Deutsche Bank Wouldn't Be Shocked by Competing Bids for Ameristar
Deutsche Bank analyst Carlo Santarelli Friday morning issued a research note following the deal between Pinnacle Entertainment (NYSE: PNK) and Ameristar Casinos (NASDAQ: ASCA). The analyst said increased or competing offers for Ameristar "wouldn't be shocking."
Santarelli believes the deal makes “plenty of sense” for Pinancle, which will more than double in size after the deal. The analyst wondered how ASCA shareholders will accept this “modest” offer given recent M&A activity in the gaming industry.
Deutsche Bank maintained a Hold rating on and $22 price target on Ameristar Casino shares.
Both Ameristar and Pinnacle shares are up more than 20 percent at last check.
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