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Notice
Crowns Resorts Limited– Treatment of CWN ETOs under proposed acquisition by SS Silver II Pty Ltd, an entity owned by funds managed or advised by Blackstone Inc. and its affiliates (Blackstone)
Market Participants and ASX Clear (ASXCL) Participants are advised that Crown Resorts Limited (ASX code: CWN) have released a scheme Booklet regarding the proposed acquisition by Blackstone. The scheme is still subject to shareholders and court approvals.
If the scheme is approved and implemented, each independent CWN Shareholders will receive $13.10 cash for each CWN share they own at the scheme record date.
The indicative timetable (from the ETO’s perspective) is:
CWN Scheme Meeting |
Friday, 29 April 2022 |
Court hearing to approve the Scheme (Second Court Date) |
Tuesday, 3 May 2022 |
Scheme effective date Last day of trading in CWN shares – CWN shares will be suspended from trading on the ASX following the close of trading. |
Tuesday, 3 May 2022 |
Termination Implications for CWN ETOs
According to the terms of the scheme, CWN shares will cease trading after the scheme becomes effective. Shareholders will receive $13.10 per share if they continue to hold the shares until the scheduled record date. ASX has consulted ASXCL and has determined to terminate all CWN ETOs contracts by cash settlement at the intrinsic value with the reference price to be the last traded price in CWN on Tuesday, 3 May 2022.
Option positions held at the close of business on Tuesday, 3 May 2022 will be closed out and cash settled at the intrinsic value. Takers will be credited and writers debited. The intrinsic value method is equivalent to the expiry of the options effectively brought forward to the last day of trading of the underlying security. ASXCL will settle these cash amounts on the next business day – Wednesday, 4 May 2022.
Exercise Restriction
Exercises will be restricted on the last day of trading of CWN shares on ASX, Tuesday, 3 May 2022.
What do I need to do by when?
Participants should be aware of the content of this Notice as it sets out the treatment of the termination with respect to open positions in ASX CWN ETOs contracts.
Effective Date
A further ASX Notice will be released after the close of trading on Tuesday, 3 May 2022 setting out termination prices for ETO contracts.
Need more information?
Issued by
Greg Fitzpatrick, Clearing Operations
Contact information
William Ward
clearing@asx.com.au