Shares of Bally's surged 10.8% to $11.70 on September 22 after the company reaffirmed that its $1.7 billion permanent Chicago casino remains on schedule for an early 2027 opening, pushing back against reports that construction had stalled. The rally reflects how tightly this single project is tied to the company's survival story — and how nervous the market has been about it.
The "Pause" That Sparked the Scare Was Real, Just Narrower Than Headlines Suggested. In August, Bally's informed contractors it was "resetting the pace of construction" on parts of the permanent casino amid a dispute with Chicago's City Council over the legalization of video gambling terminals in bars and restaurants. The company laid off 136 employees and halted roughly 12% of the project — specifically non-gaming elements like the hotel and concert venue. Chairman Soo Kim said on a September 19 investor call that construction "continues every day" and that Bally's remains committed to a 2027 launch. Today's confirmation extended that reassurance, and the stock responded.
The Gambling Turf War With Chicago Isn't Over. Chicago's $16.6 billion 2026 budget lifted the city's ban on video gambling terminals, which Bally's argues violates the host community agreement that underpins its exclusive casino license. Bally's told the City Council it would be "irresponsible to go forward" with all promised amenities without knowing how much gambling competition it will face. If thousands of terminals flood Chicago bars, they could siphon customers from a casino designed to generate more than $100 million in new revenue every year for the city.
The Balance Sheet Makes Every Delay Existential. In its Q2 filing, Bally's disclosed "substantial doubt" about its ability to remain a going concern — corporate language meaning it may not be able to pay its bills within a year. Long-term debt stood at roughly $4.5 billion as of mid-2026.
Macquarie recently lowered its price target to $11 and maintains a neutral rating, while the new Bronx casino financing carries interest at SOFR plus 8.50% — an expensive rate reflecting lender caution.
Bronx Financing Adds Ambition — and Risk. Just eight days ago, Bally's secured $560 million from WhiteHawk Capital Partners for pre-construction on its planned $4 billion Bronx casino resort. That signals creditor confidence in individual projects even as the parent company's health remains fragile. But it also means Bally's is now juggling two mega-developments simultaneously on a leveraged balance sheet with negative free cash flow of -$681 million.
The stock's pop is a relief trade, not a verdict. Chicago is still being built — but so is the mountain of risk around it.