The West Virginia Lottery Commission has approved The Greenbrier casino's license under its new ownership structure, giving regulatory clearance to Kennedy Lewis Investment Management's controlling interest in the White Sulphur Springs resort.
Kennedy Lewis holds 51% of newly formed Greenbrier Holdco, the ultimate parent of The Greenbrier, while Senator Jim Justice and his family retain 49%. The investment firm also controls three seats on the resort corporation's five-member board, including Chairman Lloyd Nathan.
The approval follows months of scrutiny over The Greenbrier's finances. The Lottery Commission renewed its casino license in June after receiving delayed financial information and placed the property under quarterly reporting requirements.
The regulator had considered allowing the license to lapse amid concerns over the timing of the resort's financial disclosures.
The ownership change stems from a roughly $500m refinancing and joint venture with Kennedy Lewis. The transaction followed litigation brought by White Sulphur Springs Holdings, an affiliate of Omni Hotels & Resorts, after it acquired first-lien debt linked to the resort and sought the appointment of a receiver.
The refinancing paid down the Omni affiliate, although the final settlement amount has not been disclosed. A previous demanded payoff stood at $388m. The transaction also funded more than $10m in tax payments, including approximately $2.6m owed to West Virginia, alongside local property and federal tax obligations.
Under the restructuring, Greenbrier Holdco's finances will be ring-fenced from the wider Justice family business network. Greenbrier representatives said resort earnings will remain within the new joint venture, addressing previous concerns about transfers between affiliated Justice businesses.
West Virginia Lottery acting Director David Bradley said Kennedy Lewis brings "a good reputation, strong financial background" and linked the ownership change to greater financial stability at the resort.
Earlier this month, Global Gaming Insider reported that the casino would remain open while regulators reviewed the Kennedy Lewis joint venture. The previous review found approximately $240m in negative working capital across the wider Justice Family Group, while The Greenbrier casino generated nearly $15m in revenue and $6.9m in net income.
The Greenbrier casino opened in 2010 after Greenbrier County voters approved resort gaming in a 2008 referendum
