The Crown Resorts Limited (ASX: CWN) share price will tumble this morning after Las Vegas-based casino and construction group Wynn Resorts pulled its $14.75 per share proposed takeover bid for Crown via a press release.
"Following the premature disclosure of preliminary discussions, Wynn Resorts has terminated all discussions with Crown Resorts concerning any transaction."
Ouch. It appears Wynn's management are upset details of the deal leaked given it included a 50% scrip offer based on the volume weighted average price of Wynn shares prior to news of the deal breaking. Now the cat's out of the bag, Wynn has lost control in attempting some fine timing around its offer among other issues.
Given that Crown onboarded Goldman Sachs, UBS and law firm Ashurst as its advisers over the deal one can see there's plenty of scope for its details to leak even if these kind of top secret projects are supposed to exist under exotic pseudonyms and Chinese walls.
For Crown shareholders then it's back to square one, unless Wynn Resorts changes its mind further down the line.
