London (Reuters) – South African casino operator Gold Reef Resorts agreed to be acquired by a group including Ethos Private Equity and Goldman Sachs for 34 rand a share, or about ZAR 9.85 billion (USD 1.37 billion). Gold Reef, which operates the Gold Reef City theme park and casino in Johannesburg and other casinos and hotels around the country, said on Monday after markets had closed that the deal implied an enterprise value of ZAR 11.6 billion.

Gold Reef Resorts has maintained its positive growth cycle with strong interim results for the six months to June 2007. Robust trade and expansion developments at most of Gold Reef Resort’s casinos boosted revenue 17,9% to ZAR 839,2 million, generating bottom line profitability of ZAR 138,2 million which was 25,4% higher than June 2007. The group earlier this month announced an acquisition offer which may see it acquired and de-listed by a private equity consortium including its own management and BEE shareholders.

Johannesburg (Reuters) – South African casino operator Gold Reef Resorts is in exclusive talks with a private equity consortium about a cash takeover that values the firm at about ZAR 9.85 billion (USD 1.37 billion). Gold Reef said on Monday a consortium led by Ethos Private Equity Fund V and including management and black investors might make an offer of 34 rand per share in cash. Gold Reef said that implied an enterprise value of ZAR 11.6 billion.

Harrah’s Entertainment, the world’s biggest gaming company, has been studying a USD 1bn (GBP 510m) acquisition of South African casino and hotels group Gold Reef Resorts. Harrah’s is believed to have expressed an interest in buying the business after the company said it had received approaches earlier in the year, according to sources.