
That regional casino is part of the collateral backing the Chicago project, meaning the seller’s creditors need to approve the transaction – something they haven’t done as of yet. Some Bally’s lenders have banded together, hiring law firm Akin Gump Strauss Hauer & Feld LLP – known in part for its Chapter 11 bankruptcy expertise – to stifle Bally’s attempts to amend a term loan.
Earlier this week, Deutsche Bank, which was arranging amendments to the gaming company’s $1.9 billion loan, halted the deal following the aforementioned collaboration among Bally’s creditors. The gaming company needs creditors to get on board with the Twin River sale so it can push out to 2030 $600 million in debt maturities. Fitch believes the venue will eventually be sold, though the “timing is uncertain.”
“GLPI can purchase the property even if Bally’s has not obtained consents or refinanced, although that could result in a default of the term loan,” said the research firm.
Bally’s May Need More Financing
Depending on how things shake out in New York and how the Las Vegas site that was previously home to the Tropicana evolves, Bally’s could need more financing. Fitch says the company has access to capital, but its low credit rating makes that cash expensive.
Fixed-charge coverage is weak given the substantial leases, but the company’s regional gaming portfolio is relatively stable, and liquidity should be sufficient to fund minor downturns,” according to the ratings agency. “Fitch believes Bally’s has limited access to capital markets and may need to rely on third-party funding for its development projects and other funding needs.”
Bally’s is part of a trio of remaining contenders for New York City casino permits, and it’s pledging to invest $4 billion in the Bronx if it wins one of those licenses. If that happens, the operator would likely need to raise fresh capital.
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