Ameristar Withdraws Bid for Aztar

LAS VEGAS —  Ameristar Casinos Inc. said Wednesday it withdrew its $1.7-billion bid to acquire casino operator Aztar Corp. and has no intention to pursue the company at this time.

The Las Vegas-based company had last offered to buy Aztar for $47 a share. But Aztar has been approached by two other bidders who have offered more.

Phoenix-based Aztar has reached an agreement to be acquired by Pinnacle Entertainment Inc., whose latest bid was $48 a share in cash and stock.

But late Monday, Aztar said a separate $50-a-share offer from Wimar Tahoe Corp., doing business as Columbia Entertainment, was superior to the Pinnacle deal. With 35.9 million Aztar shares outstanding, that offer is worth nearly $1.8 billion.

Aztar owns one of the last big redevelopment opportunities on the Las Vegas Strip -- the Tropicana resort.

Under Aztar’s agreement with Pinnacle, it must wait three business days before it can terminate the Pinnacle deal and reach an agreement with another suitor.

Ameristar rose $1.17 to $26.43; Aztar fell 34 cents to $48.85.