# EDGAR Filing Document

**Accession Number:** 0001935799
**File Stem:** 0001104659-25-061353
**Filing Date:** 2025-6
**Character Count:** 1367482
**Document Hash:** d51c8a5ffe142c24052cd229b0b47413
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001104659-25-061353.hdr.sgml**: 20250623

**ACCESSION NUMBER**: 0001104659-25-061353

**CONFORMED SUBMISSION TYPE**: S-1/A

**PUBLIC DOCUMENT COUNT**: 20

**FILED AS OF DATE**: 20250623

**DATE AS OF CHANGE**: 20250623

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Bally's Chicago, Inc.
- **CENTRAL INDEX KEY:** 0001935799
- **STANDARD INDUSTRIAL CLASSIFICATION:** HOTELS & MOTELS [7011]
- **ORGANIZATION NAME:** 05 Real Estate & Construction
- **EIN:** 882870098
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** S-1/A
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 333-283772
- **FILM NUMBER:** 251062915

**BUSINESS ADDRESS:**
- **STREET 1:** 100 WESTMINSTER STREET
- **CITY:** PROVIDENCE
- **STATE:** RI
- **ZIP:** 02903
- **BUSINESS PHONE:** (401) 475-8474

**MAIL ADDRESS:**
- **STREET 1:** 100 WESTMINSTER STREET
- **CITY:** PROVIDENCE
- **STATE:** RI
- **ZIP:** 02903

[**TABLE OF CONTENTS**](#TOC)

#### As filed with the Securities and Exchange Commission on June 23, 2025

#### Registration No. 333-283772

### UNITED STATES SECURITIES AND EXCHANGE COMMISSION

#### Washington, D.C. 20549

#### AMENDMENT NO. 8 TO

### FORM S-1

#### REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933

### Bally's Chicago, Inc.
(Exact Name of Registrant as Specified in Its Charter)

---

| | | |
|:---|:---|:---|
| **Delaware** <br> (State or Other Jurisdiction of <br> Incorporation or Organization)  | **7011** <br> (Primary Standard Industrial <br> Classification Code Number)  | **88-2870098** <br> (I.R.S. Employer <br> Identification No.)  |

---

#### 100 Westminster Street Providence, RI 02903 (401) 475-8474
(Address, including zip code, and telephone number, including area code, of registrant's principal executive offices)

#### Ameet Patel 640 N LaSalle, Suite 460 Chicago, IL 60654 (401) 475-8474
(Name, address, including zip code, and telephone number, including area code, of agent for service)

---

| | |
|:---|:---|
| **Copies to:**  | **Copies to:**  |
| **Sony Ben-Moshe, Esq. <br> Senet Bischoff, Esq. <br> John Slater, Esq. <br> Latham & Watkins LLP <br> 1271 Avenue of the Americas <br> New York, NY 10020 <br> (212) 906-1200**  | **Oscar David, Esq. <br> Timothy Kincaid, Esq. <br> Michael Blankenship, Esq. <br> Winston & Strawn LLP <br> 35 W. Wacker Drive <br> Chicago, IL 60601 <br> (312) 558-5600**  |

---

#### Approximate date of commencement of proposed sale to the public: As soon as practicable after this Registration Statement is declared effective .
If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933 check the following box. ☐

If this Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, please check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

If this Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

If this Form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act:

Large accelerated filer ☐ Accelerated filer ☐ <br> Non-accelerated filer ☒ Smaller reporting company ☒ <br> Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 7(a)(2)(B) of the Securities Act. ☒

 **The registrant hereby amends this registration statement on such date or dates as may be necessary to delay its effective date until the registrant shall file a further amendment which specifically states that this registration statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933, as amended, or until the registration statement shall become effective on such date as the U.S. Securities and Exchange Commission, acting pursuant to said Section 8(a), may determine.** 

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The information contained in this prospectus is not complete and may be changed. These securities may not be sold until the registration statement filed with the Securities and Exchange Commission is effective. This prospectus is not an offer to sell these securities and it is not soliciting an offer to buy these securities in any state where the offer or sale is not permitted.

#### SUBJECT TO COMPLETION, DATED JUNE 23, 2025

#### PRELIMINARY PROSPECTUS
![[MISSING IMAGE: lg_ballys-pn.jpg]](lg_ballys-pn.jpg)

### $195,125,000 Bally's Chicago, Inc.

### 500 Class A-1 Interests at $250 per share, with a par value of $0.001 per share 1,000 Class A-2 Interests at $2,500 per share, with a par value of $0.001 per share

### 1,000 Class A-3 Interests at $5,000 per share, with a par value of $0.001 per share

### 7,500 Class A-4 Interests at $25,000 per share, with a par value of $0.001 per share
This is the initial public offering of Bally's Chicago, Inc., a Delaware corporation and indirect subsidiary of Bally's Corporation, a Delaware corporation. Unless the context otherwise requires, the terms "the Company," "we," "us" or "our" in this prospectus refer to Bally's Chicago, Inc. and its consolidated subsidiaries, including Bally's Chicago Operating Company, LLC, a Delaware limited liability company ("Bally's Chicago OpCo"), and the terms "Bally's Corporation" or "Bally's" refer to Bally's Corporation.

We are offering on a best efforts basis up to 10,000 in aggregate Class A Interests, allocated among 500 shares of Class A-1 common stock (the "Class A-1 Interests") at $250 per share, 1,000 shares of Class A-2 common stock (the "Class A-2 Interests") at $2,500 per share, 1,000 shares of Class A-3 common stock (the "Class A-3 Interests") at $5,000 per share and 7,500 shares of Class A-4 common stock (the "Class A-4 Interests" and, together with the Class A-1 Interests, the Class A-2 Interests and the Class A-3 Interests, the "Class A Interests") at $25,000 per share of Bally's Chicago, Inc. We currently intend to provide preferential allocations of Class A Interests to City of Chicago residents and Illinois residents during this offering. We have not made any arrangements to place the proceeds from this offering in an escrow or trust account. There are no minimum purchase requirements for each investor. There is no minimum number of Class A Interests to be sold or minimum aggregate offering proceeds for this offering to close.

Certain investors (the "private placement investors") have entered into agreements with us pursuant to which they have agreed to purchase Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests, respectively, in a private placement (the "concurrent private placements") at a price per share equal to the initial public offering. The concurrent private placements are being made pursuant to Rule 506(c) under Regulation D promulgated under the Securities Act of 1933, as amended (the "Securities Act"). Each private placement investor has represented to us in writing that such private placement investor qualified as an "Accredited Investor" as such term is defined by Regulation D promulgated under the Securities Act, and has provided us with additional documentation to assist us in verifying such private placement investor's status as an Accredited Investor. Our agreements with the private placement investors are contingent upon, and are scheduled to close immediately subsequent to, the closing of this offering as well as the satisfaction of certain conditions to closing as further described in "*Concurrent Private Placements*."

On March 10, 2025, we entered into Initial Private Placements pursuant to Rule 506(c) under Regulation D promulgated under the Securities Act ("Rule 506(c)") by which we sold a total of 1,185 Class A Interests, including 272 Class A-1 Interests at $250 per share, 281 Class A-2 Interests at $2,500 per share, 171 Class A-3 Interests at $5,000 per share and 461 Class A-4 Interests at $25,000 per share, in each case to certain Accredited Investors for an aggregate purchase price of $13.2 million (the "Initial Private Placements"). Concurrently, we also sold an additional 2,800 shares of Class A-4 Interests to Bally's Chicago HoldCo, LLC at a purchase price of $25,000 per share (together with the sale of 1,185 Class A Interests, the "initial Class A Interest issuances"). In connection with the issuance of these shares, we entered into a subordinated loan agreement with Bally's Chicago HoldCo, pursuant to which Bally's Chicago HoldCo made subordinated term loans that were funded through Bally's Chicago HoldCo's transfer of 659 Class A-4 shares to us, as further described in "*Management's Discussion and Analysis of Financial Condition and Results of Operations — Recent Developments*."

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Following the closing of this offering and the consummation of the Transactions (as defined herein), we will have five classes of stock: Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, Class A-4 Interests and Class B Interests (the "Class B Interests"). Class B Interests are not being offered hereby, and are held exclusively by Bally's Chicago Holding Company, LLC ("Bally's Chicago HoldCo"), our direct parent and a wholly-owned subsidiary of Bally's Corporation. The rights of the holders of Class A Interests and Class B Interests will be identical, except with respect to the impact of the Subordinated Loans attributable to Class A-1 Interests, Class A-2 Interests and Class A-3 Interests described below, the rights to distributions as summarized below and that Class B Interests have no economic interest in Bally's Chicago, Inc. Each Class A Interest and each Class B Interest is entitled to one vote per share on all matters submitted to a vote of stockholders. Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, Bally's Chicago HoldCo, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, will hold 74.2% of the voting power and 16.1% of the economic power of our stock.

We are a holding company and the sole managing member of Bally's Chicago OpCo, and we conduct our business through Bally's Chicago OpCo.

Following the closing of this offering and the concurrent private placements and the applications of proceeds therefrom and the consummation of the Transactions, our principal assets will consist of the limited liability company interests (the "LLC Interests") of Bally's Chicago OpCo that we currently hold plus those that we intend to purchase directly from Bally's Chicago OpCo with the net proceeds from this offering, the concurrent private placement and the Subordinated Loans (as defined herein), collectively representing an aggregate 30.8% economic interest in Bally's Chicago OpCo. The remaining 69.2% economic interest in Bally's Chicago OpCo will be owned by Bally's Chicago HoldCo through its ownership of LLC Interests.

In connection with this offering and the concurrent private placements, we intend to enter into an amended and restated subordinated loan agreement with Bally's Chicago HoldCo pursuant to which Bally's Chicago HoldCo, as lender, will make subordinated loans to us, as borrower, in various tranches and in varying amounts based on the total number of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests sold in this offering and the concurrent private placements. None of the new investors purchasing Class A Interests in this offering and the concurrent private placements will be a party to the amended and restated subordinated loan agreement, or a borrower or lender under the Subordinated Loans (as defined herein). For each Class A-1 Interest sold in this offering and the concurrent private placements, we will incur $24,750 of subordinated loans from Bally's Chicago HoldCo (such loans, the "Class A-1 Subordinated Loans"). For each Class A-2 Interest sold in this offering and the concurrent private placements, we will incur $22,500 of subordinated loans from Bally's Chicago HoldCo (such loans, the "Class A-2 Subordinated Loans"). For each Class A-3 Interest sold in this offering and the concurrent private placements, we will incur $20,000 of subordinated loans from Bally's Chicago HoldCo (such loans, the "Class A-3 Subordinated Loans" and, together with the Class A-1 Subordinated Loans and Class A-2 Subordinated Loans, the "Subordinated Loans"). We will not incur any Subordinated Loans or other debt in connection with the issuance of the Class A-4 Interests or the Class B Interests. Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly. The Subordinated Loans will be non-recourse to the holders of our Class A Interests. See "*Subordinated Loans*."

Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution (as defined herein) that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. Therefore, even if our Board (or a duly authorized committee of the Board) authorizes and declares a dividend on our shares of stock, holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests will not be entitled to receive any such dividend until such time as the corresponding Subordinated Loans associated with such Class A Interests are paid in full, which may take a prolonged period of time to occur, if at all.

Our Subordinated Loans will accrue interest at a rate of 11.0% per annum, compounding quarterly, and accrued and unpaid interest will be added to the outstanding principal amount thereof on a quarterly basis. As a result, the amount of Subordinated Loans that are to be paid with a percentage of the amounts that would otherwise be paid on account of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests will increase during the period between the closing date of this offering and the date, if any, on which dividends are to be paid on the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests.

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In addition, given the Class A-3 Subordinated Loans attributable to each Class A-3 Interest will be lower than the Class A-1 Subordinated Loans and Class A-2 Subordinated Loans attributable to the Class A-1 Interests and Class A-2 Interests, respectively, the Class A-3 Subordinated Loans are expected to be fully repaid prior to the Class A-1 Subordinated Loans and the Class A-2 Subordinated Loans, to the extent they are fully repaid. Similarly, the Class A-2 Subordinated Loans are expected to be fully repaid prior to the Class A-1 Subordinated Loans, to the extent they are fully repaid. However, due to the significant amount of indebtedness (including both principal and interest) owed on the Subordinated Loans, we do not expect to fully repay the Subordinated Loans for an extended period of time following the closing of this offering, if at all.

While we do not currently intend to issue any additional securities in the future, we may be required to do so from time to time in order to continue to fund our operations. To the extent we decide to issue additional Class A Interests in the future, we may be required to offer you an opportunity to participate pro rata in the offering in order for such offering not to dilute the ownership of individuals or entities meeting the requirements of the Host Community Agreement. However, to the extent that you determine that you either do not want to participate or cannot participate in any such offering, you will suffer immediate dilution to the extent such offering is completed without your participation. Additionally, we cannot guarantee that we will offer financing options similar to the Subordinated Loans in the future, which would significantly increase the costs of any future investment.

Neither our Class A Interests nor our Class B Interests will be listed on any national securities exchange or on any other stock exchange, regulated trading facility or automated dealer quotation system in the United States or internationally. There is no trading market for our Class A Interests and, due to certain transferability restrictions described below and elsewhere in this prospectus, an active market for our Class A Interests will not likely develop in the future. As such, our Class A Interests will have limited liquidity and holders of our Class A Interests may not be able to monetize their full investment in our Class A Interests, if at all. See "*Description of Capital Stock*" and "*Shares Eligible for Future Sale*."

Our Class A Interests are subject to restrictions on transferability and redemption provisions, each of which will individually and in the aggregate materially impact the ability of holders of our Class A Interests to transfer their shares following the closing of this offering. Our Class A Interests can only be transferred without our consent to Permitted Transferees (as defined herein). Additionally, our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests can be transferred with our consent only after the Subordinated Loan attributable to such class of Interests has been paid in full and such Interests are converted to Class A-4 Interests. All Class A-1 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-1 Subordinated Loans, all Class A-2 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-2 Subordinated Loans and all Class A-3 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-3 Subordinated Loans. If a holder of Class A-1 Interests, Class A-2 Interests and/or Class A-3 Interests would like to transfer their Interests before the Subordinated Loans attributable to such class of Interests are paid off, such holder or the transferee may repay in full the pro rata amount of the remaining balance of the Subordinated Loans then outstanding attributable to such Interests before or substantially concurrently with such transfer and conversion. See "*Description of Capital Stock*" and "*Shares Eligible for Future Sale*." Class A Interests also cannot be transferred to employee benefit plans, IRAs and other Plans (as defined herein). See "*Certain ERISA Considerations*."

 *Moreover, as part of the qualification process, investors will be required to provide certain information described in this prospectus in order to invest in this offering. The method for submitting investment commitments and a more detailed description of this offering process are included in "Plan of Distribution — Offering Process."* 

#### See " Prospectus Summary — Our Relationship with Chicago " beginning on page 16 for additional requirements under the Host Community Agreement.
 **As a result of the terms of this offering, this offering is highly speculative and the securities involve a high degree of risk. Investing in our Class A Interests should be considered only by persons who can afford the loss of their entire investment. See "*Risk Factors*" beginning on page [52](#tRIFA).** 

 **We made a number of assumptions to determine the price of our Class A Interests. If any of our assumptions are incorrect, then the Class A Interests will be worth less than the price stated in this prospectus. In such case, the return on investment or rate of return on an investment in our Class A Interests could be significantly below an investor's expectation.** 

 **We are an "emerging growth company" and a "smaller reporting company" under the federal securities laws, and, as such, are subject to reduced public company reporting requirements. See "*Prospectus Summary —Implications of Being an Emerging Growth Company and a Smaller Reporting Company*."** 

 **Neither the SEC nor any state securities commission has approved or disapproved of these securities or determined if this prospectus is truthful or complete. Any representation to the contrary is a criminal offense.** 

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| | | |
|:---|:---|:---|
| | **Per Class A-1 Interest**  | **Total**  |
| Number of shares sold  |  |  |
| Initial public offering price  | $250 | $|
| Subordinated loan<sup>(1)</sup>  | $24750 | $|
| Placement agent fees<sup>(2)</sup>  | $— | $|
| Proceeds to us, before expenses  | $— | $|

---

---

| | | |
|:---|:---|:---|
| | **Per Class A-2 Interest**  | **Total**  |
| Number of shares sold  |  |  |
| Initial public offering price  | $2500 | $|
| Subordinated loan<sup>(1)</sup>  | $22500 | $|
| Placement agent fees<sup>(2)</sup>  | $— | $|
| Proceeds to us, before expenses  | $— | $|

---

---

| | | |
|:---|:---|:---|
| | **Per Class A-3 Interest**  | **Total**  |
| Number of shares sold  |  |  |
| Initial public offering price  | $5000 | $|
| Subordinated loan<sup>(1)</sup>  | $20000 | $|
| Placement agent fees<sup>(2)</sup>  | $— | $|
| Proceeds to us, before expenses  | $— | $|

---

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| | | |
|:---|:---|:---|
| | **Per Class A-4 Interest**  | **Total**  |
| Number of shares sold  |  |  |
| Initial public offering price  | $25000 | $|
| Subordinated loan<sup>(1)</sup>  | $0 | $|
| Placement agent fees<sup>(2)</sup>  | $— | $|
| Proceeds to us, before expenses  | $— | $|

---

(1) Includes amount of Subordinated Loans attributable to each Class A Interest sold in this offering. Purchasers of Class A Interests will not be borrowers or lenders under the Subordinated Loans.

(2) See "*Plan of Distribution*."

We have reserved up to 300 Class A Interests, or approximately 3.0% of our Class A Interests, for sale to our director nominees on the same terms as the Class A Interests being purchased by investors in this offering. These persons must commit to purchase at the same time as the investors in this offering. The number of Class A Interests available for sale in this offering will be reduced to the extent these persons purchase the reserved Class A Interests. See "*Plan of Distribution — Directed Share Program*."

The placement agents are deemed to be underwriters within the meaning of Section 2(a)(11) of the Securities Act, and any fees received by them will be deemed to be underwriting discounts or commissions under the Securities Act. See "*Plan of Distribution*."

This offering will terminate upon the earlier to occur of (i) 30 days after the registration statement of which this prospectus forms a part becomes effective with the SEC or (ii) the date on which all Class A Interests offered hereby have been sold.

 *Lead Placement Agent* 

### Loop Capital Markets
 *Co-Placement Agent* 

#### Innovation Capital
The date of this prospectus is , 2025.

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![[MISSING IMAGE: cv_ofc2-html4c.jpg]](cv_ofc2-html4c.jpg)

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#### **TABLE OF CONTENTS**

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| | |
|:---|:---|
| [INDUSTRY AND MARKET DATA](#tIAMD)  | [iii](#tIAMD) |
| [PROSPECTUS SUMMARY](#tPRSU)  | [1](#tPRSU) |
| [THE OFFERING](#tTHOF)  | [35](#tTHOF) |
| [QUESTIONS AND ANSWERS](#tQAA)  | [41](#tQAA) |
| [RISK FACTORS](#tRIFA)  | [52](#tRIFA) |
|  [SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS AND INDUSTRY DATA](#tSNRF)  | [94](#tSNRF) |
| [OUR ORGANIZATIONAL STRUCTURE](#tOOSE)  | [97](#tOOSE) |
| [USE OF PROCEEDS](#tUOP)  | [99](#tUOP) |
| [DIVIDEND POLICY](#tDIPO)  | [100](#tDIPO) |
| [CAPITALIZATION](#tCAP)  | [102](#tCAP) |
| [DILUTION](#tDIL)  | [104](#tDIL) |
|  [UNAUDITED PRO FORMA CONDENSED CONSOLIDATED FINANCIAL <br> INFORMATION](#tUPCI)  | [105](#tUPCI) |
|  [MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](#tMDAA)  | [115](#tMDAA) |
| [BUSINESS](#tBUS)  | [135](#tBUS) |
| [MANAGEMENT](#tMAN)  | [158](#tMAN) |
| [SUBORDINATED LOANS](#tSUDE)  | [164](#tSUDE) |
| [EXECUTIVE COMPENSATION](#tEXCO)  | [166](#tEXCO) |
| [TRANSACTIONS WITH RELATED PERSONS](#tTWRP)  | [172](#tTWRP) |
| [PRINCIPAL STOCKHOLDERS](#tPRST)  | [176](#tPRST) |
| [DESCRIPTION OF CAPITAL STOCK](#tDOOI)  | [178](#tDOOI) |
| [DESCRIPTION OF CERTAIN INDEBTEDNESS](#tDOCI)  | [182](#tDOCI) |
| [PLAN OF DISTRIBUTION](#tPOD)  | [183](#tPOD) |
| [CONCURRENT PRIVATE PLACEMENTS](#tCPPS)  | [188](#tCPPS) |
| [SHARES ELIGIBLE FOR FUTURE SALE](#tIEFF)  | [189](#tIEFF) |
| [MATERIAL U.S. FEDERAL INCOME TAX CONSEQUENCES](#tMUFI)  | [194](#tMUFI) |
| [CERTAIN ERISA CONSIDERATIONS](#tCEC)  | [200](#tCEC) |
| [LEGAL MATTERS](#tLEMA)  | [202](#tLEMA) |
| [EXPERTS](#tEXP)  | [202](#tEXP) |
| [WHERE YOU CAN FIND MORE INFORMATION](#tWYCF)  | [202](#tWYCF) |
| [INDEX TO FINANCIAL STATEMENTS](#tITFS)  | [F-1](#tITFS) |

---

We have not, and the placement agents have not, authorized anyone to provide you with any information other than that contained in this prospectus or in any free writing prospectus we may authorize to be delivered or made available to you. We take no responsibility for, and can provide no assurance as to the reliability of, any other information that others may give you. This prospectus may only be used where it is legal to offer and sell our Class A Interests. The information in this prospectus is complete and accurate only as of the date on the front cover of this prospectus, regardless of the time of delivery of this prospectus or any sale of our Class A Interests. Our business, financial condition, results of operations and prospects may have changed since that date. We are not, and the placement agents are not, making an offer of these securities in any jurisdiction where the offer is not permitted.

This prospectus has been prepared by Bally's Chicago, Inc. and may be used by our placement agents in connection with offers and sales of these securities in primary market transactions in these securities.

i

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Neither we nor the placement agents have undertaken any efforts to qualify this offering for offers to investors in any jurisdiction outside of the states of Illinois, Florida, New York and Texas. Investors must have a U.S. social security number and/or a U.S. tax identification number to be eligible to participate in this offering.

ii

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#### INDUSTRY AND MARKET DATA
This prospectus includes estimates regarding market and industry data. Unless otherwise indicated, information concerning our industry and the markets in which we operate, including our general expectations, market position, market opportunity and market size, are based on our management's knowledge and experience in the markets in which we operate, together with currently available information obtained from various sources, including publicly available information, industry reports and publications, trade and business organizations, and other contacts in the markets in which we operate. Certain information is based on management estimates, which have been derived from third-party sources, as well as data from our internal research, and are based on certain assumptions that we believe to be reasonable.

In presenting this information, we have made certain assumptions that we believe to be reasonable based on such data and other similar sources and on our knowledge of, and our experience to date in, the markets in which we operate. While we believe the estimated market and industry data included in this prospectus are generally reliable, such information, which is derived in part from management's estimates and beliefs, is inherently uncertain and imprecise, and you are cautioned not to give undue weight to such estimates. Market and industry data are subject to change and may be limited by the availability of raw data, the voluntary nature of the data gathering process and other limitations inherent in any statistical survey of such data. In addition, projections, assumptions and estimates of the future performance of the markets in which we operate are necessarily subject to uncertainty and risk due to a variety of factors, including those described in "*Risk Factors*" and "*Special Note Regarding Forward-Looking Statements*." These and other factors could cause results to differ materially from those expressed in the estimates made by third parties and by us. Accordingly, you are cautioned not to place undue reliance on such market and industry data or any other such estimates. The content of, or accessibility through, the sources and websites identified herein, except to the extent specifically set forth in this prospectus, does not constitute a portion of this prospectus and is not incorporated herein and any websites are an inactive textual reference only.

#### KEY PERFORMANCE INDICATORS
The key performance indicators used in managing our business is Income (loss) from operations for our Permanent Casino reportable segment and Adjusted EBITDAR for our Temporary Casino reportable segment. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations — Operating Structure*" for more information about our reportable segments. Temporary Casino Adjusted EBITDAR is a measure of the Company's segment profitability disclosed in accordance with the requirements of ASC 280, Segment Reporting, and it does not represent a non-GAAP measure. Temporary Casino Adjusted EBITDAR is defined as earnings, or loss, for the temporary casino before interest expense, net of interest income, provision (benefit) for income taxes, depreciation and amortization, non-operating (income) expense, expansion costs, management fees to Bally's Corporation, rent expense from triple net operating leases, and certain other gains or losses.

iii

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#### PROSPECTUS SUMMARY
 *The following summary highlights information contained elsewhere in this prospectus and is qualified in its entirety by the more detailed information and financial statements included elsewhere in this prospectus. This summary does not contain all of the information that may be important to you. You should read and carefully consider the following summary together with the entire prospectus, including our financial statements and the related notes thereto appearing elsewhere in this prospectus, before deciding to invest in our Class A Interests. Some of the statements in this prospectus constitute forward-looking statements that involve risks and uncertainties. See "Special Note Regarding Forward-Looking Statements and Industry Data." Our actual results could differ materially from those anticipated in such forward-looking statements as a result of certain factors, including those discussed in "Risk Factors" and other sections of this prospectus.* 

#### Our Mission
Our mission is to design, build and operate a world-class entertainment destination resort, befitting Chicago's status as a world-class city.

#### Our Company
We are a gaming, hospitality and entertainment company with the singular focus of building and operating a world-class entertainment destination resort in Chicago, Illinois. We intend to provide both Chicago residents and business and leisure travelers visiting Chicago with physical and interactive entertainment and gaming experiences.

We intend to build a destination casino, hotel and entertainment venue (our "permanent casino and resort") that will showcase "The Best of Chicago" arts and culture, food and sports, and curated dining and entertainment experiences. Our permanent casino and resort in Chicago will be located on the 30-acre property which previously hosted the Chicago Tribune Publishing Center, at the intersection of Chicago Avenue and Halsted Street in downtown Chicago, and will look to transform this currently underutilized site into a major economic driver for the city. Our permanent casino and resort will be in close proximity to a wide range of hotels, theaters, bars, restaurants, major shopping districts and the McCormick Place Convention Center, the proximity to which will help drive traffic to our permanent casino and resort, primarily due to our differentiated gaming attractions in comparison to other offerings in this geographic location.

In developing the entertainment destination resort, we intend to adhere to Bally's community-first policy, which is a fundamental and defining element of who we are as a company. We believe that in every community in which Bally's operates, it has built strong, lasting partnerships with local residents and businesses. Chicago will be no different. With this project, we are committed to ensuring that our permanent casino and resort generates significant economic stimulus and creates a wealth of employment opportunities for the greater Chicago community.

Among other features and amenities, once finalized, our permanent casino and resort is being designed to include approximately:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 3,400 slot machines;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 173 table games;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 10 food and beverage ("F&B") venues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a hotel tower with 500 rooms and a rooftop bar;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a 3,000-person mixed use entertainment and event center;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 3,300 parking spaces; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • outdoor green space, including an expansive public riverwalk with a water taxi stop.

On May 5, 2022, the City of Chicago selected us as the preferred bidder in Chicago's request for proposal process (the "RFP process") to construct and operate a world-class casino resort in downtown Chicago. We worked cooperatively with city officials and community leaders throughout the RFP process to

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develop a project that embraced Chicago as a global gateway city, incorporating its vibrant cultural scene and highly diversified economy. Chicago selected us on the basis that they believe our plan provides the most economic value to Chicago and its taxpayers, including an upfront payment of $40.0 million and annual payments to the City totaling $4.0 million.

The gaming taxes on our gaming revenue will be paid to the state of Illinois and the City of Chicago, with the City of Chicago taxes applied to pay a portion of the City's obligations toward its fire and police union pensions. Additionally, our permanent casino and resort is projected to create approximately 12,250 design, development and construction jobs and approximately 3,000 permanent jobs upon the opening of our permanent casino and resort.

#### Bally's Corporation
Our ultimate parent, Bally's Corporation, is a global gaming, hospitality and entertainment company with a portfolio of casinos and resorts and online gaming businesses. Bally's Corporation provides its customers with physical and interactive entertainment and gaming experiences, including traditional casino offerings, iGaming, online bingo, sportsbook and free to play games ("F2P").

As of March 31, 2025, Bally's Corporation owns and manages 19 casinos in 11 states across the United States, one golf course in New York, one horse racetrack in Colorado, and Aspers Casino in the United Kingdom. Its land-based casino operations include approximately 17,300 slot machines, 600 table games and 4,165 hotel rooms, along with various restaurants, entertainment venues and other amenities. Certain of its properties are leased under multiple lease and master lease arrangements with GLP Capital, L.P. ("GLP"), a subsidiary of Gaming and Leisure Properties, Inc. ("GLPI"), a publicly traded gaming-focused real estate investment trust ("REIT"). It also owns Bally Bet, a first-in-class sports betting platform, Bally Casino, a growing iCasino platform, Bally's Interactive International division (formerly Gamesys Group), a leading global interactive gaming operator, and a significant economic stake in Intralot S.A. (ATSE: INLOT), a global lottery management and services business. Its revenues are primarily generated by these gaming and entertainment offerings. Bally's Corporation owns and operates its proprietary software and technology stack designed to allow it to provide consumers with differentiated offerings and exclusive content.

On February 7, 2025, Bally's Corporation completed its previously announced transactions under the Agreement and Plan of Merger (as amended, the "Merger Agreement"), pursuant to which The Casino Queen & Entertainment Inc. ("Casino Queen"), a corporation majority-owned by funds managed by Standard General L.P., Bally's Corporation's largest common stockholder, merged with Bally's Corporation (the "Merger"). Pursuant to the agreement, Bally's stockholders received cash merger consideration of $18.25 per share, unless such stockholders elected the rollover election to forego the cash consideration in order to remain invested in the combined company. In connection with the foregoing transactions, Bally's combined with Casino Queen, a regional casino operator and owner of a significant minority stake in global lottery operator Intralot S.A.

The Bally's Corporation Merger with Casino Queen was accounted for as a transaction between entities under common control due to the control of the Company and Casino Queen by their parent and its affiliates before and after the Merger. The Company has elected to push down its parent's basis in its net assets into its unaudited condensed consolidated financial statements, and as a result, unless the context otherwise requires, the "Company," for periods prior to the Closing, refers to Bally's (or the "Predecessor"), and for the periods after the Closing, refers to the combined company of Bally's and Casino Queen (or the "Successor").

#### Our Location
We have leased a 30-acre property on the banks of the Chicago River, which previously hosted the Chicago Tribune Publishing Center. The proposed site for our permanent casino and resort is at the intersection of Chicago Avenue and Halsted Street in downtown Chicago, which we believe will be an optimal location for our permanent casino and resort. We will look to transform this currently underutilized site into a major economic driver for the city. The proposed site for our permanent casino and resort is also near major shopping and cultural attractions along Michigan Avenue, as well as a wide selection of hotels and restaurants at various price points and that are popular among local residents and tourists.

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The proposed site is less than five minutes away from a major highway exit, making it easily accessible by car. We also intend to build a new water taxi stop and a new pedestrian bridge across the Chicago River to make the proposed site even more accessible to Chicago residents and tourists in the downtown area. Our permanent casino and resort will be the only casino in the City of Chicago. The next closest casino is 16 miles outside of the city and not easily accessible via public transportation.

Once fully developed and operational, it will take a commuter approximately:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 15 minutes on average to reach our permanent casino and resort from Chicago Loop via public transportation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 10 minutes on average to reach our permanent casino and resort from Magnificent Mile via public transportation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 45 minutes on average to reach our permanent casino and resort from Chicago O'Hare International Airport via public transportation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 50 minutes on average to reach our permanent casino and resort from Midway Airport via public transportation.

In addition, our permanent casino and resort will have approximately 2,000 feet of contiguous river walk, public parks and docks. Additionally, it will include riverfront restaurants and other amenities, including locations for scenic views.

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![[MISSING IMAGE: mp_permresort-4clr.jpg]](mp_permresort-4clr.jpg)

 *For illustrative purposes, subject to change, see "Risk Factors — Development and Construction Risks"* 

#### Design & Construction
Demolition for construction of our permanent casino, performance center, resort, F&B offerings and hotel began on July 5, 2024, and our permanent casino and resort is expected to open to the public in September 2026. Our plan is to build in phases with demolition, site prep, parking and access to be followed by the construction of the permanent casino, performance center, and hotel tower, and would target that key elements of the project to be ready and prepared to serve patrons by the third quarter of 2026. However, there can be no assurances that we will be successful in doing so. Additionally, based upon our joint assessment with GLPI at the time that we entered into the GLP Term Sheet (as defined herein), we expect to incur expenses amounting to at least approximately $1.4 billion in the design, development and construction of our permanent casino and resort. However, this estimate is subject to change based on numerous factors outside of our control, which could cause the actual construction costs to increase. Any increased construction costs could materially and adversely affect the return on our investments. For additional discussion of these factors, please see "*Risk Factors — Development and Construction Risks.*"

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![[MISSING IMAGE: pht_resort1-4c.jpg]](pht_resort1-4c.jpg)

![[MISSING IMAGE: pht_resort2-4c.jpg]](pht_resort2-4c.jpg)

 *Permanent casino and resort renderings (November 2024) Illustrative design, subject to change, see "Risk Factors — Development and Construction Risks"* 

In connection with the development and construction of our permanent casino and resort, we intend to contract or achieve:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 46% or more of the funds earmarked for construction and development will be disbursed to businesses with a certification as Minority (as defined by MCC 2-92-670(n) of the municipal code of the City of Chicago) or women-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 50% or more total hours spent on construction and development by City of Chicago residents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • LEED Gold certification from Green Building Council; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 125 points under the Chicago Sustainable Development Policy.

In addition, we are in discussion with the Illinois Gaming Board and Midway International Airport to install slot machines at Midway International Airport.

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In November 2022, we entered into the Oak Street Lease Agreement (as defined herein) to lease the proposed site on which we plan to develop our permanent casino and resort. The Oak Street Lease Agreement commenced on November 18, 2022 and has a 99-year term.

On July 11, 2024, Bally's entered into a binding term sheet (the "GLP Term Sheet") with GLP for a strategic construction and financing arrangement, including up to $940.0 million of funding for the construction of our permanent casino and resort. In connection therewith, GLP acquired the fee interest in the proposed site on which we plan to develop our permanent casino and resort from the Oak Street Landlord (as defined herein) and succeeded to the Oak Street Landlord's interest as landlord under the Oak Street Lease Agreement. We and GLP are negotiating the GLP Lease Agreement (as defined herein) pursuant to which GLP will lease the site back to us, and the Oak Street Lease Agreement will be terminated. The GLP Lease Agreement will have a 15-year term followed by multiple renewal terms to be agreed between us and GLP. We expect to consummate the GLP Lease Agreement and terminate the Oak Street Lease Agreement in the third quarter of 2025.

#### Performance of Comparable Casinos
For comparative context, we have included Win Per Unit Per Day ("WPUPD"), which is the average revenue a single gaming unit generates daily, and Adjusted Gross Revenue ("AGR"), which is the WPUPD on an annualized basis, data, slot machine counts, and table game counts as of and for the year ended December 31, 2024 for select gaming properties. This information has been derived from public filings of the respective casino operators. The properties included are the MGM National Harbor Casino and Encore Boston Harbor Casino, which are casino resorts in a campus environment that operate in or near similar major metropolitan areas, as well as Hard Rock Northern Indiana Casino, Rivers Casino, Ameristar East Chicago, Grand Victoria Casino, Harrah's Joliet Casino & Hotel, Hollywood Casino Aurora, Hollywood Casino Joliet, and Horseshoe Hammond, which are casinos located near the Chicago metropolitan area and in Northern Indiana. We have identified these properties as comparable to our proposed permanent casino and resort based on certain factors, including location in metropolitan areas with similar demographic profiles, comparable economic characteristics of the surrounding regions, and proximity to the City of Chicago.

Investors should be aware that these comparisons have limitations and may not be directly applicable to our proposed operations due to various factors, including but not limited to differences in local market conditions, variations in regulatory environments, property-specific operational strategies, and unique competitive landscapes in each market. The information provided is intended solely to offer context and does not constitute a projection or forecast of our future performance.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Comparable Properties for 2024<sup>(12)</sup>**  | **Comparable Properties for 2024<sup>(12)</sup>**  | **Comparable Properties for 2024<sup>(12)</sup>**  | **Comparable Properties for 2024<sup>(12)</sup>**  |
| **($ in MM, except WPUPD metrics)**  | **MGM <br> National <br> Harbor**  | **Encore <br> Boston**  | **Hard Rock <br> Northern <br> Indiana**  | **Rivers <br> Casino <br> Illinois**  |
| Slot Machines  | 2293 | 2633 | 1750 | 1516 |
| Slots WPUPD  | $610 | $440 | $494 | $580 |
| Table Games  | 161 | 180 | 77 | 120 |
| Table Games WPUPD  | $5582 | $4519 | $4277 | $4457 |
| **Total Gaming AGR<sup>(13)</sup>**  | $**839** | $**720** | $**436** | $**516** |

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(13) Gaming AGR does not include retail sportsbook.

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#### Illinois and Northern Indiana Slots

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| | | | | |
|:---|:---|:---|:---|:---|
| | | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  |
| | **# Slots**  | **Admissions**  | **AGR**  | **WPU**  |
| Ameristar East Chicago  | 1075 | N/A | $142 | $363 |
| Grand Victoria Casino  | 746 | 934 | $111 | $408 |
|  ***Hard Rock Northern Indiana***  | **1750** | **N/A** | $**316** | $**494** |
| Harrah's Joliet Casino & Hotel  | 754 | 687 | $106 | $387 |
| Hollywood Casino Aurora  | 837 | 853 | $78 | $255 |
| Hollywood Casino Joliet  | 918 | 662 | $79 | $237 |
| Horseshoe Hammond  | 1594 | N/A | $203 | $349 |
|  ***Rivers Casino Des Plaines***  | **1516** | **3069** | $**321** | $**580** |
| **Average** | **1149** | **1241** | $**170** | $**384** |
| **Median** | **997** | **853** | $**127** | $**375** |
|  ***Top Performers – Averages*** |  |  |  |  |
| **Top Performer Average**  | **1633** | **3069** | $**319** | $**537** |

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#### Illinois and Northern Indiana Table Games

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| |  | | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  |
| | **# Tables**  | **# Tables**  | **Admissions**  | **AGR**  | **WPU**  |
| Ameristar East Chicago  |  | 39 | N/A | $29 | $2052 |
| Grand Victoria Casino  |  | 45 | 934 | $28 | $1682 |
|  ***Hard Rock Northern Indiana***  |  | **77** | **N/A** | $**120** | $**4277** |
| Harrah's Joliet Casino & Hotel  |  | 21 | 687 | $18 | $2394 |
| Hollywood Casino Aurora  |  | 41 | 853 | $21 | $1431 |
| Hollywood Casino Joliet  |  | 14 | 662 | $11 | $2190 |
| Horseshoe Hammond  |  | 85 | N/A | $49 | $1567 |
|  ***Rivers Casino Des Plaines***  |  | **120** | **3069** | $**195** | $**4457** |
| **Average** |  | **55** | **1241** | $**59** | $**2506** |
| **Median** |  | **43** | **853** | $**29** | $**2121** |
|  ***Top Performers – Averages*** |  |  |  |  |  |
| **Top Performer Average**  |  | **98** | **3069** | $**158** | $**4367** |

---

(12) Based on publicly available information. All figures are as of and for the year ended December 31, 2024.

These illustrative comparisons are only for purposes of illustrating the publicly reported WPUPD per slot machine and table game, and the associated AGR for nearby casino properties in Illinois and Northern Indiana. These illustrative comparisons are not projections, goals or targets but reflect the actual reported results of these casino properties as reported by the Illinois and Indiana state gaming commissions for the relevant periods.

The illustrative comparisons set forth above were not prepared with a view toward compliance with published guidelines of the SEC or the guidelines established by the American Institute of Certified Public Accountants for preparation or presentation of prospective financial information. Such illustrative examples have been prepared by, and is the responsibility of, our management. Neither the Company's independent auditors, nor any other independent accountants, have compiled, examined, or performed any procedures with respect to the illustrative example information contained herein, nor have they expressed any opinion or any other form of assurance on such information or its achievability, and assume no responsibility for, and disclaim any association with, the prospective financial information.

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This prospectus does not include a reconciliation of estimated Total AGR to estimated GAAP revenue because we are unable, without making unreasonable efforts, to provide a meaningful or reasonably accurate calculation or estimation of certain reconciling items which could be significant to our results.

#### Hospitality Industry in Chicago
The hospitality industry in Chicago is showing strong signs of recovery and growth, driven by a combination of increasing tourism, business travel and a dynamic local culture. Occupancy rates are steadily climbing as travelers return to the city for its world-class dining, vibrant arts scene and high-profile events like conventions and festivals. Hotels are adapting to evolving guest expectations by modernizing amenities, prioritizing sustainability, and enhancing the overall guest experience. The city's strong marketing efforts and investment in infrastructure, such as O'Hare's expansion, have also boosted its appeal as a global destination. With these improvements, Chicago's hospitality sector has positioned itself as a leader in urban tourism and accommodation.

In 2024, the Chicago hospitality industry exceeded the expectations, booking over 2,005 total meetings and events, representing 2.65 million hotel room nights, delivering an economic impact of over $4.8 billion for Chicago. This was driven primarily by a steady influx of visitors exploring Chicago's vibrant neighborhoods, iconic landmarks and world-class cultural offerings. The City saw 55 million visitors — over 3 million more than 2023 — and filled 11.6 million hotel rooms.

 *2024 Hotel Occupancy Rates*![[MISSING IMAGE: tb_hottelaccu-bw.jpg]](tb_hottelaccu-bw.jpg)

 *2024 Hotel Rooms Occupied (Millions)*![[MISSING IMAGE: tb_hottelrooms-bw.jpg]](tb_hottelrooms-bw.jpg)

 *2024 Hotel Revenue and Taxes*![[MISSING IMAGE: tb_hottelrevenue-bw.jpg]](tb_hottelrevenue-bw.jpg)

#### Temporary Casino
While we work to construct our permanent casino and resort on the banks of the Chicago River, we built a temporary casino in downtown Chicago (our "temporary casino" and, together with our permanent casino and resort, our "casino and resort"). However, as the name implies, our temporary casino is expected to close once we open our permanent casino and resort, as our license to operate our temporary casino would cease in order to open our permanent casino and resort in the third quarter of 2026.

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Our temporary casino is situated in the former location of the Medinah Temple, which acted as a community and social center in Chicago from its construction in 1912. Our temporary casino began operations on September 9, 2023. Our temporary casino includes approximately 1,000 gaming positions and two F&B venues.

![[MISSING IMAGE: mp_ballysmedihah-4c.jpg]](mp_ballysmedihah-4c.jpg)

Our new work for our temporary casino respects and maintains the existing landmarked items identified by the City of Chicago in the Medinah Temple, including the exterior façade. While we performed minor improvements on the façade, such work was focused on the replacement of signage in the same locations utilized by previous tenants. Within the Medinah Temple, we preserved the stained glass windows, stage proscenium, column capitals and third floor ceiling, including the four domes. As of March 31, 2025 (Successor), we have incurred approximately $70.0 million in costs in connection with the design and development of our temporary casino.

#### Timeline of Key Milestones <sup>(1)</sup>

---

| | |
|:---|:---|
| **Date**  | **Key Milestone**  |
| **September 9, 2023**  | **Grand opening of our temporary casino** |
| July 5, 2024  | Tribune surrenders and vacates proposed site of our permanent casino and resort |
| July 5, 2024  | Decommission and demolition of building on site of our permanent casino and resort |
| Q1 2025  | Commencement of construction of our permanent casino and resort |
| **Q3 2026**  | **Grand opening of our permanent casino and resort<sup>(2)</sup>** |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (1)

This timeline reflects our current business strategy. However, our ability to implement our business strategy is subject to numerous risks and uncertainties. We face many risks inherent in our business generally. You should carefully consider all of the information set forth in this prospectus and, in particular, the information under the heading "*Risk Factors.*" These risks include various construction and development risks in connection with our permanent casino and resort. See "*Risk Factors — Development and Construction Risks*."

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (2)

The Host Community Agreement with the City of Chicago provides for significant liquidated damages in the event that we do not meet the milestones specified as to our temporary casino and our permanent casino and resort. See "— *Our Relationship with Chicago — Host Community Agreement with the City of Chicago*" for more information on these milestones. Also see "*Risk Factors — Development and Construction Risks*" for more information on various construction and development risks in connection with our permanent casino and resort.

#### Competitive Strengths

#### Fully integrated destination resort focused on the attractive mainstream market segment
Our permanent casino and resort is focused on the mainstream market segment. We believe this segment provides attractive long-term growth opportunities and the mainstream market gaming segment has relatively high margins in comparison to other gaming segments.

Our permanent casino and resort is being designed to feature a hotel tower including 500 rooms and a rooftop bar. Our dining and beverage options are also designed for broad market appeal and include a range of restaurants, cafes, bars and lounges. Our location, in the heart of the City of Chicago, offers an immersive entertainment environment in street and riverscape surroundings inspired by iconic shopping in the Magnificent Mile district. Our permanent casino and resort will also feature a new landscaped riverwalk with activation elements such as artwork, walking paths and a dog park. It will also include a new park along the river, terraced steps and outdoor seating for restaurants, cafes, bars and lounges. The park will be accessible to the public during the hours typical of Chicago public parks. We believe that our combination of entertainment and leisure activities, differentiated gaming attractions in comparison to other offerings in this geographic location and outdoor space, including being the only casino in the City of Chicago, delivered in an easily accessible location, will provide a customer experience that is hard to replicate without having to visit multiple destinations.

#### Strategic location with strong and improving accessibility
The following map illustrates the centralized location of our permanent casino and resort in Chicago:

![[MISSING IMAGE: mp_permanresort-4clr.jpg]](mp_permanresort-4clr.jpg)

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Our permanent casino and resort will be strategically located in the heart of the City of Chicago, as the only casino located directly adjacent to the Chicago River, with easy access to the blue transit line as well as to multiple bus stops. The City of Chicago is the third most populous city in the United States, with 2.7 million residents in 2023 according to the United States Census Bureau. According to Forbes and Business Insider, tourism to the City of Chicago reached approximately 55 million visitors prior to the COVID-19 pandemic and is expected to fully rebound by the end of 2024.

We believe we can also leverage the traffic flow from nearby hotels, theaters, bars, restaurants, shopping districts and McCormick Place Convention Center to drive significant traffic to our permanent casino and resort, primarily due to our differentiated gaming and entertainment attractions in comparison to other offerings in this geographic location. Our close proximity to the Chicago River, which is a top tourist attraction in Chicago, will allow us to drive marketing promotions to tourists and drive further traffic to our permanent casino and resort. We intend to build a new water taxi stop and a new pedestrian bridge across the Chicago River to capitalize on traffic flow and make the proposed site even more accessible to Chicago residents and tourists in the downtown area. We also expect to be a natural and popular first stop for a large number of visitors to Chicago due to our close proximity to the River West, Fulton River District, River North and West Loop entertainment districts.

#### Backed by an established operator with a leading and diversified national gaming footprint
We are backed by Bally's Corporation, an established operator in our casino and resort industry that is capable of providing expertise, know-how and support across the entire gaming spectrum, ranging from generation and advertising technology to the collection, processing and extrapolation of data and odds, to visualization solutions, risk management and platform services.

The deep understanding of our public company parent of the gaming industry, customer needs and preferences, regulatory processes and the evolving competitive landscape offers us a significant competitive advantage over our competitors. Upon the closing of this offering, we will continue to benefit from our relationship with Bally's Corporation through the scale of Bally's operations, including the centralization of shared services and support functions such as legal, information technology, human resources, supply chain logistics, warehousing, strategic sourcing and transportation. We will also continue to benefit from Bally's Corporation's extensive customer and sales network, as well as its well-developed and recognized customer loyalty programs, which we will continue to leverage to further drive visitation.

After its merger with Casino Queen, Bally's Corporation's casino offerings stretch across eleven states across the United States. We believe the breadth of their offerings and reach gives us a competitive advantage in launching operations in a new city or state, as we are able to leverage their considerable resources and know-how to deliver the best offerings to potential customers.

#### Powerful network effects accelerate our value proposition
Under the Bally's brand, we are able to benefit from powerful network effects, which further accelerate our value proposition. As a national participant in the gaming industry, Bally's Corporation has casinos resorts spread across numerous major cities and has hosted tens of millions of customers since all of its casino resorts and online gaming operations commenced operations. We believe that, by operating under the Bally's brand, we will be able to attract existing and new customers to our new casino and resort, as we will not be required to gain their trust upon launching our operation.

#### Experienced and Dedicated Management Team
Our management team has extensive experience in the gaming and hospitality industries. Management team members have prior tenures at other large-scale casino and entertainment companies, such as PENN Entertainment, Delaware North Companies, International Game Technology and Northstar Lottery Group. Our management team has an average of more than 11 years of experience in the gaming and hospitality industries. In addition, as of March 31, 2025 (Successor) Bally's had approximately 10,000 employees who are dedicated to Bally's national and international operations to ensure exceptional customer experiences. We will also receive certain centralized corporate and management services from Bally's Corporation, including shared service staff who will devote a portion of their time to our operations. We intend to continue to

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capitalize on the deep industry expertise, management skills and strong execution capabilities of our management team to successfully formulate and implement our strategies, and continue to streamline our operations by utilizing the services provided by our affiliates.

#### Our Business and Growth Strategies

#### Continue to focus on the mainstream market segment
We intend to focus on mainstream market gaming due to its attractive growth opportunities and higher margin profile. We are designing our non-gaming attractions to complement the mainstream market focus of our permanent casino and resort by delivering experiences that appeal to mainstream market players. We aim to leverage our differentiated entertainment, retail, F&B and hotel amenities to drive visitation, longer stays and greater spending by our patrons. Under our current plan, our permanent casino and resort is being designed to include approximately 3,400 slot machines and 173 table games. In addition, we currently envision outdoor green space, including an expansive public riverwalk with a water taxi stop. Other non-gaming attractions expected to be part of our permanent casino and resort include a hotel tower with 500 rooms, a rooftop bar, a 3,000-person mixed use entertainment and event center, as well as retail and F&B outlets. We expect our current plan for our permanent casino and resort to diversify our offerings and create long-term shareholder value.

#### Continue to drive visitation and revenue growth through innovative non-gaming attractions
We intend to enhance and diversify our differentiated non-gaming amenities and service offerings with the goal to drive further visitation to our casino and resort by both residents of Chicago and tourists visiting Chicago, and deliver long-term growth and high margins. We believe our permanent casino and resort will be different from existing resorts and casinos in Illinois and neighboring states because of our strategic location along the Chicago River, as well as our innovative and interactive entertainment attractions, which are intended to appeal to both individuals and groups interested in gaming and those not interested in gaming alike. We intend to leverage Bally's Corporation's existing attractions to provide superior entertainment experiences. For example, we intend to host premier concerts and events over time to increase our brand recognition locally, which we believe we can do using our nationwide access to premier talent. We also intend to enhance existing attractions and update them over time, and to optimize our mix of retail and F&B offerings that appeal to our target customers.

#### Continue to pursue strategic marketing initiatives and differentiate the "Bally's" brand
We plan to continue to build the "Bally's" brand to increase awareness among potential customers, particularly in Chicago and the Midwest. We intend to continue to pursue innovative promotions, including engaging influencers and celebrities to promote our casino and resort's themes and entertainment facilities, and to host special events. We also plan to enhance our advertising activities, including through a variety of social media, print, television, online, outdoor, onsite and other means. In addition, we intend to leverage our relationship with Bally's Corporation to promote our casino and resort through complementary and cost-effective cross-marketing and sales campaigns.

#### Prudently manage our capital structure
We commenced operations in June 2022, and we intend to develop a capital structure to match and support the on-going ramp-up of our operations. We intend to strengthen our balance sheet by focusing on optimizing our leverage, maintaining a competitive cost of capital and improving balance sheet flexibility. We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the initial Class A Interest issuances, the Subordinated Loans and the IPO Expenses Note (as defined herein), to purchase 10,000 LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest.

Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to Bally's Chicago, Inc. to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes (as defined herein).

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We believe we will be sufficiently capitalized through the opening of our permanent casino and resort, and intend to prudently manage our capital structure as we continue to grow our operations.

#### Our Relationship with Bally's Corporation

#### Permanent Services Agreement
We intend to benefit from Bally's Corporation's significant experience and knowledge in the U.S. gaming market. In January 2023, Bally's Chicago OpCo and certain subsidiaries of Bally's Corporation entered into a services agreement (the "Permanent Services Agreement") with Bally's Management Group, LLC (f/k/a Twin River Management Group, Inc.) ("BMG"), a subsidiary of Bally's Corporation. Pursuant to the Permanent Services Agreement, BMG agreed to provide us and certain subsidiaries of Bally's Corporation with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing upon the opening of our permanent casino and resort. Pursuant to the Permanent Services Agreement, we agreed to pay BMG an annual fee equal to the salaries, burden, overhead and other operating costs for providing such services based on our share of those costs calculated by reference to an appropriate common-size metric plus 6%, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the U.S. Internal Revenue Code of 1986, as amended (the "Code"). The initial term of the agreement is one year, beginning upon the opening of our permanent casino and resort, and will be automatically renewed for successive one-year terms, unless either party serves on the other a written notice of termination. We believe the support provided by Bally's Corporation increases our competitive advantage and will contribute to the success of our business. See "*Transactions with Related Persons — Permanent Services Agreement.*"

#### Temporary Services Agreement
In August 2023, Bally's Chicago OpCo entered into a services agreement (the "Temporary Services Agreement") with BMG, a subsidiary of Bally's Corporation. Pursuant to the Temporary Services Agreement, BMG agreed to provide us with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing related to our temporary casino. Pursuant to the Temporary Services Agreement, we agreed to pay BMG a monthly fee equal to $5.0 million, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is two years, beginning August 30, 2023, and will be automatically renewed for successive one-year terms for as long as our temporary casino is licensed to continue operations, unless BMG serves on Bally's Chicago OpCo a written notice of termination. The Temporary Services Agreement shall automatically terminate when our temporary casino permanently closes and our permanent casino and resort opens to the public. See "*Transactions with Related Persons — Temporary Services Agreement.*"

#### Guarantee of Bally's Corporation's Obligations
We and Bally's Chicago HoldCo, our direct parent and the entity that holds 2,141 of our Class A-4 Interests and all of our Class B Interests, as well as all other current and future direct unrestricted subsidiaries of Bally's Corporation under its credit facilities and bond indentures, will guarantee Bally's Chicago OpCo's obligations under the GLP Lease Agreement and GLP Development Agreement; *provided*, however, that at such time as Bally's Chicago OpCo becomes a restricted subsidiary under Bally's Corporation's credit facilities and bond indentures, (i) Bally's Corporation (or its Parent Company (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) will be required to guarantee the GLP Lease Agreement and GLP Development Agreement and (ii) following the delivery of such guarantee, the guarantees of the GLP Lease Agreement and GLP Development Agreement provided by Bally's Chicago HoldCo and such other unrestricted subsidiaries of Bally's Corporation shall terminate.

In connection with Bally's Chicago HoldCo's commitment to guarantee the GLP Lease Agreement and GLP Development Agreement, and in partial consideration for certain investments by Bally's Corporation

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and its subsidiaries into Bally's Chicago OpCo, we and Bally's Chicago OpCo intend to guarantee all of the obligations, including, without limitation, indebtedness and lease obligations, of Bally's Corporation and its subsidiaries upon Bally's Corporation's (or its Parent Company's (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) guaranteeing the GLP Lease Agreement and the GLP Development Agreement or upon request from Bally's Corporation; *provided* that, at any time after such guarantee by Bally's Corporation (or its Parent Company) or such request from Bally's Corporation, upon request of Bally's Chicago OpCo, Bally's Corporation will guarantee Bally's Chicago OpCo's obligations under any lease obligations outstanding at such time, including any obligations under the Oak Street Lease Agreement or, if entered into, the GLP Lease Agreement and the GLP Development Agreement, to the maximum extent permitted under the instruments governing Bally's Corporation's indebtedness (assuming full borrowing of all outstanding commitments under Bally's Corporation's revolving credit facilities outstanding at such time). Furthermore, in March 2025, we and Bally's Chicago OpCo entered into an agreement (the "Guarantee Agreement") with Bally's Corporation, pursuant to which, at any time in the future, upon request from Bally's Corporation, we and Bally's Chicago OpCo will guarantee, and cause each of our wholly-owned subsidiaries to guarantee, any additional obligations, including, without limitation, indebtedness and lease obligations that Bally's Corporation or its subsidiaries enter into at any time in the future. See "*Transactions with Related Persons — Guarantee of Bally's Corporation's Obligations.*"

#### Stockholders Agreement
In March 2025, we and Bally's Chicago HoldCo entered into a stockholders agreement (the "Stockholders Agreement"), pursuant to which for so long as Bally's Chicago HoldCo beneficially owns at least 50% of the aggregate number of our stock outstanding, certain actions by us or any of our subsidiaries, including Bally's Chicago OpCo, will require the prior written consent of Bally's Chicago HoldCo. The actions that will require prior written consent include: (i) change in control transactions of our company or any of our subsidiaries, including Bally's Chicago OpCo, (ii) acquiring or disposing of assets or any business enterprise or division thereof for consideration in excess of $50.0 million in any single transaction or series of transactions, (iii) increasing or decreasing the size of our board of directors, (iv) initiating any liquidation, dissolution, bankruptcy, or other insolvency proceeding involving us or any of our subsidiaries, including Bally's Chicago OpCo, and (v) any transfer, issue, sale, or disposition by us of any shares of stock, other equity securities, equity-linked securities, or securities that are convertible into equity securities of us or our subsidiaries to any person or entity that is a non-strategic financial investor in a private placement transaction or series of transactions.

#### Support Letter
In January 2025, we obtained a letter of support from Bally's Corporation, pursuant to which Bally's Corporation commits to fund all of our operating, investing, and financing activities through at least December 31, 2026 and further commits not to make any decision or action that would reasonably be expected to negatively affect our ability to continue as a going concern through at least December 31, 2026.

#### Additional Capital Requirements
In the event that less than $250 million in aggregate gross proceeds from Class A Interests and corresponding Subordinated Loans are received in this offering and the concurrent private placement transactions, Bally's Corporation intends to cause Bally's Chicago HoldCo to provide additional funding to us in an amount up to such shortfall. This funding may be provided through the purchase by Bally's Chicago HoldCo of Class A Interests in this offering or the concurrent private placements or through the issuance by us of additional debt, equity, equity-linked securities or intercompany notes to Bally's Corporation, Bally's Chicago HoldCo or their affiliates, among other methods.

Based on Bally's equity commitments to Bally's Chicago OpCo and the financing we have received from GLPI, we believe that we are sufficiently capitalized until the opening of our permanent casino and resort. However, unforeseen events could necessitate us to raise additional capital. If we do need to raise additional capital, we may seek to do so through various sources, including equity offerings, debt financings, collaborations, strategic alliances and/or licensing arrangements. We cannot assure you that we will be able

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to obtain additional funds on acceptable terms, or at all. If we raise additional funds by issuing equity or equity-linked securities, our stockholders may experience dilution. Debt financing, if available, may involve restrictive covenants, which may limit our ability to operate moving forward. If we raise funds through collaborations, strategic alliances or licensing arrangements with third parties, we may have to relinquish valuable rights to our intellectual property and/or future revenue streams, or grant licenses on terms that may not be favorable to us. Furthermore, if Bally's Chicago HoldCo purchases Class A Interests in this offering or the concurrent private placements, we may pursue a secondary public offering of such Class A Interests in the future. We regularly communicate with the City of Chicago and provide updates regarding our compliance with the City's requirements under the Host Community Agreement. We are engaging in our best efforts to meet such requirements and intend to continue to engage in our best efforts to meet such requirements in the future.

#### Compliance with the Host Community Agreement
We continuously assess our adherence to the Host Community Agreement to ensure satisfaction of the terms and conditions included therein. As of the date of this prospectus and regarding the requirements to date, we have no knowledge of non-compliance with the terms of the Host Community Agreement as established by the City of Chicago. The Host Community Agreement establishes certain timelines, ownership requirements, milestones and objectives that must be satisfied by us in order to retain our license to build and operate our resort and casino, including those listed below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • *Timing*. The Host Community Agreement requires us to (i) with respect to the temporary casino, (A) complete (as such term is defined in the Host Community Agreement) the construction of our temporary casino not later than twelve months following the date on which the Illinois Gaming Board found us to be preliminarily suitable for licensing (subject to certain extensions), (B) commence operation not later than two months following the completion date in (i)(A) and (C) achieve final completion (as such term is defined in the Host Community Agreement) not later than three months following the completion date in (i)(A) and (ii) with respect to the permanent casino and resort, (A) complete (as such term is defined in the Host Community Agreement) the construction of our permanent casino and resort not later than thirty-six months and one day following the commencement date in (i)(B) (subject to certain extensions), (B) commence operation not later than three months following the completion date in (ii)(A) and (C) achieve final completion (as such term is defined in the Host Community Agreement) not later than six months following the completion date in (ii)(A). The Illinois Gaming Board found us to be preliminarily suitable for licensing on June 15, 2023. As of the date of this prospectus, we have completed, commenced the operation of, and achieved final completion of the temporary casino in accordance with the Host Community Agreement. We commenced the construction of our permanent casino and resort in the first quarter of 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • *Ownership requirements*. This offering will be open to residents of Illinois, Florida, New York and Texas, with preferential allocations to residents of the City of Chicago and other parts of the State of Illinois. Bally's will not provide preferential allocations to investors based upon any investor's self-reported characteristics, including without limitation gender, race, and nationality. This distribution plan is consistent with the intent of the Host Community Agreement to ensure that a broader representation of residents of the City of Chicago have ownership of the city's first casino and resort.

Under the Host Community Agreement, Bally's commits that 25% of Bally's Chicago OpCo's equity will be owned by Minority individuals and Minority-Owned and Controlled Businesses (as such terms are defined in the Host Community Agreement) no later than twelve months following July 13, 2022 or such later date as may be determined by the City of Chicago, and will continue for no less than five years thereafter. The Host Community Agreement's ownership requirement applies to total ownership of Bally's Chicago OpCo's equity and not just this offering. To assist with assessing overall compliance with the Host Community Agreement's ownership requirements, we will provide an opportunity for investors to voluntarily self-disclose certain identifying characteristics. However, we will not provide preferential allocations to investors in this offering based upon their responses. We expect to continue to request such information from all prospective investors.

As of the date of this prospectus, 2,141 shares of our Class A-4 Interests and 30,000 shares of our Class B Interests are held by Bally's Chicago HoldCo, and 1,185 Class A Interests are, to our knowledge, held by various investors that have satisfied these criteria.

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 *Although we are and will continue to request self-disclosure of certain identifying characteristics of investors, there are no assurances that we will be able to satisfy these criteria, which could cause us to fall into non-compliance with the Host Community Agreement. Such failure could result in the City of Chicago issuing a notice of default and seeking the exercise of remedies available under the terms of the Host Community Agreement at law or in equity, which could include the payment of money damages by Bally's or the termination of the Host Community Agreement. See "Risk Factors — Business Operational Risks — Failure to comply with the community investment program obligations specified in the Host Community Agreement could have a material adverse effect on our financial condition and results of operations" and "Risk Factors — Risks Related to this Offering and Ownership of our Class A Interest — This offering has resulted in lawsuits and may in the future lead to additional lawsuits" for more information regarding the effects of non-compliance on our company.* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • *Other Commitments*. The Host Community Agreement also sets forth other commitments, including with respect to achievement of various hiring levels, compliance with certain marketing and operating plans, compliance with the City of Chicago's sustainable development policy, assurance of labor harmony, relocation of and compensation for existing businesses and tenants, compliance with a traffic control plan, adherence to ethical and responsible gaming practices, training of employees, payment of applicable customary permit and license fees and compliance with the Americans with Disabilities Act. As of the date of this prospectus, we have no knowledge of non-compliance with such requirements and intend to continue to engage in our best efforts to meet such requirements in the future.

We are actively engaged in communications with the City of Chicago regarding all open items and are using — and intend to continue to use — our best efforts to comply with the Host Community Agreement, in order to retain our license to build and operate our planned resort and casino.

#### Our Relationship with Chicago
We are designing, developing and constructing a world-class entertainment destination resort in partnership with the City of Chicago. In connection with this partnership, we have entered into various agreements and development programs as set forth below.

#### Host Community Agreement with the City of Chicago
On June 9, 2022, we signed a host community agreement with the City of Chicago to develop our destination casino and resort in downtown Chicago (the "Host Community Agreement"). The Host Community Agreement provides us with the exclusive right to operate a permanent casino and a temporary casino for up to three years while our permanent casino and resort is constructed.

Pursuant to the Host Community Agreement, our permanent casino and resort is being designed to feature:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 150 permanent gaming tables, including 20 poker tables;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in-person and mobile sports wagering facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a 5-star quality high-end luxury hotel with 100 rooms initially, as well as amenities such as a rooftop bar, a fitness center, subject to expansion to up to 500 rooms within approximately five years of the opening of our permanent casino and resort;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 65,000 square feet of entertainment and event space, including a flexible theater space with approximately 2.4 acres of greenspace that can be used to host outdoor events;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • six restaurants/cafes and a food hall, including a three-meal diner with capacity for approximately 150 seats, a Bally's Sports Bar with capacity for approximately 200 seats, a food hall with capacity for approximately 175 seats, an Asian restaurant with capacity for approximately 50 seats, a steakhouse with capacity for approximately 150 seats, an Italian restaurant with capacity for approximately 200 seats and a grab-and-go coffee bar with capacity for approximately 20 seats;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • four bars and lounges, including a casino bar, a cocktail lounge with capacity for over 50 seats, a VIP lounge with capacity for over 60 seats and a rooftop bar with capacity for over 100 seats (including two hidden speakeasies that patrons can visit);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 3,000 square feet of ancillary retail space, including sundries and souvenir shops;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a garage or parking facility with approximately 3,300 parking spaces, including approximately 2,200 patron spaces, approximately 600 employee spaces and approximately 500 valet spaces;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a visitor center for tourists and business travelers visiting Chicago, including a concierge service operated in coordination with Choose Chicago, a nonprofit organization that specializes in Chicago travel options; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • an approximately 23,000 square foot museum, with exhibits presenting Chicago sports and history and other rotating exhibitions.

In furtherance of these obligations, the Host Community Agreement establishes a minimum capital investment of $1.34 billion on the design, construction and equipping of our temporary casino and our permanent casino and resort. As of March 31, 2025 (Successor), approximately $1.0 billion of this commitment remains. The actual cost of the development may exceed this minimum capital investment amount. In addition, land acquisition costs and financing costs, among other types of costs, are not counted toward meeting this minimum capital investment amount.

Additionally, as part of the design, development and construction of our temporary casino and our permanent casino and resort, the Host Community Agreement requires us to employ approximately:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 2,900 individuals in the construction of our temporary casino;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 3,000 individuals in the construction of our permanent casino and resort; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 2,500 individuals in the construction of the hotel tower.

Once operational, the Host Community Agreement requires us to employ:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 550 individuals in our temporary casino; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 3,000 individuals in our permanent casino and resort.

In connection with the entry into the Host Community Agreement with the City of Chicago, we were required to make a one-time payment to the City of Chicago equal to $40.0 million, and are required to make ongoing payments of $4.0 million per year beginning on September 9, 2023, the date that our temporary casino opened to the general public. Additionally, in connection with the Host Community Agreement, Bally's Corporation was required to provide the City of Chicago with a guaranty whereby the Company is required to have and maintain available financial resources in an amount reasonably sufficient to fund all amounts necessary to allow us to meet our obligations under the Host Community Agreement and, to the extent we fail to perform any obligations thereunder, assume full responsibility for and perform our obligations in accordance with the terms, covenants and conditions set forth in the Host Community Agreement. The guaranty also required that we indemnify and hold the City of Chicago harmless from and against any and all loss, cost, damage, injury, liability, claim or reasonable and documented expense the City of Chicago may suffer or incur by reason of any nonpayment or nonperformance of any of our obligations.

The Illinois Gambling Act requires the Illinois Gaming Board (the "IGB"), in determining whether or not to issue the casino owner's license, to have considered diverse ownership goals. The IGB approved the issuance of the license to us on October 26, 2023.

In addition, the Host Community Agreement requires that 40% of seats on our board of directors (our "Board") be reserved for Minorities or women.

The Host Community Agreement provides that in the event that 75% of the gaming area of our permanent casino and resort is not open to the general public by September 10, 2026 (the "Completion Deadline"), subject to any extensions as a result of Force Majeure Periods (as defined in the Host Community Agreement), we must pay the City of Chicago an amount, calculated on a daily basis, equal to the product of (i) 85% of the projected local tax revenue multiplied by (ii) the number of days since the Completion Deadline, until 75% of the gaming area of our permanent casino and resort opens to the general public; *provided* that any local tax revenue actually received for such period shall not subtracted from any amounts due to the City of Chicago.

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In addition, the Host Community Agreement also provides that in the event that 90%, taken as a whole, of our permanent casino and resort is not completed (as evidenced by the issuance of a temporary certificate of occupancy by the City of Chicago's Department of Buildings) by the Completion Deadline, subject to any extensions as a result of Force Majeure Periods (as defined in the Host Community Agreement), we must pay the City of Chicago an amount, calculated on a daily basis, equal to the product of (i) 10% of the projected local tax revenue multiplied by (ii) the number of days since the Completion Deadline, until 90%, taken as a whole, of our permanent casino and resort is completed (as evidenced by the issuance of a temporary certificate of occupancy by the City of Chicago's Department of Buildings).

If we show we timely commenced and have been diligently pursuing the construction of our permanent casino and resort, the City of Chicago may consent up to two three-month extensions of the Completion Deadline, followed by one two-month extension of the Completion Deadline, for a possible total extension of eight months. The first extension shall be consented to automatically by the City of Chicago and any subsequent consent shall not be unreasonably withheld, conditioned or delayed.

#### Gaming License
In order to operate our casino and resort, we will be required to obtain and hold licenses issued by the Illinois Gaming Board. The Host Community Agreement provides us with the exclusive recommendation for licensing to the Illinois Gaming Board for the City of Chicago casino license. On October 26, 2023, we obtained a four-year owners license from the Illinois Gaming Board. This license will expire on October 25, 2027 and may be renewed for subsequent four-year terms. The license issued to casino operators is referred to as an "owners license" and is issued by the Illinois Gaming Board for a period of up to four years. The owners license may then be renewed for subsequent four-year terms. On October 26, 2023, the Illinois Gaming Board also approved extending the operation of our temporary casino until September 9, 2026. The fee for the issuance or renewal of the owners license is $250,000. The license obligates the recipient to adhere to the standards and requirements set forth in the Illinois Gaming Act and the Illinois Gaming Board Rules. The Illinois Gaming Board has the authority to limit the term of the license at issuance or any renewal and may dictate additional restrictions upon the license.

#### Community Investment Program
We have agreed with the City of Chicago that we will commit to hiring residents of Chicago with various workforce development organizations in both the construction of our temporary casino and our permanent casino and resort, but also with respect to employment once our casinos are operational.

We are committed to the following hiring targets:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we are required to provide preference to Chicago-based businesses, if possible;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in the hiring of contractors for the construction of our temporary casino and our permanent casino and resort:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 36% of funds need to go towards Minority-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 10% of funds need to go towards women-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in the hiring of workers to build our temporary casino and our permanent casino and resort:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 50% of total hours on our permanent casino and resort must be performed by Chicago residents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 15.5% of construction work must be performed by residents of socially and economically disadvantaged areas;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in the sourcing of goods and services and other vendor spending in connection with our temporary casino and our permanent casino and resort:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 26% of funds need to go towards Minority-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 10% of funds need to go towards women-owned businesses;

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&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 2% of funds need to go towards disadvantaged businesses, including businesses by owners that have historically been disadvantaged; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 3% of funds need to go towards veteran- or service-disabled veteran-owned businesses; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a target goal of 60% Minority hiring in the operation of our casino.

Under the community investment program, we intend on reducing the disparities that exist in the initial procurement process of goods and services by requiring that all contracts and bids in excess of $10,000 be issued via a competitive bidding process. Additionally, we intend to list all employment and procurement opportunities on our website. We intend on hosting an annual diversity vendor fair on the premises of our permanent casino and resort, and intend on hiring a third-party expert in sourcing and contracting vendors to leverage their network of vendors, suppliers and individuals seeking jobs to push notifications, recruit bidders and support us in the process.

We have also agreed with the City of Chicago that we will commit to providing training opportunities for various roles in our casino and resort, including for table game dealers and F&B workers, and work to set up job fairs in order to attract potential applicants to employment opportunities in our casino and resort.

In line with our commitments to the City of Chicago, we also currently intend to provide preferential allocations of Class A Interests to City of Chicago residents and Illinois residents during this offering.

#### Our Community First Programs
As a member of the Bally's organization, we intend to adhere to the Bally's community-first policy, which is a fundamental and defining element of who we are as a company. We intend to build strong, lasting partnerships with local residents and businesses in Chicago.

As part of our community-first policy, we intend to implement programs to provide individuals with gaming addiction with support services, both offsite and onsite, including treatment of compulsive behavior disorders. We also intend to take extraordinary precautions to ensure that minors are prohibited from participating in any of the gaming activities at our casino and resort. Additionally, we intend to take precautions to ensure that our marketing practices do not disproportionately target disadvantaged communities, and will work to provide best-in-class social programs geared towards addressing gambling addiction throughout the Chicago area.

#### Corporate Structure
The below depicts our organizational structure upon the closing of this offering and the concurrent private placements and the consummation of the Transactions, taking into account the initial Class A Interest issuances and both the anticipated purchase of 10,000 LLC Interests and prior issuances of

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3,326 LLC Interests. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations — Recent Developments*" for more information.

![[MISSING IMAGE: fc_corporatestruc-bw.jpg]](fc_corporatestruc-bw.jpg)

#### Conflicts of Interest
 *Services Agreements* 

Bally's Chicago OpCo and certain subsidiaries of Bally's Corporation entered into the Permanent Services Agreement and the Temporary Services Agreement with BMG, a subsidiary of Bally's Corporation, in January 2023 and in August 2023, respectively. See "*— Our Relationship with Bally's Corporation,*" "*Transactions with Related Persons — Permanent Services Agreement*" and "*Transactions with Related Persons — Temporary Services Agreement*" for more information.

 *Other Conflicts of Interest* 

We are currently dependent on Bally's for a majority of our working capital and financing requirements. As of March 31, 2025 (Successor), we and Bally's Chicago OpCo owe $642.4 million in promissory notes (the "Pre-IPO Intercompany Notes") to Bally's and various of its subsidiaries. The Pre-IPO Intercompany Notes have borne and bear interest at a rate equal to 0.0% per annum and are scheduled to mature on December 31, 2025, but all portions that remain outstanding are expected to be extinguished upon the closing of this offering.

Prior to the closing of this offering, Bally's Chicago HoldCo will assign to Bally's Chicago Inc. $ of Pre-IPO Intercompany Notes owed to it by Bally's Chicago, Inc. and $ of Pre-IPO Intercompany Notes owed to it by Bally's Chicago OpCo as a capital contribution (the "Pre-IPO Capital Contribution"). The amount of the Pre-IPO Capital Contribution will equal the aggregate amount of Subordinated Loans that we will enter into based on the amount of the various classes of Class A Interests sold in this offering and the concurrent private placements.

In connection with the closing of this offering, we intend to pay the placement agent fees and offering and private placement expenses payable by us with the proceeds we receive from Class A investors in this offering and the concurrent private placements. In turn, we intend to issue Bally's Chicago OpCo a promissory

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note (the "IPO Expenses Note") in an amount equal to $, which is equal to the placement agent fees and offering and private placement expenses payable by us, to cover the difference in the amount we will owe Bally's Chicago OpCo in connection with the purchase of the LLC Interests. Bally's Chicago OpCo intends to assign the IPO Expenses Note to Bally's Chicago HoldCo in exchange for the cancellation of certain indebtedness owed by Bally's Chicago OpCo to Bally's Chicago HoldCo. The IPO Expenses Note will bear interest at a rate equal to 11.0% per annum and will mature on December 31, 2034.

We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, to purchase 10,000 LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest. The 10,000 LLC Interests we purchase, together with the 3,326 LLC Interests we currently hold, will represent 30.8% of the economic interest in Bally's Chicago OpCo and the Class A Interests to be held by Bally's Chicago HoldCo and the public stockholders upon the closing of this offering will represent 30.8% of the voting power and 100.0% of the economic interest in Bally's Chicago, Inc.

Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to us to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes. Upon the closing of this offering, the 30,000 LLC Interests that are currently held by Bally's Chicago HoldCo will represent 69.2% of the economic interest in Bally's Chicago OpCo. Bally's Chicago HoldCo, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, will hold 74.2% of the voting power and 16.1% of the economic power of our stock.

No compensation of any kind, including finder's and consulting fees, will be paid by us to Bally's officers and directors, or any of their respective affiliates, for services rendered prior to or in connection with the closing of this offering. However, these individuals will be reimbursed for any out-of-pocket expenses incurred in connection with their work on this offering.

#### Guarantee of Bally's Corporation's Obligations
We and Bally's Chicago HoldCo, our direct parent and the entity that holds 2,141 of our Class A-4 Interests and all of our Class B Interests, as well as all other current and future direct unrestricted subsidiaries of Bally's Corporation under its credit facilities and bond indentures, will guarantee Bally's Chicago OpCo's obligations under the GLP Lease Agreement and GLP Development Agreement; *provided*, however, that at such time as Bally's Chicago OpCo becomes a restricted subsidiary under Bally's Corporation's credit facilities and bond indentures, (i) Bally's Corporation (or its Parent Company (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) will be required to guarantee the GLP Lease Agreement and GLP Development Agreement and (ii) following the delivery of such guarantee, the guarantees of the GLP Lease Agreement and GLP Development Agreement provided by Bally's Chicago HoldCo and such other unrestricted subsidiaries of Bally's Corporation shall terminate.

In connection with Bally's Chicago HoldCo's commitment to guarantee the GLP Lease Agreement and GLP Development Agreement, and in partial consideration for certain investments by Bally's Corporation and its subsidiaries into Bally's Chicago OpCo, we and Bally's Chicago OpCo intend to guarantee all obligations, including, without limitation, indebtedness and lease obligations of Bally's Corporation and its subsidiaries upon Bally's Corporation's (or its Parent Company's (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) guaranteeing the GLP Lease Agreement and the GLP Development Agreement or upon request from Bally's Corporation; *provided* that, at any time after such guarantee by Bally's Corporation (or its Parent Company) or such request from Bally's Corporation, upon request of Bally's Chicago OpCo, Bally's Corporation will guarantee Bally's Chicago OpCo's obligations under any lease obligations outstanding at such time, including any obligations under the Oak Street Lease Agreement or, if entered into, the GLP Lease Agreement and the GLP Development Agreement, to the maximum extent permitted under the instruments governing Bally's Corporation's indebtedness (assuming full borrowing of all outstanding commitments under Bally's Corporation's revolving credit facilities outstanding at such time). Furthermore, in March 2025, we and Bally's Chicago OpCo entered into the Guarantee Agreement with Bally's

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Corporation, pursuant to which, at any time in the future, upon request from Bally's Corporation, we and Bally's Chicago OpCo will guarantee, and cause each of our wholly-owned subsidiaries to guarantee, any additional obligations, including, without limitation, indebtedness and lease obligations that Bally's Corporation or its subsidiaries enter into at any time in the future. See "*Transactions with Related Persons — Guarantee of Bally's Corporation's Obligations.*"

#### Bally's Chicago OpCo Amended and Restated Limited Liability Company Agreement
As Bally's Chicago, Inc. will hold LLC Interests in Bally's Chicago OpCo and will continue to be the sole managing member of Bally's Chicago OpCo after this offering and the concurrent private placements, Bally's Chicago, Inc. will have the obligation to absorb losses and receive benefits from Bally's Chicago OpCo, and consolidate the financial results of Bally's Chicago OpCo and, through Bally's Chicago OpCo and its operating entity subsidiaries, conduct our business.

Pursuant to the amended and restated limited liability company agreement of Bally's Chicago OpCo, Bally's Chicago, Inc. has the right to determine when distributions will be made to holders of LLC Interests and the amount of any such distributions, taken into consideration any applicable limitations and restrictions. See "*Dividend Policy.*" If a distribution is authorized, such distribution will be made to the holders of LLC Interests pro rata in accordance with the percentages of their respective LLC Interests held. See "*Transactions with Related Persons — Bally's Chicago OpCo Amended and Restated Limited Liability Company Agreement.*"

#### Stockholders Agreement
In March 2025, we and Bally's Chicago HoldCo entered into the Stockholders Agreement, pursuant to which for so long as Bally's Chicago HoldCo beneficially owns at least 50% of the aggregate number of our stock outstanding, certain actions by us or any of our subsidiaries, including Bally's Chicago OpCo, will require the prior written consent of Bally's Chicago HoldCo. See "*— Our Relationship with Bally's Corporation*" and "*Transactions with Related Persons — Stockholders Agreement*" for more information.

#### Support Letter
In January 2025, we obtained a letter of support from Bally's Corporation, pursuant to which Bally's Corporation commits to fund all of our operating, investing, and financing activities through at least December 31, 2026 and further commits not to make any decision or action that would reasonably be expected to negatively affect our ability to continue as a going concern through at least December 31, 2026.

#### Additional Capital Requirements
In the event that less than $250 million in aggregate gross proceeds from Class A Interests and corresponding Subordinated Loans are received in this offering and the concurrent private placement transactions, Bally's Corporation intends to cause Bally's Chicago HoldCo to provide additional funding to us in an amount up to such shortfall. This funding may be provided through the purchase by Bally's Chicago HoldCo of Class A Interests in this offering or the concurrent private placements or through the issuance by us of additional debt, equity, equity-linked securities or intercompany notes to Bally's Corporation, Bally's Chicago HoldCo or their affiliates, among other methods.

Based on Bally's equity commitments to Bally's Chicago OpCo and the financing we have received from GLPI, we believe that we are sufficiently capitalized until the opening of our permanent casino and resort. However, unforeseen events could necessitate us to raise additional capital. If we do need to raise additional capital, we may seek to do so through various sources, including equity offerings, debt financings, collaborations, strategic alliances and/or licensing arrangements. We cannot assure you that we will be able to obtain additional funds on acceptable terms, or at all. If we raise additional funds by issuing equity or equity-linked securities, our stockholders may experience dilution. Debt financing, if available, may involve restrictive covenants, which may limit our ability to operate moving forward. If we raise funds through collaborations, strategic alliances or licensing arrangements with third parties, we may have to relinquish valuable rights to our intellectual property and/or future revenue streams, or grant licenses on terms that may not be favorable to us. Furthermore, if Bally's Chicago HoldCo purchases Class A Interests in

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this offering or the concurrent private placements, we may pursue a secondary public offering of such Class A Interests in the future. We regularly communicate with the City of Chicago and provide updates regarding our compliance with the City's requirements under the Host Community Agreement. We are engaging in our best efforts to meet such requirements and intend to continue to engage in our best efforts to meet such requirements in the future.

#### Compliance with the Host Community Agreement
We continuously assess our adherence to the Host Community Agreement to ensure satisfaction of the terms and conditions included therein. As of the date of this prospectus and regarding the requirements to date, we have no knowledge of non-compliance with the terms of the Host Community Agreement as established by the City of Chicago. The Host Community Agreement establishes certain timelines, ownership requirements, milestones and objectives that must be satisfied by us in order to retain our license to build and operate our resort and casino, including those listed below:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • *Timing*. The Host Community Agreement requires us to (i) with respect to the temporary casino, (A) complete (as such term is defined in the Host Community Agreement) the construction of our temporary casino not later than twelve months following the date on which the Illinois Gaming Board found us to be preliminarily suitable for licensing (subject to certain extensions), (B) commence operation not later than two months following the completion date in (i)(A) and (C) achieve final completion (as such term is defined in the Host Community Agreement) not later than three months following the completion date in (i)(A) and (ii) with respect to the permanent casino and resort, (A) complete (as such term is defined in the Host Community Agreement) the construction of our permanent casino and resort not later than thirty-six months and one day following the commencement date in (i)(B) (subject to certain extensions), (B) commence operation not later than three months following the completion date in (ii)(A) and (C) achieve final completion (as such term is defined in the Host Community Agreement) not later than six months following the completion date in (ii)(A). The Illinois Gaming Board found us to be preliminarily suitable for licensing on June 15, 2023. As of the date of this prospectus, we have completed, commenced the operation of, and achieved final completion of the temporary casino in accordance with the Host Community Agreement. We commenced the construction of our permanent casino and resort in the first quarter of 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • *Ownership requirements*. This offering will be open to residents of Illinois, Florida, New York and Texas, with preferential allocations to residents of the City of Chicago and other parts of the State of Illinois. Bally's will not provide preferential allocations to investors based upon any investor's self-reported characteristics, including without limitation gender, race, and nationality. This distribution plan is consistent with the intent of the Host Community Agreement to ensure that a broader representation of residents of the City of Chicago have ownership of the city's first casino and resort.

Under the Host Community Agreement, Bally's commits that 25% of Bally's Chicago OpCo's equity will be owned by Minority individuals and Minority-Owned and Controlled Businesses (as such terms are defined in the Host Community Agreement) no later than twelve months following July 13, 2022 or such later date as may be determined by the City of Chicago, and will continue for no less than five years thereafter. The Host Community Agreement's ownership requirement applies to total ownership of Bally's Chicago OpCo's equity and not just this offering. To assist with assessing overall compliance with the Host Community Agreement's ownership requirements, we will provide an opportunity for investors to voluntarily self-disclose certain identifying characteristics. However, we will not provide preferential allocations to investors in this offering based upon their responses. We expect to continue to request such information from all prospective investors.

As of the date of this prospectus, 2,141 shares of our Class A-4 Interests and 30,000 shares of our Class B Interests are held by Bally's Chicago HoldCo, and 1,185 Class A Interests are, to our knowledge, held by various investors that have satisfied these criteria.

Although we are and will continue to request self-disclosure of certain identifying characteristics of investors, there are no assurances that we will be able to satisfy these criteria, which could cause us to fall into non-compliance with the Host Community Agreement. Such failure could result in the City of Chicago issuing a notice of default and seeking the exercise of remedies available under the

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 *terms of the Host Community Agreement at law or in equity, which could include the payment of money damages by Bally's or the termination of the Host Community Agreement. See "Risk Factors — Business Operational Risks — Failure to comply with the community investment program obligations specified in the Host Community Agreement could have a material adverse effect on our financial condition and results of operations" and "Risk Factors — Risks Related to this Offering and Ownership of our Class A Interest — This offering has resulted in lawsuits and may in the future lead to additional lawsuits" for more information regarding the effects of non-compliance on our company.* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • *Other Commitments*. The Host Community Agreement also sets forth other commitments, including with respect to achievement of various hiring levels, compliance with certain marketing and operating plans, compliance with the City of Chicago's sustainable development policy, assurance of labor harmony, relocation of and compensation for existing businesses and tenants, compliance with a traffic control plan, adherence to ethical and responsible gaming practices, training of employees, payment of applicable customary permit and license fees and compliance with the Americans with Disabilities Act. As of the date of this prospectus, we have no knowledge of non-compliance with such requirements and intend to continue to engage in our best efforts to meet such requirements in the future.

We are actively engaged in communications with the City of Chicago regarding all open items and are using — and intend to continue to use — our best efforts to comply with the Host Community Agreement, in order to retain our license to build and operate our planned resort and casino.

#### Distributions and Repayment of Subordinated Loans
We are a holding company and the sole managing member of Bally's Chicago OpCo, and we conduct our business through Bally's Chicago OpCo. If we decide to make a distribution in the future, we would need to cause Bally's Chicago OpCo to make distributions to us in an amount sufficient to cover the repayment of the IPO Expenses Note, future borrowings plus such distribution. If Bally's Chicago OpCo makes such distributions to us, the other holders of LLC Interests will be entitled to receive pro rata distributions.

In addition, Bally's Chicago OpCo will report as a partnership for U.S. federal income tax purposes and, as such, generally will not be subject to any entity-level U.S. federal income tax. Instead, any taxable income of Bally's Chicago OpCo will be allocated to holders of LLC Interests, including us. Accordingly, we will incur income taxes on our allocable share of any net taxable income of Bally's Chicago OpCo. Under the terms of the Bally's Chicago OpCo LLC Agreement, Bally's Chicago OpCo will be obligated to make tax distributions to holders of LLC Interests, including us, to the extent it has distributable cash. In addition to tax expenses, we will also incur expenses related to our operations, which we expect could be significant. We intend, as its managing member, to cause Bally's Chicago OpCo to make cash distributions to the owners of LLC Interests in an amount sufficient to (1) fund all or part of their tax obligations in respect of taxable income allocated to them and (2) cover our operating expenses. However, Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions, such as restrictions on distributions that would either violate any contract or agreement to which Bally's Chicago OpCo is then a party, including any debt or financing agreements, or any applicable law, or that would have the effect of rendering Bally's Chicago OpCo insolvent. If we do not have sufficient funds to pay tax or other liabilities or to fund our operations, we may have to borrow funds, including potentially from Bally's and its affiliates if available, which could materially adversely affect our liquidity and financial condition and subject us to various restrictions imposed by any such lenders. See "*Risk Factors — Risks related to our organizational structure — Our principal asset after the completion of this offering and the concurrent private placements will be our interest in Bally's Chicago OpCo, and, as a result, we will depend on distributions from Bally's Chicago OpCo to pay our taxes and expenses. Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions.*"

Furthermore, we intend, as its managing member, to cause Bally's Chicago OpCo to make distributions of OpCo cash available for distribution on a quarterly basis. We define *OpCo cash available for distribution* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of

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derivatives, if applicable, less payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. We do not expect any such distributions until after the permanent casino and resort is fully operational and generates cash flow.

In turn, we intend to distribute cash available for distribution to the holders of our Class A Interests (subject to certain requirements discussed below). Holders of our Class B Interests will not be entitled to participate in distributions declared by our Board. We define *cash available for distribution* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable, *less* payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. Cash that is distributed to holders of our Class A Interests will be distributed pro rata according to the number of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests outstanding at the time of such distribution.

Given the capital intensity of developing, constructing, opening and operating a casino resort project of this scale, we currently expect that Bally's Chicago OpCo will not have any OpCo cash available for distribution until approximately three to five years after our permanent casino and resort begins operations. However, this may fluctuate depending on Bally's Chicago OpCo's ability to generate cash from operations and its cash flow needs, which, among other things, may be impacted by debt service payments on its senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly, will be pre-payable at any time without a premium or penalty at a prepayment price equal to the principal amount thereof plus accrued interest, and will have no maturity date. See "*Subordinated Loans*" for more information on the Subordinated Loans.

If the principal and interest of any of the Subordinated Loans have been paid in full, by distributions from Bally's Chicago OpCo or any other means, we intend to distribute to holders of the corresponding Class A Interests with respect to any such Subordinated Loan an amount equal to 100% of the applicable distribution specified above in the form of a direct cash dividend.

While we intend, as its managing member, to cause Bally's Chicago OpCo to make distributions on a quarterly basis once it is able to generate OpCo cash available for distribution approximately three to five years after our permanent casino and resort begins operations, we and Bally's Chicago OpCo have not adopted a formal written dividend or distribution policy to pay a fixed amount of cash regularly or to pay any particular amount based on the achievement of, or derivable from, any specific financial metrics, including OpCo cash available for distribution. Further, we and Bally's Chicago OpCo are not contractually obligated to pay any dividends or make any distributions and do not have any required minimum quarterly dividend or distribution, except for tax-related distributions described above. Our and Bally's Chicago OpCo's distributions may vary from quarter to quarter, may be significantly reduced or may be eliminated entirely. While we and Bally's Chicago OpCo intend to make distributions equal to 100% of the cash available for distribution and OpCo cash available for distribution, respectively, on a quarterly basis, the actual amount of any distributions may fluctuate depending on our and Bally's Chicago OpCo's ability to generate cash from operations and our and Bally's Chicago OpCo's cash flow needs, which, among other things, may be impacted by debt service payments on our or Bally's Chicago OpCo's senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. Our Board will

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have full discretion on how to deploy cash available for distribution, including the payment of dividends. Any debt we or Bally's Chicago OpCo may incur in the future is likely to restrict our and Bally's Chicago OpCo ability to pay dividends or distributions, and such restriction may prohibit us and Bally's Chicago OpCo from making distributions, or reduce the amount of cash available for distribution and OpCo cash available for distribution. In addition, Delaware law imposes requirements that may restrict our ability to pay dividends to holders of our shares. See "*Risk Factors — Risks Related to this Offering and Ownership of our Class A Interests — You may not receive dividends or other distributions on the Class A Interests*" and "*Dividend Policy*."

#### Illustrative Examples
For illustrative purposes, below are examples of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • how we intend to initially make quarterly distributions of cash available for distributions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • how the compounding interest will affect the attributable value of the Subordinated Loans depending on the amount of distributions made on a quarterly basis; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • how, in the event of a sale of Bally's Chicago OpCo, the amount paid in connection with such sale would be distributed per Class A Interest outstanding at the time of such sale.

These illustrative examples are only for purposes of illustrating how the effects of the Subordinated Loans would apply in such specific example. These illustrative examples are not projections, goals or targets. Nothing in these illustrative examples should be regarded as a representation by any person that these are projections, goals or targets. The cash available for distribution that is distributed to holders of our Class A Interests will be distributed pro rata according to the number of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests outstanding at the time of such distribution. The examples below assume an equal number of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests outstanding.

Given the capital intensity of developing, constructing, opening and operating a casino resort project of this scale, we currently expect that Bally's Chicago OpCo will not have any OpCo cash available for distribution until approximately three to five years after our permanent casino and resort begins operations. However, this may fluctuate depending on Bally's Chicago OpCo's ability to generate cash from operations and its cash flow needs, which, among other things, may be impacted by debt service payments on Bally's Chicago OpCo's senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. See "*Risk Factors — Risks Related to this Offering and Ownership of our Class A Interests — You may not receive dividends or other distributions on the Class A Interests*" and "*Dividend Policy*."

 ***The following example illustrates how we intend to initially make quarterly distributions of cash available for distributions once Bally's Chicago OpCo is able to generate OpCo cash available for distribution:***

If Bally's Chicago OpCo has $100,000,000 of OpCo cash available for distribution in a year, or $25,000,000 of OpCo cash available for distribution in a quarter, and in turn we have $25,000,000 of cash available for distribution in a year, or $6,250,000 of cash available for distribution in a quarter, we would intend to distribute such cash available for distribution as follows:

Initially, assuming an aggregate number of 10,000 Class A Interests to be issued in connection with this offering, distributed as 500 Class A-1 Interests, 1,000 Class A-2 Interests, 1,000 Class A-3 Interests and 7,500 Class A-4 Interests outstanding, when none of the Subordinated Loans have been fully repaid:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $1,250,000 per year, or $312,500 per quarter, towards the servicing of accrued interest and principal on the Class A-1 Subordinated Loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $2,500,000 per year, or $625,000 per quarter, towards the servicing of accrued interest and principal on the Class A-2 Subordinated Loans;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $2,500,000 per year, or $625,000 per quarter, towards the servicing of accrued interest and principal on the Class A-3 Subordinated Loans; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $18,750,000 per year, or $4,687,500 per quarter, dividend to the holders of our Class A-4 Interests.

Once the Subordinated Loans for a particular class have been fully repaid, such class would receive the same amount as a dividend. Once all Subordinated Loans have been fully repaid, we would distribute the $25,000,000 of cash available for distribution per year, or the $6,250,000 of cash available for distribution per quarter, to all Class A Interests on a pro rata basis as a dividend, which would amount to $2,500 per year per Class A Interest or $625 per quarter per Class A Interest.

The illustrative example above assumes an aggregate number of 10,000 Class A Interests to be issued in connection with this offering, distributed as 500 Class A-1 Interests, 1,000 Class A-2 Interests, 1,000 Class A-3 Interests and 7,500 Class A-4 Interests outstanding. However, we cannot guarantee that we will be able to sell such quantities of Class A Interests, whether in the aggregate or for each individual class. Consequently, the outstanding amount of Class A Interests upon completion of this offering may vary significantly from those presented in the example above. In the event that less than $250 million in aggregate amount of gross proceeds from Class A Interests and corresponding Subordinated Loans are received in this offering and the concurrent private placement transactions, Bally's Corporation intends to cause Bally's Chicago HoldCo to provide additional funding to us in an amount equal to such shortfall. The funding may be provided through the purchase by Bally's Chicago HoldCo of Class A Interests in this offering or the concurrent private placements or through the issuance by us of additional debt, equity, equity-linked securities or intercompany notes to Bally's Corporation, Bally's Chicago HoldCo or their affiliates, or other methods. See "— *Support Letter*."

In the event that there are different amounts of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests or Class A-4 Interests outstanding, the cash available for distribution that is distributed to holders of our Class A Interests will be distributed pro rata according to the number of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests outstanding at the time of such distribution. Under this illustrative example, each 1% increase (decrease) in the number of Class A-1, A-2, A-3 or A-4 Interests outstanding as a percentage of our total outstanding shares, would increase (decrease) the cash available for distribution to such class of Class A Interests by approximately $25,000 on annual basis or $6,250 on a quarterly basis. The following illustrative examples further illustrative how the amounts outstanding per classes would affect distributions:

Assuming an aggregate number of 10,000 Class A Interests to be issued in connection with this offering, distributed as 5,000 Class A-1 Interests, 0 Class A-2 Interests, 0 Class A-3 Interests and 5,000 Class A-4 Interests outstanding, when none of the Subordinated Loans have been fully repaid:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $12,500,000 per year, or $3,125,000 per quarter, towards the servicing of accrued interest and principal on the Class A-1 Subordinated Loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $0 per year, or $0 per quarter, towards the servicing of accrued interest and principal on the Class A-2 Subordinated Loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $0 per year, or $0 per quarter, towards the servicing of accrued interest and principal on the Class A-3 Subordinated Loans; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $12,500,000 per year, or $3,125,000 per quarter, dividend to the holders of our Class A-4 Interests.

Assuming an aggregate number of 10,000 Class A Interests to be issued in connection with this offering, distributed as 10,000 Class A-1 Interests, 0 Class A-2 Interests, 0 Class A-3 Interests and 0 Class A-4 Interests outstanding, when none of the Subordinated Loans have been fully repaid:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $25,000,000 per year, or $6,250,000 per quarter, towards the servicing of accrued interest and principal on the Class A-1 Subordinated Loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $0 per year, or $0 per quarter, towards the servicing of accrued interest and principal on the Class A-2 Subordinated Loans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $0 per year, or $0 per quarter, towards the servicing of accrued interest and principal on the Class A-3 Subordinated Loans; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $0 per year, or $0 per quarter, dividend to the holders of our Class A-4 Interests.

Under both of the scenarios above, once the Subordinated Loans for a particular class have been fully repaid, such class would receive the same amount as a dividend. Once all Subordinated Loans have been fully repaid, we would distribute the $25,000,000 of cash available for distribution per year, or the $6,250,000 of cash available for distribution per quarter, to all Class A Interests on a pro rata basis as a dividend, which would amount to $2,500 per year per Class A Interest or $625 per quarter per Class A Interest.

The following tables include illustrative mathematical examples that illustrate how the compounding interest will affect the attributable value of the Subordinated Loans depending on the amount of distributions made on a quarterly basis. The tables assume an aggregate number of 10,000 Class A Interests to be issued in connection with this offering, distributed as 500 Class A-1 Interests, 1,000 Class A-2 Interests, 1,000 Class A-3 Interests and 7,500 Class A-4 Interests outstanding. However, we cannot guarantee that we will be able to sell such quantities of Class A Interests, whether in the aggregate or for each class. Consequently, the outstanding amount of Class A Interests upon completion of this offering may vary.

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| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Class of <br> Interests**  | **Assumed <br> Aggregate <br> Class A <br> Distributions <br> per Year, <br> beginning in <br> Year 3<sup>(1)</sup>**  | **Balance of <br> corresponding <br> Subordinated <br> Loans <br> Interest as of <br> the Closing of <br> this Offering**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Assumed <br> Payoff date <br> taking into <br> account <br> compounding <br> interest and <br> assumed <br> distribution <br> amounts:**  |
| **Class of <br> Interests**  | **Assumed <br> Aggregate <br> Class A <br> Distributions <br> per Year, <br> beginning in <br> Year 3<sup>(1)</sup>**  | **Balance of <br> corresponding <br> Subordinated <br> Loans <br> Interest as of <br> the Closing of <br> this Offering**  | **Year 1<sup>(1)</sup>**  | **Year 2<sup>(1)</sup>**  | **Year 3**  | **Year 4**  | **Year 5**  | **Year 6**  | **Year 7**  | **Assumed <br> Payoff date <br> taking into <br> account <br> compounding <br> interest and <br> assumed <br> distribution <br> amounts:**  |
| A-1  | $0 | $24750  | $27587  | $30749  | $34273 | $38202 | $42581 | $47461 | $52901 | N/A  |
| A-1  | $25000000(3) | Same as above  | Same as above  | Same as above  | $31668 | $32693 | $33836 | $35109 | $36528 | N/A  |
| A-1  | $40000000(4) | Same as above  | Same as above  | Same as above  | $30105 | $29388 | $28588 | $27697 | $26704 | Year 19  |
| A-2  | $0 | $22500  | $25079  | $27954  | $31158 | $34729 | $38710 | $43147 | $48092 | N/A  |
| A-2  | $25000000(3) | Same as above  | Same as above  | Same as above  | $28553 | $29220 | $29965 | $30794 | $31719 | N/A  |
| A-2  | $40000000(4) | Same as above  | Same as above  | Same as above  | $26990 | $25915 | $24718 | $23383 | $21895 | Year 16  |
| A-3  | $0 | $20000  | $22292  | $24848  | $27696 | $30870 | $34409 | $38353 | $42749 | N/A  |
| A-3  | $25000000(3) | Same as above  | Same as above  | Same as above  | $25091 | $25362 | $25663 | $26000 | $26375 | N/A  |
| A-3  | $40000000(4) | Same as above  | Same as above  | Same as above  | $23528 | $22056 | $20416 | $18589 | $16551 | Year 12  |

---

(1) All assumptions assume no cash distributions until end of the first quarter of Year 3 after our permanent casino and resort begins operations.

(2) The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly.

(3) This assumed aggregate amount of distributions would result in payments on Subordinated Loans, or distributions, of approximately $2,500 per Class A Interest per year or $625 per Class A Interest per quarter.

(4) This assumed aggregate amount of distributions would result in payments on Subordinated Loans, or distributions, of approximately $4,000 per Class A Interest per year or $1,000 per Class A Interest per quarter.

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[**TABLE OF CONTENTS**](#TOC)

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Class of Interests**  | **Assumed <br> Aggregate <br> Class A <br> Distributions <br> per Year, <br> beginning in <br> Year 4<sup>(1)</sup>**  | **Balance of <br> corresponding <br> Subordinated <br> Loans <br> Interest as of <br> the Closing of <br> this Offering**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Assumed <br> Payoff date <br> taking into <br> account <br> compounding <br> interest and <br> assumed <br> distribution <br> amounts:**  |
| **Class of Interests**  | **Assumed <br> Aggregate <br> Class A <br> Distributions <br> per Year, <br> beginning in <br> Year 4<sup>(1)</sup>**  | **Balance of <br> corresponding <br> Subordinated <br> Loans <br> Interest as of <br> the Closing of <br> this Offering**  | **Year 1<sup>(1)</sup>**  | **Year 2<sup>(1)</sup>**  | **Year 3**  | **Year 4**  | **Year 5**  | **Year 6**  | **Year 7**  | **Assumed <br> Payoff date <br> taking into <br> account <br> compounding <br> interest and <br> assumed <br> distribution <br> amounts:**  |
| A-1  | $0 | $24750  | $27587  | $30749  | $34273  | $38202 | $42581 | $47461 | $52901 | N/A  |
|  | $25000000(3) | Same as above  | Same as above  | Same as above  | Same as above  | $35597 | $37072 | $38716 | $40549 | N/A  |
|  | $40000000(4) | Same as above  | Same as above  | Same as above  | Same as above  | $34034 | $33767 | $33469 | $33137 | Year 32  |
| A-2  | $0 | $22500  | $25079  | $27954  | $31158  | $34729 | $38710 | $43147 | $48092 | N/A  |
|  | $25000000(3) | Same as above  | Same as above  | Same as above  | Same as above  | $32124 | $33201 | $34402 | $35740 | N/A  |
|  | $40000000(4) | Same as above  | Same as above  | Same as above  | Same as above  | $30561 | $29896 | $29154 | $28328 | Year 20  |
| A-3  | $0 | $20000  | $22292  | $24848  | $27696  | $30870 | $34409 | $38353 | $42749 | N/A  |
|  | $25000000(3) | Same as above  | Same as above  | Same as above  | Same as above  | $28265 | $28900 | $29607 | $30396 | N/A  |
|  | $40000000(4) | Same as above  | Same as above  | Same as above  | Same as above  | $26702 | $25595 | $24360 | $22985 | Year 16  |

---

(1) All assumptions assume no cash distributions until end of the first quarter of Year 4 after our permanent casino and resort begins operations.

(2) The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly.

(3) This assumed aggregate amount of distributions would result in payments on Subordinated Loans, or distributions, of approximately $2,500 per Class A Interest per year or $625 per Class A Interest per quarter.

(4) This assumed aggregate amount of distributions would result in payments on Subordinated Loans, or distributions, of approximately $4,000 per Class A Interest per year or $1,000 per Class A Interest per quarter.

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Class of <br> Interests**  | **Assumed <br> Aggregate <br> Class A <br> Distributions <br> per Year, <br> beginning in <br> Year 5<sup>(1)</sup>**  | **Balance of <br> corresponding <br> Subordinated <br> Loans <br> Interest as of <br> the Closing of <br> this Offering**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Illustrative Mathematical Examples, taking into <br> account compounding interest and assumed distribution amounts: <br> Resulting Balance of Subordinated Loans per <br> corresponding share at the End of Fiscal Year<sup>(1)(2)</sup>**  | **Assumed <br> Payoff date <br> taking into <br> account <br> compounding <br> interest and <br> assumed <br> distribution <br> amounts:**  |
| **Class of <br> Interests**  | **Assumed <br> Aggregate <br> Class A <br> Distributions <br> per Year, <br> beginning in <br> Year 5<sup>(1)</sup>**  | **Balance of <br> corresponding <br> Subordinated <br> Loans <br> Interest as of <br> the Closing of <br> this Offering**  | **Year 1<sup>(1)</sup>**  | **Year 2<sup>(1)</sup>**  | **Year 3**  | **Year 4**  | **Year 5**  | **Year 6**  | **Year 7**  | **Assumed <br> Payoff date <br> taking into <br> account <br> compounding <br> interest and <br> assumed <br> distribution <br> amounts:**  |
| A-1  | $0 | $24750  | $27587  | $30749  | $34273  | $38202  | $42581 | $47461 | $52901 | N/A  |
|  | $25000000(3) | Same as above  | Same as above  | Same as above  | Same as above  | Same as above  | $39976 | $41953 | $44156 | N/A  |
|  | $40000000(4) | Same as above  | Same as above  | Same as above  | Same as above  | Same as above  | $38413 | $38647 | $38909 | N/A  |
| A-2  | $0 | $22500  | $25079  | $27954  | $31158  | $34729  | $38710 | $43147 | $48092 | N/A  |
|  | $25000000(3) | Same as above  | Same as above  | Same as above  | Same as above  | Same as above  | $36105 | $37638 | $39347 | N/A  |
|  | $40000000(4) | Same as above  | Same as above  | Same as above  | Same as above  | Same as above  | $34542 | $34333 | $34100 | Year 31  |
| A-3  | $0 | $20000  | $22292  | $24848  | $27696  | $30870  | $34409 | $38353 | $42749 | N/A  |
|  | $25000000(3) | Same as above  | Same as above  | Same as above  | Same as above  | Same as above  | $31804 | $32844 | $34003 | N/A  |
|  | $40000000(4) | Same as above  | Same as above  | Same as above  | Same as above  | Same as above  | $30241 | $29539 | $28756 | Year 21  |

---

(1) All assumptions assume no cash distributions until end of the first quarter of Year 5 after our permanent casino and resort begins operations.

(2) The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly.

(3) This assumed aggregate amount of distributions would result in payments on Subordinated Loans, or distributions, of approximately $2,500 per Class A Interest per year or $625 per Class A Interest per quarter.

(4) This assumed aggregate amount of distributions would result in payments on Subordinated Loans, or distributions, of approximately $4,000 per Class A Interest per year or $1,000 per Class A Interest per quarter.

The following tables include illustrative mathematical examples that illustrate how, in the event of a sale of Bally's Chicago OpCo at the end of Year 7 after our permanent casino and resort begins operations,

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the amount paid in connection with such sale would be distributed per share outstanding at the time of such sale, taking into account the illustrative mathematical examples in each of the tables above and assuming an aggregate number of 10,000 Class A Interests to be issued in connection with this offering, distributed as 500 Class A-1 Interests, 1,000 Class A-2 Interests, 1,000 Class A-3 Interests and 7,500 Class A-4 Interests outstanding:

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 3 after our permanent casino and resort begins operations:  |
| Assumed Aggregate Class A Distributions per Year, beginning in Year 3  | Assumed Price Paid in Connection with the Sale of the Company<sup>(1)</sup>  | Assumed Total Senior Indebtedness Outstanding of Bally's Chicago OpCo at the Time of the Sale of the Company  | Amount Remaining After Payment of Senior Indebtedness Outstanding of Bally's Chicago OpCo  | Amount Distributed to Bally's Chicago, Inc.<sup>(1)</sup>  | Average Amount Distributed per Class A-1 Interest<sup>(1)</sup>  | Average Amount Distributed per Class A-2 Interest<sup>(1)</sup>  | Average Amount Distributed per Class A-3 Interest<sup>(1)</sup>  | Average Amount Distributed per Class A-4 Interest<sup>(1)</sup>  |
| $0  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;$30000<sup>(2</sup>) |
| $25000000  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;$0<sup>(3</sup>) | &nbsp;&nbsp;&nbsp;$0<sup>(3</sup>) | &nbsp;&nbsp;$3625<sup>(3</sup>) | &nbsp;&nbsp;$30000<sup>(3</sup>) |
| $40000000  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;$3296<sup>(4</sup>) | &nbsp;&nbsp;&nbsp;$8105<sup>(4</sup>) | &nbsp;&nbsp;$13449<sup>(4</sup>) | &nbsp;&nbsp;$30000<sup>(4</sup>) |

---

(1) In the event of a sale of Bally's Chicago OpCo, after payment or provision for payment of Bally's Chicago OpCo's debt and liabilities (to the extent required by the terms of the agreements governing such debt and liabilities), including any amounts due under Bally's Chicago OpCo's senior indebtedness, each LLC Interest will be entitled to receive a proportionate interest in the net assets of Bally's Chicago OpCo. In turn, the interests in the net assets of Bally's Chicago OpCo received by Bally's Chicago, Inc. will be used to pay Bally's Chicago, Inc.'s debts and liabilities (to the extent required by the terms of the agreements governing such debt and liabilities), including any amounts under any senior indebtedness. Each Class A Interest will be entitled to receive a proportionate interest in the net assets remaining for distribution to holders of Class A Interests as adjusted for any amount of Subordinated Loans attributable to such class that remained outstanding at the time of the sale of Bally's Chicago OpCo.

(2) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $26,450,657, $48,092,104 and $42,748,536, respectively.

(3) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $18,263,970, $31,718,730 and $26,375,163, respectively.

(4) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $13,351,958, $21,894,706 and $16,551,139, respectively.

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  | Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and assumed distribution amounts beginning Year 4 after our permanent casino and resort begins operations:  |
| Assumed Aggregate Class A Distributions per Year, beginning in Year 4  | Assumed Price Paid in Connection with the Sale of the Company<sup>(1)</sup>  | Assumed Total Senior Indebtedness Outstanding of Bally's Chicago OpCo at the Time of the Sale of the Company  | Amount Remaining After Payment of Senior Indebtedness Outstanding of Bally's Chicago OpCo  | Amount Distributed to Bally's Chicago, Inc.<sup>(1)</sup>  | Average Amount Distributed per Class A-1 Interest<sup>(1)</sup>  | Average Amount Distributed per Class A-2 Interest<sup>(1)</sup>  | Average Amount Distributed per Class A-3 Interest<sup>(1)</sup>  | Average Amount Distributed per Class A-4 Interest<sup>(1)</sup>  |
| $0  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;$30000<sup>(2</sup>) |
| $25000000  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(3</sup>) | &nbsp;&nbsp;&nbsp;$1672<sup>(3</sup>) | &nbsp;&nbsp;&nbsp;$7015<sup>(3</sup>) | &nbsp;&nbsp;$30000<sup>(3</sup>) |
| $40000000  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(4</sup>) | &nbsp;&nbsp;&nbsp;$1672<sup>(4</sup>) | &nbsp;&nbsp;&nbsp;$7015<sup>(4</sup>) | &nbsp;&nbsp;$30000<sup>(4</sup>) |

---

(1) In the event of a sale of Bally's Chicago OpCo, after payment or provision for payment of Bally's Chicago OpCo's debt and liabilities (to the extent required by the terms of the agreements governing such debt and liabilities), including any amounts due under Bally's Chicago OpCo's senior indebtedness, each LLC Interest will be entitled to receive a proportionate interest in the net assets of Bally's Chicago OpCo. In turn, the interests in the net assets of Bally's Chicago OpCo received by Bally's Chicago, Inc. will be used to pay Bally's Chicago, Inc.'s debts and liabilities (to the extent required by the terms of the agreements governing such debt and liabilities), including any amounts under any senior

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indebtedness. Each Class A Interest will be entitled to receive a proportionate interest in the net assets remaining for distribution to holders of Class A Interests as adjusted for any amount of Subordinated Loans attributable to such class that remained outstanding at the time of the sale of Bally's Chicago OpCo.

(2) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $26,450,657, $48,092,104 and $42,748,536, respectively.

(3) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $20,274,413, $35,739,616 and $30,396,049, respectively.

(4) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $16,568,667, $28,328,124 and $22,984,557, respectively.

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  | **Illustrative Mathematical Examples, taking into account assumed total senior indebtedness, compounding interest and <br> assumed distribution amounts beginning Year 5 after our permanent casino and resort begins operations::**  |
| **Assumed <br> Aggregate <br> Class A <br> Distributions <br> per Year, <br> beginning <br> in Year 5**  | **Assumed Price <br> Paid in <br> Connection with <br> the Sale of the <br> Company<sup>(1)</sup>**  | **Assumed Total <br> Senior <br> Indebtedness <br> Outstanding of <br> Bally's Chicago <br> OpCo at <br> the Time of the <br> Sale of the <br> Company**  | **Amount <br> Remaining After <br> Payment of <br> Senior <br> Indebtedness <br> Outstanding of <br> Bally's Chicago <br> OpCo**  | **Amount <br> Distributed to <br> Bally's <br> Chicago, Inc.<sup>(1)</sup>**  | **Average <br> Amount <br> Distributed per <br> Class A-1 <br> Interest<sup>(1)</sup>**  | **Average <br> Amount <br> Distributed per <br> Class A-2 <br> Interest<sup>(1)</sup>**  | **Average <br> Amount <br> Distributed per <br> Class A-3 <br> Interest<sup>(1)</sup>**  | **Average <br> Amount <br> Distributed per <br> Class A-4 <br> Interest<sup>(1)</sup>**  |
| $0  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;&nbsp;$0<sup>(2</sup>) | &nbsp;&nbsp;$30000<sup>(2</sup>) |
| $25000000  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(3</sup>) | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(3</sup>) | &nbsp;&nbsp;&nbsp;$1244<sup>(3</sup>) | &nbsp;&nbsp;$30000<sup>(3</sup>) |
| $40000000  | $1200000000 | $0 | $1200000000 | $300000000 | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(4</sup>) | &nbsp;&nbsp;&nbsp;&nbsp;$0<sup>(4</sup>) | &nbsp;&nbsp;&nbsp;$1244<sup>(4</sup>) | &nbsp;&nbsp;$30000<sup>(4</sup>) |

---

(1) In the event of a sale of Bally's Chicago OpCo, after payment or provision for payment of Bally's Chicago OpCo's debt and liabilities (to the extent required by the terms of the agreements governing such debt and liabilities), including any amounts due under Bally's Chicago OpCo's senior indebtedness, each LLC Interest will be entitled to receive a proportionate interest in the net assets of Bally's Chicago OpCo. In turn, the interests in the net assets of Bally's Chicago OpCo received by Bally's Chicago, Inc. will be used to pay Bally's Chicago, Inc.'s debts and liabilities (to the extent required by the terms of the agreements governing such debt and liabilities), including any amounts under any senior indebtedness. Each Class A Interest will be entitled to receive a proportionate interest in the net assets remaining for distribution to holders of Class A Interests as adjusted for any amount of Subordinated Loans attributable to such class that remained outstanding at the time of the sale of Bally's Chicago OpCo.

(2) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $26,450,657, $48,092,104 and $42,748,536, respectively.

(3) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $22,078,114, $39,347,018 and $34,003,451, respectively.

(4) The assumed total Class A-1 Subordinated Loans, Class A-2 Subordinated Loans and Class A-3 Subordinated Loans outstanding at the time of the sale of the Company under this illustrative example are $19,454,588, $34,099,966 and $28,756,399, respectively.

#### Summary of Risk Factors
Our ability to implement our business strategy is subject to numerous risks and uncertainties. We face many risks inherent in our business generally. You should carefully consider all of the information set forth in this prospectus and, in particular, the information under the heading "*Risk Factors*," prior to making an investment in our Class A Interests. These risks include, among others, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We are subject to various construction and development risks in connection with our permanent casino and resort in Chicago;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Any delay between the closing of our temporary casino and the opening of our permanent casino and resort could have a material adverse effect on our financial condition and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The casino, hotel and hospitality industry is capital intensive and we may not be able to finance development, expansion and renovation projects, which could put us at a competitive disadvantage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Both our temporary casino site and permanent casino and resort site are leased and could experience risks associated with leased properties, including risks relating to lease termination, inability to obtain satisfactory lease extensions, consents and approvals, charges and our relationship with landlords, which could have a material adverse effect on our business, financial position or results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our proposed lines of business are highly sensitive to reductions in discretionary consumer spending;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The gaming industry, including retail casinos, iGaming and sports wagering, is highly competitive and increased competition, including through legislative legalization or expansion of gaming by states in or near Illinois or through Native American gaming facilities, could adversely affect our financial results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We will be subject to extensive state and local regulation and licensing, and gaming authorities have significant control over our operations, which could have an adverse effect on our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our business will be subject to a variety of laws in the United States and in Illinois, many of which are unsettled and still developing, and which could subject us to claims or otherwise harm our business. Any change in existing regulations or their interpretation, or the regulatory or prosecutorial climate applicable to the products and services we offer in our temporary casino and intend to offer in our permanent casino and resort, or changes in gaming tax rates, tax rules and regulations or interpretation thereof related to such products and services, could adversely impact our ability to operate our business as currently conducted or as we seek to operate in the future, which could have a material adverse effect on our financial condition and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We will be reliant on effective payment processing services from a limited number of providers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our profitability will be dependent, in part, on return to players;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We will extend credit to a portion of our customers, and we may not be able to collect gaming receivables from our credit customers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Declining popularity of games and changes in device preferences of players could have a negative effect on our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We may invest in or acquire other businesses, and our business may suffer if we are unable to successfully integrate acquired businesses into the Company or otherwise manage the growth associated with multiple acquisitions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our results of operations and financial condition could be adversely affected by the occurrence of natural disasters, such as blizzards, floods, tornadoes, fires, or other catastrophic events, including war, terrorism and public health crises such as the COVID-19 pandemic;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Failure to comply with the community investment program obligations specified in the Host Community Agreement could have a material adverse effect on our financial condition and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's interests may conflict with our interests and the interests of the other holders of our stock. Conflicts of interest between Bally's and us could be resolved in a manner unfavorable to us and the other holders of our stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We rely on information technology and other systems and platforms, and any failures, errors, defects or disruptions in our systems or platforms could diminish our brand and reputation, subject us to liability, disrupt our business, affect our ability to scale our technical infrastructure and adversely affect our operating results and growth prospects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our business may be harmed from cybersecurity incidents and we may be subject to legal claims if there is loss, disclosure or misappropriation of or access to our customers', business partners' or our own information or other breaches of information security;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Servicing our indebtedness and funding our other obligations requires a significant amount of cash, and our ability to generate sufficient cash depends on many factors, some of which will be beyond our control;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our Class A Interests will not have an active trading market, and you may find it difficult to sell your Class A Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • You may not receive dividends or other distributions on the Class A Interests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us until such time as such Subordinated Loans are fully paid and discharged, which means you may never directly receive a cash dividend on your Class A-1 Interests, Class A-2 Interests and Class A-3 Interests.

#### Corporate Information
Our principal executive offices are located at 640 N LaSalle, Suite 460, Chicago, IL 60654, and our telephone number is (401) 475-8474. Our website address is https://casinos.ballys.com/chicago/. The information contained on our website is not being incorporated by reference into this prospectus, and you should not consider information contained on our website to be part of this prospectus.

Our logo and the other "Bally's" trademarks and service marks of Bally's Corporation appearing in this prospectus are the property of BMG, a subsidiary of Bally's Corporation. This prospectus contains additional trade names, trademarks and service marks of other companies. We do not intend our use or display of other companies' trade names, trademarks or service marks to imply relationships with, or endorsement or sponsorship of us by, these other companies. Subsequent use of such trademarks and service marks in this prospectus and prospectus supplements may occur without their respective superscript symbols (<sup>TM</sup> or <sup>SM</sup>) in order to facilitate readability and does not constitute a waiver of any rights that might be associated with the respective trademarks or service marks.

#### Implications of Being an Emerging Growth Company and a Smaller Reporting Company
We qualify as an "emerging growth company" as defined in the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"). An emerging growth company may take advantage of certain reduced disclosure and other requirements that are otherwise applicable to public companies. These provisions include, but are not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • being permitted to provide only two years of audited financial statements, in addition to any required unaudited interim financial statements, with correspondingly reduced "Management's Discussion and Analysis of Financial Condition and Results of Operations" disclosure;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002, as amended (the "Sarbanes-Oxley Act");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • not being required to comply with any requirement that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditor's report providing additional information about the audit and the financial statements, unless the SEC determines the new rules are necessary for protecting the public;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • reduced disclosure obligations regarding executive compensation in our periodic reports, proxy statements and registration statements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved.

We will remain an emerging growth company until the earliest to occur of: (i) the last day of the first fiscal year in which our annual gross revenue exceeds $1.235 billion; (ii) the date that we become a "large

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accelerated filer," with at least $700.0 million of equity securities held by non-affiliates as of the end of the second quarter of that fiscal year; (iii) the date on which we have issued, in any three-year period, more than $1.0 billion in non-convertible debt securities; and (iv) the last day of the first fiscal year ending after the fifth anniversary of the closing of this offering. Given that there will not be an active trading market for our equity securities, we expect to value the equity securities held by non-affiliates for purposes of determining our qualification as an "emerging growth company" by relying on a stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering *plus* the corresponding amount of Subordinated Loans attributable to each Class A Interest. As of the closing of this offering and the concurrent private placements, we expect approximately $250.0 million of equity securities to be held by non-affiliates based on the valuation criteria described above.

We have elected to take advantage of certain of the reduced disclosure obligations in the registration statement of which this prospectus is a part and may elect to take advantage of other reduced reporting requirements in future filings. As a result, the information that we provide may be different than the information you receive from other public companies in which you hold stock.

Emerging growth companies can also take advantage of the extended transition period provided in Section 13(a) of the Securities Exchange Act of 1934, as amended (the "Exchange Act") for complying with new or revised accounting standards. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have irrevocably elected not to use this extended transition period. As a result, our consolidated financial statements are comparable to the financial statements of companies that comply with new or revised accounting pronouncements as of public company effective dates.

We are also a "smaller reporting company" as defined in the Exchange Act. We may continue to be a smaller reporting company even after we are no longer an emerging growth company. We may take advantage of certain of the scaled disclosures available to smaller reporting companies and will be able to take advantage of these scaled disclosures for so long as our voting and non-voting shares of stock held by non-affiliates is less than $250.0 million measured on the last business day of our second fiscal quarter, or our annual revenue is less than $100.0 million during the most recently completed fiscal year and our voting and non-voting shares of stock held by non-affiliates is less than $700.0 million measured on the last business day of our second fiscal quarter.

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#### THE OFFERING
Aggregate number of securities offered

10,000 Class A Interests (divided into Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests).

Securities offered

500 Class A-1 Interests, par value $0.001 per share;

1,000 Class A-2 Interests, par value $0.001 per share;

1,000 Class A-3 Interests, par value $0.001 per share; and

7,500 Class A-4 Interests, par value $0.001 per share.

Class A Interests to be sold in the concurrent private

placements

Immediately subsequent to the closing of this offering, and subject to certain conditions of closing as described in "*Concurrent Private Placements*," the private placement investors will purchase Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, and Class A-4 Interests, respectively, in the concurrent private placements at a price per share equal to the initial public offering. The sale of the Class A Interests in the private placements is contingent upon the completion of this offering. We refer to these private placements as the concurrent private placements.

Class A Interests to be outstanding after this offering and the concurrent private

placements

13,326 Class A Interests (divided into Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests, representing the 10,000 Class A Interests to be issued in connection with this offering in addition to the 3,326 Class A Interests outstanding as a result of the initial Class A Interest issuances) representing 30.8% of the voting power and 100.0% of the economic interest in Bally's Chicago, Inc.

Class B Interests to be outstanding after this offering and the concurrent private

placements

30,000 Class B Interests representing 69.2% of the voting power and no economic interest in Bally's Chicago, Inc.

Offering type

This offering is being conducted on a best efforts basis. There is no minimum number of Class A Interests to be sold (or minimum number of Class A Interests to be sold of each class) or minimum aggregate offering proceeds for this offering to close. The Company currently intends to provide preferential allocations of Class A Interests to City of Chicago residents and Illinois residents during this offering.

Use of proceeds

We estimate that the net proceeds we will receive from the sale of Class A Interests in this offering will be approximately $195.1 million and, together with the net proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, will total approximately $250.0 million, in each case assuming the sale of Class A Interests at the public offering prices set forth on the cover of this prospectus, after deducting the placement agent fees and offering and private placement expenses payable by us.

We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the

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Subordinated Loans and the IPO Expenses Note, to purchase 10,000 LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest.

Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to Bally's Chicago, Inc. to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes. See "*Use of Proceeds*."

Investor qualification

Prospective investors cannot be employee benefit plans (e.g., 401(k) plans), IRAs, or other Plans (as defined herein). See "*Plan of Distribution — Offering Process*."

Voting rights

Each Class A Interest and each Class B Interest is entitled to one vote per share on all matters submitted to a vote of stockholders.

Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, Bally's Chicago HoldCo, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, will hold 74.2% of the voting power and 16.1% of the economic power of our stock. See "*Description of Capital Stock*."

Dividends

We are a holding company, and our principal assets are the LLC Interests that we currently hold plus those that we intend to purchase from Bally's Chicago OpCo. If we decide to make a distribution in the future, we would need to cause Bally's Chicago OpCo to make distributions to us in an amount sufficient to cover the repayment of the IPO Expenses Note, future borrowings plus such distribution. If Bally's Chicago OpCo makes such distributions to us, the other holders of LLC Interests will be entitled to receive pro rata distributions.

In addition, Bally's Chicago OpCo will report as a partnership for U.S. federal income tax purposes and, as such, generally will not be subject to any entity-level U.S. federal income tax. Instead, any taxable income of Bally's Chicago OpCo will be allocated to holders of LLC Interests, including us. Accordingly, we will incur income taxes on our allocable share of any net taxable income of Bally's Chicago OpCo. Under the terms of the Bally's Chicago OpCo LLC Agreement, Bally's Chicago OpCo will be obligated to make tax distributions to holders of LLC Interests, including us, to the extent it has distributable cash. In addition to tax expenses, we will also incur expenses related to our operations, which we expect could be significant. We intend, as its managing member, to cause Bally's Chicago OpCo to make cash distributions to the owners of LLC Interests in an amount sufficient to (1) fund all or part of their tax obligations in respect of taxable income allocated to them and (2) cover our operating expenses. However, Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions, such as restrictions on distributions that would either violate any contract or agreement to which Bally's Chicago OpCo is then a party, including any debt or financing agreements, or any applicable law, or that would have the effect of rendering Bally's Chicago OpCo insolvent. If we do not have sufficient funds to pay tax or other liabilities or to fund our

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 *operations, we may have to borrow funds, including potentially from Bally's and its affiliates if available, which could materially adversely affect our liquidity and financial condition and subject us to various restrictions imposed by any such lenders. See "Risk Factors — Risks related to our organizational structure — Our principal asset after the completion of this offering and the concurrent private placements will be our interest in Bally's Chicago OpCo, and, as a result, we will depend on distributions from Bally's Chicago OpCo to pay our taxes and expenses. Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions."* 

Furthermore, we intend, as its managing member, to cause Bally's Chicago OpCo to make distributions of OpCo cash available for distribution on a quarterly basis. We define OpCo cash available for distribution as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable, less payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. We do not expect any such distributions until after the permanent casino and resort is fully operational and generates cash flow.

In turn, we intend to distribute cash available for distribution to the holders of our Class A Interests (subject to certain requirements discussed below). Holders of our Class B Interests will not be entitled to participate in distributions declared by our Board. We define *cash available for distribution* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable, *less* payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. Cash that is distributed to holders of our Class A Interests will be distributed pro rata according to the number of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests outstanding at the time of such distribution. Given the capital intensity of developing, constructing, opening and operating a casino resort project of this scale, we currently expect that Bally's Chicago OpCo will not have any OpCo cash available for distribution until approximately three to five years after our permanent casino and resort begins operations. However, this may fluctuate depending on Bally's Chicago OpCo's ability to generate cash from operations and its cash flow needs, which, among other things, may be impacted by debt service payments on its senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. Pursuant to the terms of our second amended and

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restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly, will be pre-payable at any time without a premium or penalty at a prepayment price equal to the principal amount thereof plus accrued interest, and will have no maturity date. See "*Subordinated Loans*" for more information on the Subordinated Loans.

If the principal and interest of any of the Subordinated Loans have been paid in full, by distributions from Bally's Chicago OpCo or any other means, we intend to distribute to holders of the corresponding Class A Interests with respect to any such Subordinated Loan an amount equal to 100% of the applicable distribution specified above in the form of a direct cash dividend.

While we intend, as its managing member, to cause Bally's Chicago OpCo to make distributions on a quarterly basis once it is able to generate OpCo cash available for distribution approximately three to five years after our permanent casino and resort begins operations, we and Bally's Chicago OpCo have not adopted a formal written dividend or distribution policy to pay a fixed amount of cash regularly or to pay any particular amount based on the achievement of, or derivable from, any specific financial metrics, including OpCo cash available for distribution. Further, we and Bally's Chicago OpCo are not contractually obligated to pay any dividends or make any distributions and do not have any required minimum quarterly dividend or distribution, except for tax-related distributions described above. Our and Bally's Chicago OpCo's distributions may vary from quarter to quarter, may be significantly reduced or may be eliminated entirely. While we and Bally's Chicago OpCo intend to make distributions equal to 100% of the cash available for distribution and OpCo cash available for distribution, respectively, on a quarterly basis, the actual amount of any distributions may fluctuate depending on our and Bally's Chicago OpCo's ability to generate cash from operations and our and Bally's Chicago OpCo's cash flow needs, which, among other things, may be impacted by debt service payments on our or Bally's Chicago OpCo's senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. Our Board will have full discretion on how to deploy cash available for distribution, including the payment of dividends. Any debt we or Bally's Chicago OpCo may incur in the future is likely to restrict our and Bally's Chicago OpCo ability to pay dividends or distributions, and such restriction may prohibit us and Bally's Chicago OpCo from making distributions, or reduce the amount of cash available for distribution and OpCo cash available for distribution. In addition, Delaware law imposes requirements that

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 *may restrict our ability to pay dividends to holders of our shares. See "Risk Factors — Risks Related to this Offering and Ownership of our Class A Interests — You may not receive dividends or other distributions on the Class A Interests" and "Dividend Policy."* 

Electronic form and trading market

The Class A Interests will be issued in electronic form only, and will not be available in physical form. Our Class A Interests are new securities; there are currently none issued and there is currently no established market for such shares.

Our Class A Interests will not be listed on any national securities exchange or on any other stock exchange, regulated trading facility or automated dealer quotation system in the United States or internationally. Additionally, there is no trading market for our Class A Interests and, due to transferability restrictions, an active market for our Class A Interests will not likely develop in the future. As such, our Class A Interests will have limited liquidity and holders of our Class A Interests may not be able to monetize their full investment in our Class A Interests, if at all. Furthermore, Class A-1 Interests, Class A-2 Interests and Class A-3 Interests can be transferred only after the Subordinated Loan attributable to such Interest has been paid in full and such interest has been converted to an A-4 Interest.

Transfer Restrictions

Our Class A Interests are subject to restrictions on transferability and redemption provisions, which will materially impact the ability of holders of our Class A Interests to transfer their shares.

These restrictions include, among others:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our Class A Interests cannot be sold in open market transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our Class A Interests cannot be marketed or listed on any secondary market for purchase;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our Class A Interests can only be transferred without our consent to Permitted Transferees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Class A-1 Interests, Class A-2 Interests and Class A-3 Interests can be transferred with our consent only after the Subordinated Loan attributable to such class of Interests has been paid in full and such Interests are converted to Class A-4 Interests; all Class A-1 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-1 Subordinated Loans, all Class A-2 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-2 Subordinated Loans and all Class A-3 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-3 Subordinated Loans (if a holder of Class A-1 Interests, Class A-2 Interests and/or Class A-3 Interests would like to transfer their Interests before the Subordinated Loans attributable to such class of Interests are paid off, such holder or the transferee may repay in full the pro rata amount of the remaining balance of the Subordinated Loans then outstanding attributable to such Interests before or substantially concurrently with such transfer and conversion); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our Class A Interests cannot be transferred to employee benefit plans, IRAs or Plans (as defined herein).

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See "*Shares Eligible for Future Sale*" beginning on page [189](#tIEFF) for additional information related to the transfer restrictions imposed on our Class A Interests.

U.S. federal income tax

consequences

For a description of the material U.S. federal income tax consequences of the acquisition, ownership and disposition of the Class A Interests, please see "*Material U.S. Federal Income Tax Consequences*" herein.

Certain ERISA Considerations

See "*Certain ERISA Considerations*" for information relating to the purchase and transfer restrictions on employee benefit plans, IRAs and other Plans (as defined therein).

Directed Share Program

We have reserved up to 300 Class A Interests, or approximately 3.0% of our Class A Interests, for sale to our director nominees on the same terms as the Class A Interests being purchased by investors in this offering. These persons must commit to purchase at the same time as the investors in this offering. The number of Class A Interests available for sale in this offering will be reduced to the extent these persons purchase the reserved Class A Interests. See "*Plan of Distribution — Directed Share Program.*"

Risk factors

You should read "*Risk Factors*" for a discussion of factors you should carefully consider before deciding to invest in our Class A Interests.

Order/Investment Commitment submission deadline

Prospective investors must have submitted their qualification application to us by the submission deadline, which is currently , but may be sooner at our sole discretion depending upon market conditions.

Liquidation

In the event of a sale, liquidation, dissolution or winding up of Bally's Chicago OpCo, including a change of control, after payment or provision for payment of Bally's Chicago OpCo's debt and liabilities, including any amounts due under Bally's Chicago OpCo's senior indebtedness, each LLC Interest will be entitled to receive a proportionate interest in the net assets of Bally's Chicago OpCo. In turn, the interests in the net assets of Bally's Chicago OpCo received by Bally's Chicago, Inc. will be used to pay Bally's Chicago, Inc.'s debts and liabilities, including any amounts under any senior indebtedness and the Subordinated Loans owed by us at the time of such liquidation. Each Class A Interest will be entitled to receive a proportionate interest in the net assets remaining for distribution to holders of Class A Interests. Class B Interests hold no economic interest in Bally's Chicago, Inc. See "*Description of Capital Stock*."

The number of our shares of stock to be outstanding after this offering and the concurrent private placements is based on 3,326 Class A Interests and 30,000 Class B Interests outstanding as of March 31, 2025.

Except as otherwise indicated, all information in this prospectus assumes or gives effect to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • no purchases of Class A Interests by Bally's Corporation in this offering;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the issuance of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, and Class A-4 Interests to the private placement investors upon the closing of the concurrent private placements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the filing and effectiveness of our second amended and restated certificate of incorporation and the adoption of our second amended and restated bylaws prior to the closing of this offering.

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#### QUESTIONS AND ANSWERS

#### Q:

#### What is our business?
A:

We are a gaming, hospitality and entertainment company with the singular focus of building and operating a world-class entertainment destination resort in Chicago, Illinois. We intend to provide both Chicago residents and business and leisure travelers visiting Chicago with physical and interactive entertainment and gaming experiences.

#### Q:

#### What are the securities that we are offering?
A:

We are offering our Class A Interests. Upon the closing of this offering and the concurrent private placements and the consummation of the Transactions, we will have five classes of stock: Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, Class A-4 Interests and Class B Interests. Class B Interests are not being offered hereby, and are held exclusively by Bally's Chicago HoldCo. The rights of the holders of Class A Interests and Class B Interests will be identical, except with respect to the impact of the Subordinated Loans attributable to Class A-1 Interests, Class A-2 Interests and Class A-3 Interests described below and Class B Interests have no economic interest in Bally's Chicago, Inc. Each Class A Interest and each Class B Interest is entitled to one vote per share on all matters submitted to a vote of stockholders. Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, Bally's Chicago HoldCo, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, will hold % of the voting power in the Company. We will be permitted, but not required, to pay dividends on our Class A Interests. Holders of our Class B Interests will not be entitled to participate in distributions declared by our Board. See "*Dividend Policy.*"

#### Q:

#### Are there any risks associated with an investment in our Class A Interests?
A:

*Yes*. Our Class A Interests are highly risky and speculative. Investing in our Class A Interests should be considered only by persons who can afford the loss of their entire investment. Additionally, our Class A Interests will not be listed on any national securities exchange or on any other stock exchange, regulated trading facility or automated dealer quotation system in the United States or internationally. There is no trading market for our Class A Interests and an active market for our Class A Interests will not likely develop in the future. As such, our Class A Interests will have limited liquidity and holders of our Class A Interests may not be able to monetize their full investment in our Class A Interests, if at all.

Our Class A Interests are also subject to restrictions on transferability and redemption provisions, each of which will individually and in the aggregate materially impact the ability of holders of our Class A Interests to transfer their Class A Interests following the closing of this offering. Our Class A Interests can only be transferred without our consent to Permitted Transferees. Additionally, our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests can be transferred with our consent only after the Subordinated Loan attributable to such class of Interests has been paid in full and such Interests are converted to Class A-4 Interests. All Class A-1 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-1 Subordinated Loans, all Class A-2 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-2 Subordinated Loans and all Class A-3 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-3 Subordinated Loans. If a holder of Class A-1 Interests, Class A-2 Interests and/or Class A-3 Interests would like to transfer their Interests before the Subordinated Loans attributable to such class of Interests are paid off, such holder or the transferee may repay in full the pro rata amount of the remaining balance of the Subordinated Loans then outstanding attributable to such Interests before or substantially concurrently with such transfer and conversion. See "*Shares Eligible for Future Sale*" beginning on page [189](#tIEFF). Class A Interests also cannot be transferred to employee benefit plans, IRAs and other Plans (as defined herein). See "*Certain ERISA Considerations*."

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Our Class A Interests are shares of stock in Bally's Chicago, Inc. and do not constitute indebtedness. As such, our Class A Interests will rank junior to all indebtedness, including the Subordinated Loans, and other non-equity claims on our business with respect to assets available to satisfy claims, including in a liquidation of the Company.

In addition, pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. Therefore, even if our Board (or a duly authorized committee of the Board) authorizes and declares a dividend on our shares of stock, holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests will not be entitled to receive any such dividend until such time as the corresponding Subordinated Loans associated with such Class A Interests are paid in full, which may take a prolonged period of time to occur, if at all.

Our Subordinated Loans will accrue interest at a rate of 11.0% per annum, compounding quarterly, and accrued and unpaid interest will be added to the outstanding principal amount thereof on a quarterly basis. As a result, the amount of Subordinated Loans that are to be paid with a percentage of the amounts that would otherwise be paid on account of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests will increase during the period between the closing date of this offering and the date, if any, on which dividends are to be paid on the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests.

In addition, given the Class A-3 Subordinated Loans attributable to each Class A-3 Interest will be lower than the Class A-1 Subordinated Loans and Class A-2 Subordinated Loans attributable to the Class A-1 Interests and Class A-2 Interests, respectively, the Class A-3 Subordinated Loans are expected to be fully repaid prior to the Class A-1 Subordinated Loans and the Class A-2 Subordinated Loans, to the extent they are fully repaid. Similarly, the Class A-2 Subordinated Loans are expected to be fully repaid prior to the Class A-1 Subordinated Loans, to the extent they are fully repaid. However, due to the significant amount of indebtedness (including both principal and interest) owed on the Subordinated Loans, we do not expect to fully repay the Subordinated Loans for an extended period of time following the closing of this offering, if at all. As such, holders of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests may not directly receive the cash dividends or other distributions that otherwise would have been payable on such Class A-1 Interests, Class A-2 Interests and Class A-3 Interests for an equivalently long period of time, if at all, or realize any accretion in value above the initial amount invested. Moreover, the value of the principal and accrued interest on the Subordinated Loans could exceed the value of the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests otherwise payable upon a sale of the business, resulting in holders of the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests receiving nothing upon such a sale. See "*Risk Factors*."

#### Q:

#### Will investors purchasing Class A Interests receive dividends?
A:

We are a holding company, and our principal assets will be the LLC Interests that we currently hold plus those that we intend to purchase from Bally's Chicago OpCo. If we decide to make a distribution in the future, we would need to cause Bally's Chicago OpCo to make distributions to us in an amount sufficient to cover the repayment of the IPO Expenses Note, future borrowings plus such distribution. If Bally's Chicago OpCo makes such distributions to us, the other holders of LLC Interests will be entitled to receive pro rata distributions.

In addition, Bally's Chicago OpCo will report as a partnership for U.S. federal income tax purposes and, as such, generally will not be subject to any entity-level U.S. federal income tax. Instead, any taxable income of Bally's Chicago OpCo will be allocated to holders of LLC Interests, including us. Accordingly, we will incur income taxes on our allocable share of any net taxable income of Bally's Chicago OpCo. Under the terms of the Bally's Chicago OpCo LLC Agreement, Bally's Chicago OpCo will be obligated to make tax distributions to holders of LLC Interests, including us, to the extent it

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has distributable cash. In addition to tax expenses, we will also incur expenses related to our operations, which we expect could be significant. We intend, as its managing member, to cause Bally's Chicago OpCo to make cash distributions to the owners of LLC Interests in an amount sufficient to (1) fund all or part of their tax obligations in respect of taxable income allocated to them and (2) cover our operating expenses. However, Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions, such as restrictions on distributions that would either violate any contract or agreement to which Bally's Chicago OpCo is then a party, including any debt or financing agreements, or any applicable law, or that would have the effect of rendering Bally's Chicago OpCo insolvent. If we do not have sufficient funds to pay tax or other liabilities or to fund our operations, we may have to borrow funds, including potentially from Bally's and its affiliates if available, which could materially adversely affect our liquidity and financial condition and subject us to various restrictions imposed by any such lenders. See "*Risk Factors — Risks related to our organizational structure — Our principal asset after the completion of this offering and the concurrent private placements will be our interest in Bally's Chicago OpCo, and, as a result, we will depend on distributions from Bally's Chicago OpCo to pay our taxes and expenses. Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions.*"

Furthermore, we intend to, as its managing member, cause Bally's Chicago OpCo to make distributions of OpCo cash available for distribution on a quarterly basis. We define *OpCo cash available for distribution* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable, *less* payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. We do not expect any such distributions until after the permanent casino and resort is fully operational and generates cash flow.

In turn, we intend to distribute cash available for distribution to the holders of our Class A Interests (subject to certain requirements discussed below). Holders of our Class B Interests will not be entitled to participate in distributions declared by our Board. We define *cash available for distribution* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable, *less* payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. Cash that is distributed to holders of our Class A Interests will be distributed pro rata according to the number of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests outstanding at the time of such distribution. Given the capital intensity of developing, constructing, opening and operating a casino resort project of this scale, we currently expect that Bally's Chicago OpCo will not have any OpCo cash available for distribution until approximately three to five years after our permanent casino and resort begins operations. However, this may fluctuate depending on Bally's Chicago OpCo's ability to generate cash from operations and its cash flow needs, which, among other things, may be impacted by debt service payments on its senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago.

Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly, will be pre-payable at any time without a premium or penalty at a prepayment price equal to the principal

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amount thereof plus accrued interest, and will have no maturity date. See "*Subordinated Loans*" for more information on the Subordinated Loans.

If the principal and interest of any of the Subordinated Loans have been paid in full, by distributions from Bally's Chicago OpCo or any other means, we intend to distribute to holders of the corresponding Class A Interests with respect to any such Subordinated Loan an amount equal to 100% of the applicable distribution specified above in the form of a direct cash dividend.

While we intend, as its managing member, to cause Bally's Chicago OpCo to make distributions on a quarterly basis once it is able to generate OpCo cash available for distribution approximately three to five years after our permanent casino and resort begins operations, we and Bally's Chicago OpCo have not adopted a formal written dividend or distribution policy to pay a fixed amount of cash regularly or to pay any particular amount based on the achievement of, or derivable from, any specific financial metrics, including OpCo cash available for distribution. Further, we and Bally's Chicago OpCo are not contractually obligated to pay any dividends or make any distributions and do not have any required minimum quarterly dividend or distribution, except for tax-related distributions described above. Our and Bally's Chicago OpCo's distributions may vary from quarter to quarter, may be significantly reduced or may be eliminated entirely. While we and Bally's Chicago OpCo intend to make distributions equal to 100% of the cash available for distribution and OpCo cash available for distribution, respectively, on a quarterly basis, the actual amount of any distributions may fluctuate depending on our and Bally's Chicago OpCo's ability to generate cash from operations and our and Bally's Chicago OpCo's cash flow needs, which, among other things, may be impacted by debt service payments on our or Bally's Chicago OpCo's senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. Our Board will have full discretion on how to deploy cash available for distribution, including the payment of dividends. Any debt we or Bally's Chicago OpCo may incur in the future is likely to restrict our and Bally's Chicago OpCo ability to pay dividends or distributions, and such restriction may prohibit us and Bally's Chicago OpCo from making distributions, or reduce the amount of cash available for distribution and OpCo cash available for distribution. In addition, Delaware law imposes requirements that may restrict our ability to pay dividends to holders of our shares. See "*Risk Factors — Risks Related to this Offering and Ownership of our Class A Interests — You may not receive dividends or other distributions on the Class A Interests*" and "*Dividend Policy*."

#### Q:

#### Will investors purchasing Class A Interests be parties to the amended and restated subordinated loan agreement?
A:

*No*. Bally's Chicago HoldCo, as lender, will make the Subordinated Loans to us, as borrower, in various tranches and in varying amounts based on the total number of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests sold in this offering. None of the new investors purchasing Class A Interests in this offering will be a party to the amended and restated subordinated loan agreement, or a borrower or lender under the Subordinated Loans. The Subordinated Loans will be non-recourse to the holders of our Class A Interests.

#### Q:

#### Will we offer additional equity securities in the future?
A:

While we do not currently intend to issue any additional securities in the future, we may be required to do so from time to time in order to continue to fund our operations. To the extent we decide to issue additional Class A Interests or Class B Interests in the future, we may be required to offer you an opportunity to participate pro rata in the offering in order to meet the requirements of the Host Community Agreement. However, to the extent that you determine that you either do not want to participate or cannot participate in any such offering, you will suffer immediate dilution to the extent such offering is completed without your participation. Additionally, we cannot guarantee that we will offer financing options similar to the Subordinated Loans, which would significantly increase the costs of any future investment.

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#### Q:

#### Will you file separate periodic reports with the SEC?
A:

*Yes.* Bally's Chicago, Inc. will be a registered SEC filer and thus is subject to the periodic reporting requirements of the SEC.

#### Q:

#### How will my Class A Interests be treated for United States federal income tax purposes?
A:

Class A Interests are to be treated as stock in Bally's Chicago, Inc. for United States federal income tax purposes. For a discussion of the material U.S. federal income tax consequences of the acquisition, ownership and disposition of our Class A Interests, please see "*Material U.S. Federal Income Tax Consequences*" herein.

#### Q:

#### How are the Class A Interests being offered?
A:

Our Class A Interests are being offered on a best efforts basis, by and through our placement agents (listed on the cover page of this prospectus). We currently intend to provide preferential allocations of Class A Interests to City of Chicago residents and Illinois residents during this offering. There is no minimum number of Class A Interests to be sold or minimum aggregate offering proceeds for this offering to close. The process for placing orders in this offering is different from that used for most public offerings of equity securities. You should carefully read the section entitled "*Plan of Distribution — Offering Process*" for additional information regarding how to place an order for our Class A Interests.

#### Q:

#### Will I receive a certificate for my Class A Interests?
A:

*No*. The Class A Interests will be issued in book-entry form only, and not in physical form. BitGo Trust (as defined below) will act as our registrar and transfer agent for our Class A Interests. Our Class A Interests will be held in book-entry form only on our books and records, and any transfers of our Class A Interests must be made through an account with BitGo Trust, a vendor that we have contracted to administer the books and records of our registrar.

#### Q:

#### Will the Class A Interests be listed on an exchange?
A:

Our Class A Interests will not be listed on a stock exchange such as the New York Stock Exchange or Nasdaq. Additionally, there is no trading market for our Class A Interests and, due to transferability restrictions, an active market for our Class A Interests will not likely develop in the future.

Therefore, our Class A Interests will have limited liquidity and holders of our Class A Interests may not be able to monetize their full investment in our Class A Interests, if at all.

#### Q:

#### Can I purchase Class A Interests using my existing brokerage account?
A:

*No*. In order to purchase our Class A Interests, investors will be required to open an account with BitGo Trust. You will not be able to purchase or sell any Class A Interests through any other brokerage account or any exchange or trading system. See "*Plan of Distribution — Offering Process.*"

#### Q:

#### What is Loop Capital Markets LLC and what role do they play in the offering and subsequent trading market?
A:

Loop Capital Markets LLC is serving as lead placement agent, along with other financial institutions, in this offering. Placement agents are financial specialists who work closely with issuers of securities to determine the initial offering price of the securities and solicit offers from investors to purchase the securities via the placement agents' distribution network.

#### Q:

#### How can I sell my Class A Interests if I decide that I no longer wish to hold them?
A:

You **<u>cannot</u>** freely sell your Class A Interests. Each Class A Interest is subject to strict controls that limit transferability.

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Our Class A Interests can only be transferred without our consent to Permitted Transferees. Additionally, our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests can be transferred with our consent only after the Subordinated Loan attributable to such class of Interests has been paid in full and such Interests are converted to Class A-4 Interests. All Class A-1 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-1 Subordinated Loans, all Class A-2 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-2 Subordinated Loans and all Class A-3 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-3 Subordinated Loans. If a holder of Class A-1 Interests, Class A-2 Interests and/or Class A-3 Interests would like to transfer their Interests before the Subordinated Loans attributable to such class of Interests are paid off, such holder or the transferee may repay in full the pro rata amount of the remaining balance of the Subordinated Loans then outstanding attributable to such Interests before or substantially concurrently with such transfer and conversion. In order to attempt to transfer your Class A Interests, you will be required to submit an application for sale to us. See "*Shares Eligible for Future Sale*" beginning on page [189](#tIEFF). Class A Interests also cannot be transferred to employee benefit plans, IRAs and other Plans (as defined herein). See "*Certain ERISA Considerations*."

#### Q:

#### Do Bally's and its directors and officers get to participate in this offering as an investor?
A:

*Yes*. Our officers and directors, along with Bally's and its officers and directors will be allowed to purchase Class A Interests in this offering and execute trades in the secondary market for their own respective accounts through the placement agents.

We have reserved up to 300 Class A Interests, or approximately 3.0% of our Class A Interests, for sale to our director nominees on the same terms as the Class A Interests being purchased by investors in this offering. These persons must commit to purchase at the same time as the investors in this offering. See "*Plan of Distribution — Directed Share Program.*"

#### Q:

#### What is the relationship between us and Bally's Corporation?
A:

We were incorporated on May 24, 2022 as a wholly-owned subsidiary of Bally's. Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, Bally's Chicago HoldCo, a wholly-owned subsidiary of Bally's, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, will hold 74.2% of the voting power and 16.1% of the economic power of our stock. We are currently dependent on Bally's for a majority of our working capital and financing requirements. As of December 31, 2024, we and Bally's Chicago OpCo owe $675.5 million in Pre-IPO Intercompany Notes to Bally's and various of its subsidiaries. The Pre-IPO Intercompany Notes have borne and bear interest at a rate equal to 0.0% per annum and are scheduled to mature on December 31, 2025, but all portions that remain outstanding are expected to be extinguished upon the closing of this offering.

Prior to the closing of this offering, Bally's Chicago HoldCo will assign to Bally's Chicago Inc. $ of Pre-IPO Intercompany Notes owed to it by Bally's Chicago, Inc. and $ of Pre-IPO Intercompany Notes owed to it by Bally's Chicago OpCo as the Pre-IPO Capital Contribution. The amount of the Pre-IPO Capital Contribution will equal the aggregate amount of Subordinated Loans that we will enter into based on the amount of the various classes of Class A Interests sold in this offering and the concurrent private placements.

We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, to purchase 10,000 LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest. The 10,000 LLC Interests we purchase, together with the 3,326 LLC Interests we currently hold, will represent 30.8% of the economic interest in Bally's Chicago OpCo and the Class A Interests to be held by Bally's Chicago HoldCo and the public stockholders upon the closing of this offering will represent 30.8% of the voting power and 100.0% of the economic interest in Bally's Chicago, Inc.

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Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to us to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes. Upon the closing of this offering, the 30,000 LLC Interests that are currently held by Bally's Chicago HoldCo will represent 69.2% of the economic interest in Bally's Chicago OpCo. Bally's Chicago HoldCo, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, will hold 74.2% of the voting power and 16.1% of the economic power of our stock. See "*Management's Discussion and Analysis of Financial Condition and Results of Operations — Results of Operations and — Liquidity and Capital Resources.*"

In January 2023, Bally's Chicago OpCo and certain subsidiaries of Bally's Corporation entered into the Permanent Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Permanent Services Agreement, BMG agreed to provide us and certain subsidiaries of Bally's Corporation with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing upon the opening of our permanent casino and resort. Pursuant to the Permanent Services Agreement, we agreed to pay BMG an annual fee equal to the salaries, burden, overhead and other operating costs for providing such services based on our share of those costs calculated by reference to an appropriate common-size metric plus 6%, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is one year, beginning upon the opening of our permanent casino and resort, and will be automatically renewed for successive one-year terms, unless either party serves on the other a written notice of termination. See "*Transactions with Related Persons — Permanent Services Agreement.*"

In addition, in August 2023, Bally's Chicago OpCo entered into the Temporary Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Temporary Services Agreement, BMG agreed to provide us with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing related to our temporary casino. Pursuant to the Temporary Services Agreement, we agreed to pay BMG a monthly fee equal to $5.0 million, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is two years, beginning August 30, 2023, and will be automatically renewed for successive one-year terms for as long as our temporary casino is licensed to continue operations, unless BMG serves on Bally's Chicago OpCo a written notice of termination. The Temporary Services Agreement shall automatically terminate when our temporary casino permanently closes and our permanent casino and resort opens to the public. See "*Transactions with Related Persons — Temporary Services Agreement.*"

We and Bally's Chicago HoldCo, our direct parent and the entity that holds 2,141 of our Class A-4 Interests and all of our Class B Interests, as well as all other current and future direct unrestricted subsidiaries of Bally's Corporation under its credit facilities and bond indentures, will guarantee Bally's Chicago OpCo's obligations under the GLP Lease Agreement and GLP Development Agreement; *provided*, however, that at such time as Bally's Chicago OpCo becomes a restricted subsidiary under Bally's Corporation's credit facilities and bond indentures, (i) Bally's Corporation (or its Parent Company (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) will be required to guarantee the GLP Lease Agreement and GLP Development Agreement and (ii) following the delivery of such guarantee, the guarantees of the GLP Lease Agreement and GLP Development Agreement provided by Bally's Chicago HoldCo and such other unrestricted subsidiaries of Bally's Corporation shall terminate.

In connection with Bally's Chicago HoldCo's commitment to guarantee the GLP Lease Agreement and GLP Development Agreement, and in partial consideration for certain investments by Bally's Corporation and its subsidiaries into Bally's Chicago OpCo, we and Bally's Chicago OpCo intend to guarantee all obligations, including, without limitation, indebtedness and lease obligations of Bally's Corporation and its subsidiaries upon Bally's Corporation's (or its Parent Company's (as defined in

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Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) guaranteeing the GLP Lease Agreement and the GLP Development Agreement or upon request from Bally's Corporation; *provided* that, at any time after such guarantee by Bally's Corporation (or its Parent Company) or such request from Bally's Corporation, upon request of Bally's Chicago OpCo, Bally's Corporation will guarantee Bally's Chicago OpCo's obligations under any lease obligations outstanding at such time, including any obligations under the Oak Street Lease Agreement or, if entered into, the GLP Lease Agreement and the GLP Development Agreement, to the maximum extent permitted under the instruments governing Bally's Corporation's indebtedness (assuming full borrowing of all outstanding commitments under Bally's Corporation's revolving credit facilities outstanding at such time). Furthermore, in March 2025, we and Bally's Chicago OpCo entered into the Guarantee Agreement with Bally's Corporation, pursuant to which, at any time in the future, upon request from Bally's Corporation, we and Bally's Chicago OpCo will guarantee, and cause each of our wholly-owned subsidiaries to guarantee, any additional obligations, including, without limitation, indebtedness and lease obligations that Bally's Corporation or its subsidiaries enter into at any time in the future. See "*Transactions with Related Persons — Guarantee of Bally's Corporation's Obligations.*"

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#### SUMMARY HISTORICAL AND PRO FORMA CONDENSED CONSOLIDATED FINANCIAL AND OTHER DATA
The following tables present the summary historical and pro forma condensed consolidated financial and other data for Bally's Chicago, Inc. Bally's Chicago Operating Company, LLC is a consolidated subsidiary of Bally's Chicago, Inc. for financial reporting purposes. The summary statements of operations and statements of cash flows data for the year ended December 31, 2024 and 2023, and the summary balance sheet data as of December 31, 2024 and 2023, are derived from the audited consolidated financial statements of Bally's Chicago, Inc. included elsewhere in this prospectus. The summary statements of operations and statements of cash flows data for the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor), and the summary balance sheet data as of March 31, 2025 (Successor) are derived from the unaudited condensed consolidated financial statements of Bally's Chicago, Inc. included elsewhere in this prospectus. The unaudited condensed consolidated financial statements of Bally's Chicago, Inc. have been prepared on the same basis as the audited consolidated financial statements and, in our opinion, include all adjustments, consisting of normal recurring adjustments, necessary to present fairly in all material respects our financial position and results of operations. The results for any interim period are not necessarily indicative of the results that may be expected for the full year. Historical results of operations for the periods presented below are not necessarily indicative of the results to be expected for any future period. The information set forth below should be read together with "*Unaudited Pro Forma Condensed Consolidated Financial Information*," "*Use of Proceeds*," "*Capitalization*," "*Management's Discussion and Analysis of Financial Condition and Results of Operations*," "*Our Organizational Structure*" and the audited financial statements and the accompanying notes included elsewhere in this prospectus.

The summary unaudited pro forma condensed consolidated financial information of Bally's Chicago, Inc. presented below has been derived from our unaudited pro forma condensed consolidated financial information included elsewhere in this prospectus. The following summary unaudited pro forma condensed consolidated balance sheet as of March 31, 2025 and the unaudited pro forma condensed consolidated statements of operations for the three months ended March 31, 2025 and the year ended December 31, 2024 give effect to the Initial Private Placements, the Transactions and the other events set forth in "*Our Organizational Structure*," including the consummation of this offering and the concurrent private placements, the use of the net proceeds therefrom and related transactions, as described in "*Use of Proceeds*" and "*Unaudited Pro Forma Condensed Consolidated Financial Information,*" as if they all had occurred on January 1, 2024 with respect to the statements of operations data, and December 31, 2024 with respect to the balance sheet data. The summary unaudited pro forma condensed consolidated financial information includes various estimates which are subject to material change and may not be indicative of what our operations or financial position would have been had this offering, the concurrent private placements and related transactions taken place on the dates indicated, or that may be expected to occur in the future. See "*Unaudited Pro Forma Condensed Consolidated Financial Information*" for a complete description of the adjustments and assumptions underlying the summary unaudited pro forma condensed consolidated financial information. The presentation of the summary unaudited pro forma condensed consolidated financial information is prepared in conformity with Article 11 of Regulation S-X.

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Bally's Chicago, Inc. Pro <br> Forma**  | **Bally's Chicago, Inc. Pro <br> Forma**  | **Bally's Chicago, Inc. Historical**  | **Bally's Chicago, Inc. Historical**  | **Bally's Chicago, Inc. Historical**  | **Bally's Chicago, Inc. Historical**  | **Bally's Chicago, Inc. Historical**  |
| | | | **Successor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| **In thousands, except per share data**  | **Three <br> Months <br> Ended <br> March 31, <br> 2025**  | **Year Ended <br> December 31, <br> 2024**  | **Period from <br> February 8 <br> to March 31, <br> 2025**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Three <br> Months <br> Ended <br> March 31, <br> 2024**  | **Year Ended <br> December 31, <br> 2024**  | **Year Ended <br> December 31, <br> 2023**  |
|  **Summary Statements of Operations**  |  |  |  |  |  |  |  |
| **Revenue:** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | $26288 | $115844 | $15935 | $10353 | $28191 | $115844 | $28734 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 2995 | 12849 | 1861 | 1134 | 3331 | 12849 | 3443 |
| Total revenue  | 29283 | 128693 | 17796 | 11487 | 31522 | 128693 | 32177 |
| **Operating costs and expenses:** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | 14196 | 60268 | 8157 | 6039 | 14472 | 60268 | 13430 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 2722 | 8134 | 1462 | 1260 | 1941 | 8134 | 2138 |
| &nbsp;&nbsp;&nbsp; General and <br> administrative  | 19142 | 64696 | 10196 | 8946 | 15241 | 64696 | 36441 |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's <br> Corporation  | 15000 | 60000 | 8871 | 6129 | 15000 | 60000 | 20680 |
| &nbsp;&nbsp;&nbsp; Loss on sale-leaseback  |  | 150000 |  |  |  | 150000 |  |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 8358 | 33399 |  | 1985 | 4277 | 18300 | 5705 |
|  Total operating costs and expenses  | 59418 | 376497 | 33528 | 24359 | 50931 | 361398 | 78394 |
| **Loss from operations**  | (30135) | (247804) | (15732) | (12872) | (19409) | (232705) | (46217) |
| **Other income (expense):** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest income  |  | 1466 |  |  | 693 | 1466 | 2778 |
| &nbsp;&nbsp;&nbsp; Interest expense, net of amounts capitalized  | (2821) | (16357) | (248) |  | (2833) | (6891) | (13819) |
| &nbsp;&nbsp;&nbsp; Other non-operating income <br> (expenses), net  |  |  |  |  |  |  | 893 |
|  Total other income (expense), net  | (2821) | (14891) | (248) |  | (2140) | (5425) | (10148) |
| Loss before income taxes  | (32956) | (262695) | (15980) | (12872) | (21549) | (238130) | (56365) |
| Benefit for income taxes  |  |  |  |  |  |  |  |
| **Net loss**  | $(32956) | $(262695) | $(15980) | $(12872) | $(21549) | $(238130) | $(56365) |
|  Net loss attributable to <br> Redeemable non-controlling <br> interest  | (13906) | (181897) | (5613) |  |  |  |  |
|  **Net loss attributable to Bally's <br> Chicago, Inc.**  | $(19050) | $(80799) | $(10367) | $(12872) | $(21549) | $(238130) | $(56365) |
|  Basic and diluted loss per share  |  |  |  | $(128720) | $(215490) | $(2381300) | $(563650) |
|  Weighted average common shares outstanding, basic and diluted  |  |  |  | 100 | 100 | 100 | 100 |
|  Class A-3, and Class A-4 Interests, basic and diluted loss per share  | $(1843) | $(7817) | $(9223) |  |  |  |  |
|  Weighted average Class A-3 and Class A-4 Interests outstanding, basic and diluted  | 10336 | 10336 | 1124 |  |  |  |  |

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| | | | |
|:---|:---|:---|:---|
| | **Bally's Chicago, <br> Inc. Pro Forma**  | **Bally's Chicago, Inc. Historical**  | **Bally's Chicago, Inc. Historical**  |
| **in thousands**  | **As of March 31, <br> 2025 <br> (Successor)**  | **As of December 31, <br> 2024 <br> (Predecessor)**  | **As of December 31, <br> 2023 <br> (Predecessor)**  |
| Cash  | $15597 | $14519 | $14519 |
| Total assets  | 923739 | 599905 | 599905 |
| Total current liabilities  | 45842 | 704227 | 704227 |
| Total liabilities  | 399142 | 910524 | 910524 |
| Redeemable non-controlling interest  | 386786 |  |  |
| Total stockholders' deficit  | 137812 | (310619) | (310619) |

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#### Bally's Chicago, Inc. Historical

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Three <br> Months <br> Ended <br> March 31, <br> 2024**  | **Year Ended <br> December 31, <br> 2024**  | **Year Ended <br> December 31, <br> 2023**  |
| **Summary Statements of Cash Flows Data:** |  |  |  |  |  |
| Net cash used in operating activities  | $(11031) | $(6136) | $(11765) | $(69518) | $(47927) |
| Net cash used in investing activities  | (22941) | (10969) | (18353) | (135280) | (326428) |
| Net cash provided by financing activities  | 30985 | 21170 | 31915 | 148012 | 444568 |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| **in thousands**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Three <br> Months <br> Ended <br> March 31, <br> 2024**  | **Year Ended <br> December 31, <br> 2024**  | **Year Ended <br> December 31, <br> 2023**  |
| **Other Data:** |  |  |  |  |  |
| Temporary Casino Adjusted EBITDAR  | $1634 | $(917) | $1838 | $11250 | $7721 |
| Permanent Casino Loss from Operations  | (5806) | (3536) | (1489) | (163757) | (2227) |

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**Temporary Casino Adjusted EBITDAR:** We define Temporary Casino Adjusted EBITDAR as earnings, or loss, for the Temporary Casino before interest expense, net of interest income, provision (benefit) for income taxes, depreciation and amortization, non-operating (income) expense, expansion costs, management fees to Bally's Corporation, rent expense from triple net operating leases, and certain other gains or losses.

**Permanent Casino Loss from Operations:** We define Permanent Casino Loss from Operations as revenue less operating expenses for our Permanent Casino reportable segment.

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#### RISK FACTORS
 *Investing in our Class A Interests involves a high degree of risk. You should carefully consider the risks described below, together with the other information contained in this prospectus, including our financial statements and the related notes appearing at the end of this prospectus, and the sections in this prospectus entitled "Business" and "Description of Capital Stock," before making any decision to invest in our Class A Interests. If any of the events discussed in the risk factors below occur it could have a material and adverse impact on our business, results of operations, financial condition and cash flows. If that were to happen, the value of our Class A Interests could decline, and you could lose all or part of your investment.* 

#### Development and Construction Risks

#### We are subject to various construction and development risks in connection with our permanent casino and resort in Chicago.
Our proposed lines of business are dependent on the construction and development of our permanent casino and resort in Chicago, Illinois. Construction and development projects, particularly of the scale contemplated with our permanent casino and resort, are often developed in multiple stages involving commercial and governmental negotiations, site planning, due diligence, permit requests, environmental impact studies, permit applications and review, marine logistics planning and transportation and end-user delivery logistics, each of which requires significant effort and dedication to complete. Projects of this type are subject to a number of risks, including, among others:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • engineering, environmental or geological problems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • shortages or delays in the delivery of equipment and supplies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • government or regulatory approvals, permits or other authorizations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • failure to meet technical specifications or adjustments being required based on testing or commissioning;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • construction accidents that could result in personal injury or loss of life;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • lack of adequate and qualified personnel to execute the project for our permanent casino and resort;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • weather interference, particularly during the winter in Chicago;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • delays in removing current tenants from the proposed sites; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • potential labor shortages, work stoppages or labor union disputes.

Furthermore, because of the nature of our business, we are dependent on numerous third parties, including local, state and federal governmental entities that are required to certificate and license our facilities. Delays from such third parties or governmental entities could prevent us from successfully executing the construction and development of our permanent casino and resort. In addition, as a builder of gaming facilities, we expect to face an intense regulatory process and heightened political pressure to finalize our permanent casino and resort in a timely manner, which subjects us to risks associated with changes in the political views and structure, government representatives, new regulations, regulatory reviews, employment laws and diligence requirements. Each of these could make it more difficult, time-consuming and expensive to develop our permanent casino and resort.

The occurrence of any one of these factors, whatever the cause, could result in unforeseen delays or cost overruns to the construction and development of our permanent casino and resort. Delays in the development beyond our estimated timelines, or amendments or change orders to our construction contracts, could result in increases to our development costs beyond our original estimates, which could require us to obtain additional financing or funding and could make our permanent casino and resort less profitable than originally estimated or possibly not profitable at all. Further, any such delays could cause a delay in our anticipated receipt of revenues from operating our permanent casino and resort. Our inability to meet milestones or conditions precedent in our contracts with Chicago could also lead to delay penalties and potentially a termination of agreements, which could render our permanent casino and resort impossible to open and/or operate. Specifically, the Host Community Agreement with the City of Chicago provides for

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significant liquidated damages in the event that we do not meet the milestones specified as to our temporary casino and our permanent casino and resort. Our parent, Bally's, has experienced time delays and cost overruns in the construction and development of casinos as a result of the occurrence of various of the above factors, and no assurance can be given that we will not experience in the future similar events, any of which could have a material adverse effect on our business, operating results, cash flows and liquidity.

 ***Any delay between the closing of our temporary casino and the opening of our permanent casino and resort could have a material adverse effect on our financial condition and results of operations.***

We may experience a gap between the closing of our temporary casino and the opening of our permanent casino and resort. While we work to construct our permanent casino and resort on the banks of the Chicago River, we have the ability to operate a temporary casino in downtown Chicago for a period up to 24 months. Our temporary casino began operations on September 9, 2023. At the end of the 24-month period, we may petition the Illinois Gaming Board to extend for a period of up to 12 additional months. In no case we will be permitted to operate our temporary casino for a period of greater than 36 months unless otherwise approved by the City of Chicago and the Illinois Gaming Board.

Additionally, there are a number of risks associated with the opening of our permanent casino and resort, including those described elsewhere in this section. For example, the opening of our permanent casino and resort is subject to various construction and development risks, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • engineering, environmental or geological problems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • shortages or delays in the delivery of equipment and supplies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • government or regulatory approvals, permits or other authorizations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • failure to meet technical specifications or adjustments being required based on testing or commissioning;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • construction accidents that could result in personal injury or loss of life;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • lack of adequate and qualified personnel to execute the project for our permanent casino and resort;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • weather interference, particularly during the winter in Chicago;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • delays in removing current tenants from the proposed sites; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • potential labor shortages, work stoppages or labor union disputes.

In addition, we have not yet entered into binding contracts for the construction and development of all of our planned facilities and assets for our permanent casino and resort, and may not be able to enter into the contracts required on commercially favorable terms, or at all, which could cause potential changes or delays to our planned development and construction schedule. Also, any failure to maintain working capital sufficient for the project, business disruptions due to pandemic, crime or civil unrest and potential legal proceedings could put our planned schedule at risk of delay.

If we are unable to commence the operation of our permanent casino and resort as expected, and thus a gap exists between the closing of our temporary casino and the opening of our permanent casino and resort, our business, operating results, cash flows and liquidity could be materially and adversely affected.

#### We will depend on third-party contractors, operators and suppliers to develop and construct our permanent casino and resort.
We will be heavily reliant on third-party contractors, equipment manufacturers, suppliers and operators for the development and construction of our permanent casino and resort. We have not yet entered into binding contracts for the construction and development of all of our planned facilities and assets in Chicago, and we cannot assure you that we will be able to enter into the contracts required on commercially favorable terms, or at all, which could expose us to fluctuations in pricing and potential changes or delays to our planned development and construction schedule. These agreements with third parties will be the result of arm's-length negotiations and subject to change. If we are unable to enter into favorable contracts, we may not be able to construct and operate these assets as expected, or at all.

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Furthermore, there can be no assurance that contractors and suppliers will perform their obligations successfully under their agreements with us. If any contractor is unable or unwilling to perform according to the negotiated terms and timetable of its respective agreement with us for any reason or terminates its agreement with us for any reason, we would be required to engage a substitute contractor, which could be particularly difficult. Although some agreements may provide for liquidated damages if the contractor or subcontractor fails to perform in the manner required with respect to its obligations, the events that trigger such liquidated damages may delay or impair the opening or operation of our planned facilities, and any liquidated damages that we receive may be delayed or insufficient to cover the damages that we suffer as a result of any such delay or impairment, including, among others, any covenants or obligations by us to or penalties under our agreements with Chicago. Such liquidated damages may also be subject to caps on liability, and we may not have full protection to seek payment from our contractors to compensate us for such payments and other consequences. Furthermore, we may have disagreements with our contractors about different elements of the construction process, which could lead to the assertion of rights and remedies under their contracts and increase the cost of the applicable facility or result in a contractor's unwillingness to perform further work.

If we are unable to construct and commission our permanent casino and resort as expected, or, when and if constructed, our permanent casino and resort does not accomplish our or Chicago's goals, or if we experience delays or cost overruns in construction, our business, operating results, cash flows and liquidity could be materially and adversely affected.

 ***We expect to invest significant capital and resources to develop our permanent casino and resort, which means that we are subject to the risk that our permanent casino and resort is not successfully developed or that the City of Chicago does not fulfill its obligations to us following our capital investment in our permanent casino and resort.***

Our permanent casino and resort requires us to make significant upfront capital investments and devote significant internal time and resources to finalize our permanent casino and resort before we can start to generate revenue from the business. We do not expect to generate meaningful revenues until our permanent casino and resort has been opened to the public for some period of time, which may take a year or more to achieve from the opening of our permanent casino and resort.

If our permanent casino and resort is not successfully developed for any reason, we face the risk of not recovering some or all of our invested capital, which may be significant. If our permanent casino and resort is successfully developed, we face the risks that customers will not enjoy our permanent casino and resort or that Chicago will hinder our ability to operate our permanent casino and resort as intended, which could result in significantly lower revenues than what we currently anticipate. Our contracts and development agreements with Chicago do not fully protect us against this risk and, in some instances, may not provide any meaningful protection from this risk at all. This risk is heightened by the fact that our counterparty is a government or government-related entity because any attempt to enforce our contractual or other rights may involve long and costly litigation where the ultimate outcome is uncertain, and where the government or government-related entity may enjoy some form of immunity or popular support. Additionally, as a government or government-related entity, our counterparty is subject to political pressure and frequent administrative changes, which could result in different perspectives and treatment over the life of our commercial agreements to construct, develop and operate our permanent casino and resort.

If our capital investment does not generate the type of return on investment that we expect, we will have less capital to continue to develop and improve our permanent casino and resort, and our liquidity, results of operations and financial condition could be materially and adversely affected. This could result in our inability to comply with the terms of our existing debt or other agreements, which would exacerbate the aforementioned adverse effects.

 ***We may experience supply chain or procurement disruptions, or increased supply chain costs, which may lead to construction and development delays in our permanent casino and resort.***

The construction and development of our permanent casino and resort is planned for a relatively long-term construction schedule, with our permanent casino and resort expected to open to the public in

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September 2026. The construction and development of our permanent casino and resort will require timely delivery of required equipment and materials in order to be open to the public by such date.

The global supply chain for the required equipment and materials could be impacted by disruptions that could lead to delays, reputational damage, interruptions of service and disruptions of our future plans and strategic initiatives, such as:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • political events;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • banking industry turmoil;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • international trade disputes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • acts of terrorism;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • hostilities or wars (such as the war in Ukraine and conflict in the Middle East);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • natural disasters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • public health issues, such as the COVID-19 global pandemic;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • industrial accidents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • inflation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • other business interruptions.

While we will obtain customary builder's risk insurance to provide coverage during the construction of our permanent casino and resort, such coverage may only cover some, but not all, of any losses or damages incurred during construction. If any such delay or disruption were to occur, it could have a material adverse effect on our ability to execute the construction and development of our permanent casino and resort, which could have an impact on our liquidity and financial condition.

Changes in the costs of procuring materials and equipment used in the construction and development of our permanent casino and resort, including vendor costs, or changes in our relationships with vendors, could also have an adverse effect on our results of operations. Further, during the COVID-19 pandemic, our affiliates observed increases in the prices for certain raw materials required to operate gaming establishments. In addition, as a result of the 2024 U.S. Presidential Election, Donald J. Trump was elected President of the United States. Mr. Trump has imposed tariffs, at times upward of 100%, and has threatened to impose additional tariffs, on goods imported from various countries, including Canada, China and Mexico. These tariffs could cause the costs of procuring materials and equipment used in the construction and development of our permanent casino and resort to significantly increase. To the extent we determine our costs to develop our permanent casino and resort are too high, we may suspend, reduce the scope of or permanently abandon the implementation of our plans with respect to our permanent casino and resort, which could have material and adverse effects on our plans and strategic initiatives.

Though we intend to undertake various proactive efforts to secure our global supply chain against the effects of COVID-19 and the impact of the war in Ukraine and conflict in the Middle East, their full extent and impact on our future supply chain and procurement process cannot be reasonably estimated at this time, and it could have a material adverse impact on our business and financial condition.

#### Failure to maintain sufficient working capital could limit our growth and harm our business, financial condition and results of operations.
During the first several years of development and construction of our permanent casino and resort, we will have significant working capital requirements as we work to make the facilities ready to admit potential customers. If we do not have sufficient working capital, we may not be able to pursue our growth strategy, respond to competitive pressures or fund key strategic initiatives, which may harm our business, financial condition and results of operations.

 ***The casino, hotel and hospitality industry is capital intensive and we may not be able to finance development, expansion and renovation projects, which could put us at a competitive disadvantage.***

Our permanent casino and resort will have an ongoing need for renovations and other capital improvements to remain competitive, including room refurbishments, amenity upgrades and replacement,

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from time to time, of furniture, fixtures and equipment. We may also need to make capital expenditures to comply with applicable laws and regulations. Construction projects entail significant risks, which can substantially increase costs of or delay a project. Such risks include shortages of materials or skilled labor, unforeseen engineering, environmental or geological problems, work stoppages, weather interference and unanticipated cost increases. Most of these factors are beyond our control. In addition, difficulties or delays in obtaining any of the requisite licenses, permits or authorizations from regulatory authorities can increase the cost or delay of expansion or development. Significant budget overruns or delays with respect to expansion and development projects could adversely affect our business and results of operations.

Renovations and other capital improvements of casino properties, in particular, require significant capital expenditures. In addition, any such renovations and capital improvements usually generate little or no cash flow until the projects are operational. We may not be able to fund such projects solely from cash provided from operating activities. Consequently, we may have to rely upon the availability of debt or equity capital to fund renovations and capital improvements, and our ability to carry them out will be limited if we cannot obtain satisfactory debt or equity financing, which will depend on, among other things, market conditions. We cannot assure you that we will be able to obtain additional equity or debt financing on favorable terms, or at all. Our failure to renovate and maintain gaming and entertainment venues from time to time may put us at a competitive disadvantage to gaming and entertainment venues offering more modern and better maintained facilities, which could adversely affect our business, financial condition and results of operations.

#### Our investments in the construction and building industry are subject to unique risks relating to regulatory changes and global economic conditions.
Companies in the construction and building sector are subject to many risks, including the negative impact of regulation, changing real estate market, a competitive marketplace and difficulty in obtaining financing. Any of these factors could materially and adversely affect our operations, or the operations of third parties we have engaged, in connection with the construction and building of our permanent casino and resort, in turn, access to capital may be difficult or impossible for us to obtain.

 ***The renderings included in this prospectus are artistic representations of our current proposed design for the permanent casino and resort and are subject to change.***

The renderings included in this prospectus are artistic representations of our current proposed design for the permanent casino and resort, are subject to change and should not be unduly relied upon when deciding to purchase securities in this offering. These illustrations are intended solely for illustrative purposes and are subject to revision for a variety of reasons, including cosmetic, marketing, permitting, zoning and financing. They are provided to help investors visualize the current planned design, which may not be accurately depicted and is subject to modification at any time. The design, features, and amenities of the permanent casino and resort depicted in the renderings and described in this prospectus are also subject to change. We do not own or control the land outside of our permanent casino and resort, and therefore cannot guarantee its current or future use. Any views shown are for illustrative purposes only and do not depict the buildings and landscaping of neighboring properties. We cannot guarantee that neighboring properties or existing views will remain unchanged or unobstructed in the future. In light of the above, investors are advised to consider these renderings in context and not to place undue reliance on them.

#### Risks Related to our Leases
 ***Both our temporary casino site and permanent casino and resort site are leased and could experience risks associated with leased properties, including risks relating to lease termination, inability to obtain satisfactory lease extensions, consents and approvals, charges and our relationship with landlords, which could have a material adverse effect on our business, financial position or results of operations.***

Both our temporary casino site and permanent casino and resort site are leased and could experience risks associated with leased properties, including risks relating to lease termination, inability to obtain satisfactory lease extensions, consents and approvals, charges and our relationship with landlords, which could have a material adverse effect on our business, financial position or results of operations. In

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November 2022, we entered into a ground lease with BACHIL001 LLC, as landlord (together with its successors and assigns in such capacity, the "Oak Street Landlord"), an affiliate of Oak Street Real Estate Capital, LLC (the "Oak Street Lease Agreement"), to lease the property on which we plan to develop our permanent casino and resort.

The Oak Street Landlord has certain material approval rights under the Oak Street Lease Agreement, including over certain transfers, alterations and zoning decisions. The failure to obtain the Oak Street Landlord's consent to any of the foregoing could have a material adverse effect on our business, financial position or results of operations, and the undertaking of any such action without the Oak Street Landlord's consent could result in an event of default, which would give the Oak Street Landlord the right to terminate the Oak Street Lease Agreement.

The Oak Street Landlord also has the right to terminate the Oak Street Lease Agreement upon any event of default. Such events of default include, without limitation, a failure to pay amounts due after applicable notice and cure periods, certain bankruptcy or insolvency events, and the failure to comply with a variety of covenants after applicable notice and cure periods, including those related to the development of our permanent casino and resort, repair and maintenance, alterations and insurance. There are also certain restrictions on our ability to assign our interest in the Oak Street Lease Agreement without having to obtain the Oak Street Landlord's prior consent, including requirements for the transferee (or its parent company or other controlling entity) to satisfy certain financial metrics and have a certain level of experience in operating or managing casinos. In some cases, a transferee's parent company or other controlling entity would need to deliver to the Oak Street Landlord a guaranty of the transferee's obligations as a condition to any assignment.

On July 11, 2024, Bally's entered into the GLP Term Sheet with GLP for a strategic construction and financing arrangement, including up to $940.0 million of funding for the construction of our permanent casino and resort. In connection therewith, GLP acquired the fee interest in the property on which we plan to develop our permanent casino and resort from the Oak Street Landlord and succeeded to the Oak Street Landlord's interest as landlord under the Oak Street Lease Agreement. We intend to enter into (x) a new ground lease with GLP (the "GLP Lease Agreement") to lease such property and (y) a development agreement with GLP (the "GLP Development Agreement") pursuant to which GLP will commit to advance up to $940 million (the "GLP Development Advances") for the payment of hard costs used to construct our permanent casino and resort in exchange for increasing the amount of rent that we pay to GLP under the GLP Lease Agreement. Upon entering into the GLP Lease Agreement and the GLP Development Agreement, the Oak Street Lease Agreement will be terminated. The GLP Lease Agreement will have a 15-year term followed by multiple renewal terms to be agreed between us and GLP, and rent payable under the GLP Lease Agreement will be (a) $20.0 million annually, subject to annual escalations to be set forth therein, plus (b) an annual amount equal to 8.5% of the GLP Development Advances that GLP advances to us. In addition, Bally's agreed in the GLP Term Sheet to (a) sell and lease back the real property underlying Bally's Kansas City and Bally's Shreveport and (b) amend its contribution agreement with GLP with respect to Twin River Lincoln pursuant to which Bally's (or its applicable subsidiary) will sell and lease back the underlying real property, in each case, pursuant to a new master lease agreement (the "New Bally's Master Lease Agreement") with GLP.

The terms and conditions of the GLP Lease Agreement are expected to be substantially the same as that certain Master Lease, dated June 3, 2021 (the "Existing Bally's Master Lease Agreement" and, together with the New Bally's Master Lease Agreement, the "Bally's Master Lease Agreements"), by and between Bally's Management Group, LLC, an affiliate of Bally's, and GLP, except as modified by the terms set forth in the GLP Term Sheet. GLP will have the right to terminate the GLP Lease Agreement upon any event of default under the GLP Lease Agreement. Such events of default are expected to include, without limitation, a failure to pay amounts due after applicable notice and cure periods, certain bankruptcy or insolvency events, a cross-default with the GLP Development Agreement and the failure to comply with a variety of covenants after applicable notice and cure periods, including those related to the development of our permanent casino and resort, repair and maintenance, alterations and insurance. In addition, the GLP Lease Agreement will be amended to add a cross-default to the Bally's Master Lease Agreements upon any refinancing, extension or majority amendment of Bally's existing credit facilities.

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There will also be certain restrictions on our ability to assign our interest in the GLP Lease Agreement without having to obtain GLP's prior consent, including requirements for the transferee (or its parent company) to satisfy certain financial metrics and have a certain level of experience in operating or managing casinos.

GLP's obligation to make GLP Development Advances under the GLP Development Agreement will be subject to certain conditions, including the following: (a) we shall have unrestricted access to funds in an amount sufficient at the time of each GLP Development Advance to fund the construction of our permanent casino and resort and (b) all of the definitive documents required by the GLP Term Sheet shall have been signed, or, if such definitive documents cannot be signed without regulatory approval required under applicable law and such regulatory approval is the sole condition precedent to the signing of such definitive documents, such definitive documents are in final form and have been submitted for regulatory approval. We will be obligated to construct our permanent casino and resort in compliance with terms and conditions to be set forth in the GLP Development Agreement, which are expected to be customary and reasonable for large scale multi-phase developments and are expected to include the satisfaction of to-be-specified development and construction milestones.

The GLP Development Agreement will contain customary representations and covenants by us and will contain funding conditions in each case which are customary and reasonable for large scale multi-phase developments, including, without limitation, (a) GLP's reasonable approval of plans and specifications, the project budget (including amendments thereto and reallocations therein except those to be permitted under the GLP Development Agreement), the project schedule, the underlying construction and architect contracts, and all change orders (subject to exceptions to be set forth in the GLP Development Agreement), (b) GLP's receipt of appropriate lien waivers, (c) budget balancing requirements, (d) retainage requirements, (e) the identification of a GLP representative as "owners representative" under the construction contract, and (f) other customary conditions, all to be set forth in the GLP Development Agreement. The GLP Development Agreement will also contain defaults and remedies which are customary and reasonable for large scale multi-phase developments, including, without limitation, a cross-default with the GLP Lease Agreement. We will not be permitted to assign, finance, transfer, pledge or encumber our interest in the GLP Development Agreement without GLP's prior written consent, whether or not any such assignment, financing, transfer, pledge or encumbrance is permitted with respect to the GLP Lease Agreement, other than to a permitted leasehold mortgagee under the GLP Lease Agreement.

The terms and conditions of the GLP Lease Agreement and the GLP Development Agreement are subject to ongoing negotiations between us and GLP, and no guarantees can be given that we will enter into the GLP Lease Agreement or the GLP Development Agreement on the terms described herein or at all. We expect to consummate the GLP Lease Agreement and terminate the Oak Street Lease Agreement in the third quarter of 2025.

In addition to the Oak Street Lease Agreement and, if entered into, the GLP Lease Agreement, we also entered into a sublease agreement with Medinah Holdings, LLC and Medinah Building LLC (the "Medinah Lease Agreement" and, together with the Oak Street Lease Agreement and the GLP Lease Agreement, the "Casino Lease Agreements"), to lease the property on which we developed our temporary casino. The consent of the sublandlord under the Medinah Lease Agreement (the "Medinah Sublandlord") is generally required for any assignments of our interests thereunder, except with respect to transfers to affiliates or successors by merger or acquisition. The Medinah Sublandlord has the right to terminate the Medinah Lease Agreement upon any event of default under the Medinah Lease Agreement. Such events of default include: the failure to timely pay rent, carry (or provide evidence of) required insurance, or perform any other covenant under the Medinah Lease Agreement, in each case subject to the notice and cure periods provided therein, certain bankruptcy or insolvency events, and a failure to surrender the subleased premises on the last day of the term of the Medinah Lease Agreement. Further, the Medinah Lease Agreement is subordinate to a master lease, and certain defaults by the Medinah Sublandlord in its capacity as tenant under the master lease could result in a termination thereof, which could result in a termination of the Medinah Lease Agreement.

Termination of any or all of the Casino Lease Agreements (including as a result of a default under the GLP Development Agreement) would result in us losing some or all of our rights with respect to the applicable properties, could result in a default under the Host Community Agreement, and could have a material adverse effect on our business, financial position or results of operations. In the event of a termination

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of any of the Casino Lease Agreements (including as a result of a default under the GLP Development Agreement), we may be required to transfer all personal property located at the applicable property to a designated successor, and we may not be adequately compensated for that personal property. Moreover, since as a lessee we do not completely control the land and improvements underlying our operations, the lessors could take certain actions to disrupt our rights in the properties leased under the Casino Lease Agreements, which are beyond our control. If the lessors chose to disrupt our use either permanently or for a significant period of time, then the value of our assets could be impaired and our business and operations could be adversely affected. There can also be no assurance that we will be able to comply with our obligations under the Casino Lease Agreements (including our obligations under the GLP Development Agreement) in the future. In addition, if the lessors have financial, operational, regulatory or other challenges, there can be no assurance that the lessors will be able to comply with their obligations under the Casino Lease Agreements, including their obligations to provide us financing for the construction of our permanent casino and resort.

#### General Economic and Political Conditions

#### Our proposed lines of business are highly sensitive to reductions in discretionary consumer spending.
Our proposed lines of business are highly sensitive to reductions from time to time in discretionary consumer spending. Demand for entertainment and leisure activities, including gaming, can be affected by changes in the economy and consumer tastes, both of which are difficult to predict and beyond our control. Unfavorable changes in general economic conditions, including recessions, economic slowdowns, sustained high levels of unemployment and rising prices or the perception by consumers of weak or weakening economic conditions, may reduce our prospective customer's disposable income or result in fewer individuals engaging in entertainment and leisure activities, such as visiting casinos and casino hotel properties, sports betting, iCasino and online bingo, some of which are services we intend to offer. We will rely on the strength of the regional and local economy for the performance of our temporary casino and our permanent casino and resort. As a result, we cannot ensure that demand for our offerings will remain constant. Adverse developments affecting economies throughout the world, including a general tightening of the availability of credit, increasing energy costs, rising prices, acts of war or terrorism, natural disasters, declining consumer confidence, significant declines in the stock market or epidemics, pandemics or other health-related events or widespread illnesses, like the COVID-19 pandemic, could lead to a reduction in visitors to our temporary casino and our permanent casino and resort or discretionary spending by our customers on entertainment and leisure activities, which could adversely affect our business, financial condition and results of operations.

#### Inflation could adversely impact our business, financial condition and results of operations.
We have experienced, and may in the future experience, inflationary pressures in certain areas of our business, including with respect to employee wages, the cost of materials, transportation and energy, as well as performance and brand marketing expenses, store rents and build-out costs and other various professional and technology expenses. We cannot predict any future trends in the rate of inflation or associated increases in our operating costs or potential weakening of consumer spending power and how that may impact our business. To the extent we are unable to recover higher operating costs and a potential weakening of consumer spending power resulting from inflation, or otherwise mitigate the impact of such costs on our business, our revenues and gross profit margins could decrease and our business, financial condition and results of operations could be adversely affected.

#### Business interruptions in Chicago due to crime or civil unrest could adversely affect us.
Our business and our assets are planned to be primarily located in Chicago, Illinois, which is a large city. Perceptions of high incidences of crime at or in the vicinity of any of the facilities that we operate and intend to operate, including our temporary casino and our permanent casino and resort, may give rise to concerns about lack of personal safety among our patrons, which could result in a decline in customer traffic and spending patterns, which would result in a decline in revenue. Our business interruption insurance and coverage for malicious attacks may only cover some, but not all, of these potential events, and even for those events that are covered, it may not be sufficient to compensate us fully for losses or damages that may occur as a result of such events, including, for example, loss of market share and diminution of our

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trademarks, reputation and consumer loyalty. Any one or more of these events could have a material adverse effect on our business, results of operation, financial condition and/or cash flow.

#### Political uncertainty could adversely affect our business.
U.S. and non-U.S. markets could experience political uncertainty and/or change that subjects investments to heightened risks, including, for instance, risks related to the elections in the United States, the war in Ukraine, the conflict in the Middle East, or the effect of the COVID-19 pandemic on world leaders and governments. These heightened risks could also include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • increased risk of default (by both government and private issuers);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • greater social, trade, economic and political instability (including the risk of war or terrorist activity);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • greater governmental involvement in the economy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • greater governmental supervision and regulation of the securities markets and market participants resulting in increased expenses related to compliance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • greater fluctuations in currency exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • controls or restrictions on foreign investment and/or trade, capital controls and limitations on repatriation of invested capital and on the ability to exchange currencies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • inability to purchase and sell investments or otherwise settle security or derivative transactions (i.e., a market freeze);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • unavailability of currency hedging techniques; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • slower clearance.

During times of political uncertainty and/or change, global markets often become more volatile. There could also be a lower level of monitoring and regulation of markets while a country is experiencing political uncertainty and/or change, and the activities of investors in such markets and enforcement of existing regulations could become more limited. Markets experiencing political uncertainty and/or change could have substantial, and in some periods extremely high, rates of inflation for many years. Inflation and rapid fluctuations in inflation rates typically have negative effects on such countries' economies and markets. Tax laws could change materially, and any changes in tax laws could have an unpredictable effect on us, our investments and our investors. There can be no assurance that political changes will not cause us or our investors to suffer losses.

#### Risks Related to Competition

#### Chicago is still not known as a location for gaming tourism and, therefore, we face significant competition from both regional and national gaming centers.
The Illinois Gambling Act established the Illinois Gaming Board and authorized up to ten casino licenses. Currently, all ten original licenses are active. In July 2009, Public Act 96-0034 became law, creating the Illinois Video Gaming Act. Since 2009, Video Gaming has rapidly expanded across Illinois. On June 28, 2019, Illinois Governor J.B. Pritzker signed the gaming expansion bill into law which permits sports wagering, including online/mobile, a Chicago casino, five additional casinos, slots and table games at racetracks, possible slots at the Chicago airports, an additional video gaming terminal ("VGT") at each establishment and in some instances five additional VGTs, and the opportunity for existing casinos to move to land-based operations or purchase additional gaming positions. As of March 31, 2025, there were over 48,000 VGTs spread throughout 8,600 licensed establishments.

The market for gaming, hotel and other entertainment facilities in Chicago is rapidly evolving but remains in its infancy. While Illinois is undergoing expansion since various states started to liberalize gaming (including sports betting), Chicago is still not known as a location for gaming tourism and, therefore, subject to significant competition from both regional and national gaming centers. An underserved and untapped market, the City of Chicago is served by the Rivers Casino in a suburb of Chicago, the northwestern

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Indiana casinos, a retail sports book at the United Center, a retail sports book opening at Wrigley Field in 2023 and the Waukegan casino. In addition, Hawthorne Race Course has submitted an application for a gaming license to open a "racino."

 ***The gaming industry, including retail casinos, iGaming and sports wagering, is highly competitive and increased competition, including through legislative legalization or expansion of gaming by states in or near Illinois or through Native American gaming facilities, could adversely affect our financial results.***

Once our permanent casino and resort is open and operational, we will face significant competition in all of the areas in which we conduct our business. Currently, there are approximately 17 gaming centers located within a 100-mile radius of our location. Also, the Hawthorne Race Course has submitted an application for a gaming license to open a "racino" approximately 10 miles from our permanent casino and resort site. Increased competitive pressures may adversely affect our ability to continue to attract customers or affect our ability to compete efficiently.

Our temporary casino is, and our permanent casino and resort will be, located in a jurisdiction that restricts gaming to certain areas and/or may be affected by state laws that currently prohibit or restrict gaming operations. We also face the risk that existing casino licensees in Illinois and in nearby states will expand their operations and the risk that Native American gaming will continue to grow, both throughout Illinois and in nearby states. Budgetary and other political pressures faced by state governments could lead to intensified efforts directed at the legalization of gaming in jurisdictions where it is currently prohibited. The legalization of gaming in such jurisdictions could be an expansion opportunity for our business, or create competitive pressures, depending on where the legalization occurs and our ability to capitalize on it. Our ability to attract customers could be significantly and adversely affected by the legalization or expansion of gaming in certain jurisdictions and by the development or expansion of Native American casinos in areas where our customers may visit.

In addition, our competitors in Illinois and in nearby states may refurbish, rebrand or expand their casino offerings, which could result in increased competition. Furthermore, changes in ownership may result in improved quality of our competitors' facilities, which may make such facilities more competitive. Certain of our competitors are large gaming companies with greater name recognition and marketing and financial resources. In some instances, particularly in the case of Native American casinos, our competitors pay lower taxes or no taxes. These factors create additional challenges for us in competing for customers and accessing cash flow or financing to fund improvements for our casino and entertainment products that enable us to remain competitive.

We expect to experience strong competition in hiring and retaining qualified property and corporate management personnel, including competition from Native American gaming facilities that are not subject to the same taxation regimes as we are and therefore may be willing and able to pay higher rates of compensation. From time to time, a number of vacancies in key corporate and property management positions can be expected. If we are unable to successfully recruit and retain qualified management personnel at our facilities or at the corporate level, our results of operations could be adversely affected.

We will also compete with other forms of legalized gaming and entertainment such as bingo, pull-tab games, card parlors, sportsbooks, pari-mutuel or simulcast betting on horse and dog racing, state-sponsored lotteries, instant racing machines, video lottery terminals ("VLT") (including racetracks that offer VLT) and video poker terminals. In the future, we may also compete with gaming or entertainment at other venues. Further competition from Internet lotteries and other Internet wagering gaming services, which allow their customers to wager on a wide variety of sporting events and play Las Vegas-style casino games from home, could divert customers from the facilities we own and thus adversely affect our business. Such Internet wagering services are likely to expand in future years and become more accessible to domestic gamblers as a result of U.S. Department of Justice positions related to the application of federal laws to intrastate Internet gaming and initiatives in some states to consider legislation to legalize intrastate Internet wagering. The law in this area has been rapidly evolving, and additional legislative developments may occur at the federal and state levels that would accelerate the proliferation of certain forms of Internet gaming in Illinois and in nearby states.

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In addition, in May 2018, the U.S. Supreme Court struck down as unconstitutional the Professional and Amateur Sports Protection Act of 1992, a federal statute enacted to stop the spread of state-sponsored sports gambling. This decision lifted federal restrictions on sports wagering and allows each state to determine by itself the legality of sports wagering within its jurisdiction. While new federal online gaming legislation has been introduced in Congress from time to time, there has been no federal legislative response to the U.S. Supreme Court's decision. As a result, numerous states, including Illinois and states located near Illinois, have passed legislation authorizing fixed-odds sports betting online. This decreases our ability to serve as a hub for sports betting, as customers can access sports betting throughout Illinois and nearby states without needing to venture to our temporary casino or our permanent casino and resort, which results in decreased traffic and reduced potential revenue generation.

We may also face competition from other gaming facilities which are able to offer sports wagering services (including mobile sports wagering) following the enactment of applicable legislation. Numerous states that border Illinois have pending or proposed legislation which would allow for sports betting, each of which could have an adverse effect on our financial results by further reducing the foot traffic to our temporary casino or our permanent casino and resort.

The gaming industry is characterized by an increasingly high degree of competition among a large number of participants operating from physical locations and/or through online or mobile platforms, and other forms of gaming in the United States. Recently, there has been additional significant competition in our markets as a result of the upgrading or expansion of properties by existing market participants, the entrance of new gaming participants into a market or legislative changes permitting additional forms of gaming. As competing properties and new markets open, our results of operations may be negatively impacted. We expect each existing or future market in which we participate to be highly competitive.

Existing and new competitors may also increase marketing spending, including to unprofitable levels, in an attempt to distort the online gambling market to build market share quickly. Some of our competitors have or will have significantly greater financial, technical, marketing and sales resources and may be able to respond more quickly to changes in customer needs. Additionally, these competitors may be able to devote a greater number of resources to the enhancement, promotion and sale of their games and gaming systems. Our future success is or will be dependent upon its ability to retain its current customers and to acquire new customers. Failure to do so could result in a material adverse effect on our business, financial condition and results of operations.

#### Compliance, Regulatory and Legal Risks
 ***We are and will be subject to extensive state and local regulation and licensing, and gaming authorities have significant control over our operations, which could have an adverse effect on our business.***

Our ownership and operation of our temporary casino is, and our permanent casino and resort will be, subject to extensive state and local regulation, and regulatory authorities at the state and local levels have broad powers with respect to the licensing of these businesses, and may reject, revoke, suspend, condition, fail to renew or limit our gaming or other licenses, impose substantial fines and take other actions, each of which poses a significant risk to our business, results of operations and financial condition. We have applied to hold all state and local licenses and related approvals necessary to conduct our intended operations in our temporary casino and our permanent casino and resort, and will be required to periodically apply to renew many of these licenses and registrations and have the suitability of certain of our directors, officers and employees renewed. On October 26, 2023, we obtained a four-year owners license from the Illinois Gaming Board. This license will expire on October 25, 2027 and may be renewed for subsequent four-year terms. The license issued to casino operators is referred to as an "owners license" and is issued by the Illinois Gaming Board for a period of up to four years. The owners license may then be renewed for subsequent four-year terms. On October 26, 2023, the Illinois Gaming Board also approved extending the operation of our temporary casino until September 9, 2026. If our permanent casino and resort is not opened by September 9, 2026, when the temporary casino's right to operate expires under current law, our public operations may need to be ceased until the permanent casino and resort is able to open unless the law is changed to permit a further extension of our temporary casino operations and that extension is approved by the Illinois Gaming Board (if required at that time). There can be no assurance that we will be able to obtain all necessary

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licenses, that we will be able to secure any required renewals or that we will be able to obtain future approvals that would allow us to continue to run our gaming operations in our temporary casino or our permanent casino and resort. Any failure to obtain, maintain or renew existing licenses, registrations, permits or approvals or difficulty or delay in doing so would have a material adverse effect on us. As we expand our gaming operations to offer new and improved options for customers, we may have to meet additional suitability requirements and obtain additional licenses, registrations, permits and approvals from gaming authorities in these jurisdictions. The approval process can be time-consuming and costly and we cannot be sure that we will be successful. Furthermore, if additional gaming laws or regulations are adopted in jurisdictions where we operate, these regulations could impose additional restrictions or costs that could have a significant adverse effect on us.

Gaming authorities in Illinois generally require that any beneficial owner of our securities file an application for a finding of suitability. If a gaming authority requires a record or beneficial owner of our securities to file a suitability application, the owner must generally apply for a finding of suitability within 30 days or at an earlier time prescribed by the gaming authority. The gaming authority has the power to investigate such an owner's suitability and the owner must pay all costs of the investigation. If the owner is found unsuitable, then the owner may be required by law to dispose of his or her shares in the Company.

Our officers, directors and key employees are also subject to a variety of regulatory requirements and various licensing and related approval procedures in Illinois. If the Illinois gaming authority were to find any of our officers, directors or key employees unsuitable for licensing or unsuitable to continue having a relationship with us, we would have to sever all relationships with that person. Furthermore, Illinois gaming authority may require us to terminate the employment of any person who refuses to file appropriate applications. Either result could adversely affect our gaming operations.

Applicable gaming laws and regulations may restrict our ability to issue certain securities, incur debt and undertake other financing activities. Such transactions would generally require notice and/or approval of applicable gaming authorities, and our financing counterparties, including lenders, might be subject to various licensing and related approval procedures in the various jurisdictions in which we manage gaming facilities. Applicable gaming laws further limit our ability to engage in certain competitive activities and impose requirements relating to the composition of our Board and senior management personnel. If state regulatory authorities were to find any person unsuitable with regard to his, her or its relationship to us or any of our subsidiaries, we would be required to sever our relationship with that person, which could materially adversely affect our business.

 ***We are subject to numerous federal, state and local laws that may expose us to liabilities or have a significant adverse impact on our operations. Changes to any such laws could have a material adverse effect on our operations and financial condition.***

Our business is subject to a variety of federal, state and local laws, rules, regulations and ordinances. These laws and regulations include, but are not limited to, restrictions and conditions concerning alcoholic beverages, environmental matters, employees, currency transactions, taxation, zoning and building codes and marketing and advertising. Such laws and regulations could change or could be interpreted differently in the future, or new laws and regulations could be enacted. Material changes to any of the laws, rules, regulations or ordinances to which we are subject, new laws or regulations or material differences in interpretations by courts or governmental authorities could have an adverse effect on our business, financial condition and results of operations.

Our employees, especially those that interact with our customers, receive a base salary or wage that is established by applicable Illinois and federal laws that establish a minimum hourly wage that is, in turn, supplemented through tips and gratuities from customers. From time to time, Illinois and U.S. lawmakers have increased the minimum wage. It is difficult to predict when such increases may take place. Any such change to the minimum wage could have a material adverse effect on our business, financial condition and results of operations.

The sale of alcoholic beverages is a highly regulated and taxed business. Federal, state and local laws and regulations govern the production and distribution of alcoholic beverages, including permitting, licensing, trade practices, labeling, advertising, marketing, distributor relationships and related matters.

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Federal, state and local governmental entities also levy various taxes, license fees and other similar charges and may require bonds to ensure compliance with applicable laws and regulations. Failure to comply with applicable federal, state or local laws and regulations could result in higher taxes, penalties, fees and suspension or revocation of permits, licenses or approvals and could have a material adverse effect on our business, financial condition and results of operations. From time to time, local and state lawmakers, as well as special interest groups, have proposed legislation that would increase the federal and/or state excise tax on alcoholic beverages or certain types of alcoholic beverages. If federal or state excise taxes are increased, we may have to raise prices to maintain profit margins on the sales of any alcoholic beverages. Higher taxes may reduce overall demand for alcoholic beverages, thus negatively impacting sales of our alcoholic beverages at our temporary casino or our permanent casino and resort. Further federal or state regulation may be forthcoming that could further restrict the distribution and sale of alcohol products. Any material increases in taxes or fees or the adoption of additional taxes, fees or regulations could have a material adverse effect on our business, financial condition and results of operations.

In addition, each restaurant we operate must obtain a food service license from local authorities. Failure to comply with such regulations could cause our licenses to be revoked or our related restaurant business or businesses to be forced to cease operations. Moreover, Illinois liquor laws may prevent the expansion of restaurant operations or interfere with the manner in which we intend to operate our restaurants.

We handle significant amounts of cash in our operations and are subject to various reporting and anti-money laundering laws and regulations. Recently, U.S. governmental authorities have evidenced an increased focus on compliance with anti-money laundering laws and regulations in the gaming industry. Any violation of anti-money laundering laws or regulations could have a material adverse effect on our business, financial condition and results of operations. Internal control policies and procedures and employee training and compliance programs that we intend to implement will attempt to deter prohibited practices, but they may not be effective in prohibiting our future employees, contractors or agents from violating or circumventing our policies and the law. If we or our employees or agents fail to comply with applicable laws or our policies governing our operations, we may face investigations, prosecutions and other legal proceedings and actions which could result in civil penalties, administrative remedies and criminal sanctions. Any such government investigations, prosecutions or other legal proceedings or actions could have a material adverse effect on our business, financial condition and results of operations.

#### We may be subject to extensive environmental regulation, which creates uncertainty regarding future environmental expenditures and liabilities.
We may in the future be subject to various federal, state and local environmental laws and regulations that govern activities that may have adverse environmental effects, such as discharges to air and water, as well as the management and disposal of solid, animal and hazardous wastes and exposure to hazardous materials. These laws and regulations, which are complex and subject to change, include U.S. Environmental Protection Agency regulations. Compliance with these and other environmental laws can, in some circumstances, require significant capital expenditures.

We expect to also be subject to laws and regulations that create liability and cleanup responsibility for releases of regulated materials into the environment. Certain of these laws and regulations impose strict, and under certain circumstances joint and several, liability on a current or previous owner or operator of property for the costs of remediating regulated materials on or emanating from our property. The costs of investigation, remediation or removal of those substances may be substantial. The presence of, or failure to remediate properly, such materials may adversely affect our ability to operate our temporary casino or our permanent casino and resort or to borrow funds using such property as collateral. Additionally, as an owner or manager of real property, we could be subject to claims by third parties based on damages and costs resulting from environmental contamination at or emanating from third-party sites. These laws typically impose clean-up responsibility and liability without regard to whether the owner or manager knew of or caused the presence of the contaminants and the liability under those laws has been interpreted to be joint and several unless the harm is divisible and there is a reasonable basis for allocation of the responsibility.

The possibility exists that contamination, as yet unknown, may exist on our anticipated properties. There can be no assurance that we will not incur expenditures for environmental investigations or remediation in the future.

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 ***We are currently involved in legal proceedings and may become involved in additional legal proceedings that, if adversely adjudicated or settled, could impact our business and financial condition.***

From time to time, we have been and may continue to be named in lawsuits or other legal proceedings relating to our businesses. In particular, the nature of our business subjects us to the risk of lawsuits filed by customers, past and present employees, holders of our stock, competitors, business partners and others in the ordinary course of business. As with all legal proceedings, no assurances can be given as to the outcome of these matters. Moreover, legal proceedings can be expensive and time consuming, and we may not be successful in defending or prosecuting these lawsuits, which could result in settlements or damages that could adversely affect our business, financial condition and results of operations. See "*— Risks Related to this Offering and Ownership of our Class A Interests — This offering has resulted in lawsuits and may in the future lead to additional lawsuits*" for more information.

#### The regulatory framework which governs our business, and its interpretation, may be subject to change which we may fail to anticipate and/or respond to.
In order to operate our temporary casino and our permanent casino and resort, we are required to hold licenses issued by the Illinois Gaming Board. The holders of such licenses are bound to meet stringent compliance requirements relating to matters such as anti-money laundering, safer gaming, data protection, advertising and consumer rights issues. Compliance with such requirements is incorporated into the relevant licenses as a licensing condition (or similar) with a corresponding requirement for us to comply with such onerous requirements.

In carrying out its functions, the Illinois Gaming Board is under a statutory duty to ensure that license holders are operating their businesses in ways that are reasonably consistent with the licensing objectives set out in the law, which include preventing gaming from being a source of (or associated with) crime or disorder, or being used to support crime; ensuring that gaming is conducted in a fair and open way and protecting children and other vulnerable people from being harmed or exploited by gaming.

While the objectives of regulation may remain largely stable, the methods that operators are required to employ to meet those objectives is in a state of constant evolution and development. We must respond adequately to the challenges this presents. If we are found to be in breach of our obligation to comply with such licensing requirements, then the Illinois Gaming Board may impose a financial penalty on us or impose other penalties, including removing or imposing conditions on the relevant gaming licenses. A breach of our Host Community Agreement with the City could also result in non-renewal of our owners license by the Illinois Gaming Board, particularly if the breach results in a termination of the Host Community Agreement. Maintaining the authorization from the City is a condition for any future renewal of the owners license. Such actions could have a material adverse effect on our financial performance.

 ***Our business is subject to a variety of laws in the United States and in Illinois, many of which are unsettled and still developing, and which could subject us to claims or otherwise harm our business. Any change in existing regulations or their interpretation, or the regulatory or prosecutorial climate applicable to the products and services we offer in our temporary casino and intend to offer in our permanent casino and resort, or changes in gaming tax rates, tax rules and regulations or interpretation thereof related to such products and services, could adversely impact our ability to operate our business as currently conducted or as we seek to operate in the future, which could have a material adverse effect on our financial condition and results of operations.***

We are generally subject to laws and regulations relating to gaming in Illinois, as well as the general laws and regulations that apply to all gaming and hospitality businesses, such as those related to privacy and personal information, tax and consumer protection. These laws and regulations vary, and future legislative and regulatory action, court decisions or other governmental action, which may be affected by, among other things, political pressures, attitudes and climates, as well as personal biases, may have a material impact on our operations and financial results. The regulatory environment in Chicago or on a federal level may change in the future and any such change could have a material adverse effect on our results of operations.

Future legislative and regulatory action, and court decisions or other governmental action, may have a material impact on our operations and financial results. Governmental authorities could view us as having violated local laws, despite our efforts to obtain all applicable licenses or approvals. There is also risk that civil

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and criminal proceedings, including class actions brought by or on behalf of prosecutors or public entities or incumbent monopoly providers, or private individuals, could be initiated against us, Internet service providers, credit card and other payment processors in the gaming industry. Such potential proceedings could involve substantial litigation expense, penalties, fines, seizure of assets, injunctions or other restrictions being imposed upon our licensees or other business partners, while diverting the attention of key executives. Such proceedings could have a material adverse effect on our business, financial condition and results of operations, as well as impact our reputation.

There can be no assurance that legally enforceable legislation will not be proposed and passed in Illinois to prohibit, legislate or regulate various aspects of our business (or that existing laws in those jurisdictions will not be interpreted negatively). Compliance with any such legislation may have a material adverse effect on our business, financial condition and results of operations because a local license or approval may be costly for us or our business partners to obtain and/or such licenses or approvals may contain other commercially undesirable conditions.

#### We may share part of the regulatory burdens of Bally's.
The majority of our voting power has been and, following this offering and the concurrent private placements will continue to be, held by Bally's. In January 2023, Bally's Chicago OpCo and certain subsidiaries of Bally's entered into the Permanent Services Agreement with BMG, a subsidiary of Bally's and, in August 2023, Bally's Chicago OpCo entered into the Temporary Services Agreement with BMG. Pursuant to each of the Permanent Services Agreement and the Temporary Services Agreement, BMG agreed to provide us with general business support services. Bally's and its affiliates hold many privileged licenses in jurisdictions around the world, allowing them to operate gaming, hospitality and entertainment businesses. Regulators that issue such licenses have broad investigative powers and could ask for information from our majority stockholder, the entities from which we license intellectual property and their affiliates. Bally's and its affiliates, including us and Bally's Chicago OpCo, will be obligated to cooperate with the investigations of such regulators. Such licenses may also limit the operations and activities of subsidiaries and affiliates of Bally's, including us and Bally's Chicago OpCo.

#### Business Operational Risks

#### We rely on effective payment processing services from a limited number of providers.
The provision of convenient, trusted, fast and effective payment processing services to our customers and potential customers is critical to our business. If there is any deterioration in the quality of the payment processing services provided to these customers or any interruption to those services (including with respect to system intrusions, unauthorized access or manipulation), or if such services are only available at an increased cost to us or our customers or are terminated and no timely and comparable replacement services are found, our customers and potential customers may be deterred from using our products and services. Any of these occurrences may have a material adverse effect on our business, financial condition and results of operations.

Furthermore, a limited number of banks and credit card companies process gambling related payments as a matter of internal policy and any capacity to accept such payments may be limited by the regulatory regime of a given jurisdiction. The introduction of legislation or regulations restricting financial transactions with gambling operators, other prohibitions or restrictions on the use of credit cards and other banking instruments for gambling transactions may restrict our ability to accept payments from our customers. These restrictions may be imposed as a result of concerns related to fraud, payment processing, AML or other issues related to the provision of gambling services. A number of issuing banks or credit card companies may from time to time reject payments to us that are attempted to be made by our customers. Should such restrictions and rejections become more prevalent, or any other restriction on payment processing be introduced, gambling activity by our customers could be adversely affected, which in turn could have a material adverse effect on our business, financial condition and results of operations.

In addition, we are subject to the risk of credit card chargebacks, which may also result in possible penalties. A chargeback is a credit card originated deposit transaction to a player account with an operator that is later reversed or repudiated. The risk of such chargeback transactions is greater in respect of certain

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markets and certain payment methods. We intend to recognize revenue upon the first loss of the player on amounts tendered, with any credit card chargebacks then deducted from revenues. Even though security measures are in place, high rates of credit card chargebacks could result in credit card associations levying additional costs and fines or withdrawing their service and could have a material adverse effect on our business, financial condition and results of operations.

#### Our electronic and table games and slot machines hold percentages may fluctuate.
The gaming industry is characterized by an element of chance and guests' winnings at our temporary casino depend, and at our permanent casino and resort will depend, on a variety of factors, some of which are beyond our control. In addition to the element of chance, hold percentages (the ratio of net win to total amount wagered) are affected by other factors, including players' skill and experience, the mix of games played, the financial resources of players, the volume of bets placed and the amount of time played. The variability of our hold percentages has the potential to adversely affect our business, financial condition and results of operations.

#### Our profitability is dependent, in part, on return to players.
The revenue we derive from certain of our proposed gaming products depends on the outcome of random number generators built into the gaming software running the games made available to our customers. Return to player is measured by dividing the amount of real money won by players on a particular game by the total real money wagers over a particular period on that game. An increasing return to player may negatively affect revenue as it represents a larger amount of money being won by players. Return to player is driven by the overall random number generator outcome, the mechanics of different games and jackpot winnings. Each game utilizes a random number generating engine; however, generally the return to player fluctuates in the short-term based on large wins or jackpots or a large share of wagers made for higher-payout games. To the extent we are unable to set, or fail to obtain, a favorable return to player in our (or a third-party supplier's) gambling software which maximizes revenue, it could have a material adverse effect on our business, financial condition and results of operations.

 ***The success, including win or hold rates, of future sports betting and gaming products depends on a variety of factors and is not completely controlled by us.***

The sports betting and gaming industries are characterized by an element of chance. Accordingly, we employ theoretical win rates to estimate what a certain type of sports bet or game, on average, will win or lose in the long run. These theoretical win rates may not always yield positive results for us, which could cause our revenue to decrease as players' winnings increase.

Our success depends in part on our ability to anticipate and satisfy user preferences in a timely manner. As we operate in a dynamic environment characterized by rapidly changing industry and legal standards, our products will be subject to changing consumer preferences that cannot be predicted with certainty. We will need to continually introduce new offerings and identify future product offerings that complement our existing platforms, respond to our customer's needs and improve and enhance our existing platforms to maintain or increase our customer engagement and growth of our business. We may not be able to compete effectively unless our product selection keeps up with trends in the digital sports entertainment and gaming industries in which we compete, or trends in new gaming products.

#### We extend credit to a portion of our customers, and we may not be able to collect gaming receivables from our credit customers.
We conduct our gaming activities on a credit and cash basis at our temporary casino and will conduct our gaming activities on a credit and cash basis at our permanent casino and resort. Any such credit we extend will be unsecured. Table game players typically are extended more credit than slot players, and high-stakes players typically are extended more credit than customers who tend to wager lower amounts. High-end gaming is more volatile than other forms of gaming, and variances in win-loss results attributable to high-end gaming may have a significant positive or negative impact on cash flow and earnings in a particular period. We will extend credit to those customers whose level of play and financial resources warrant, in the opinion of management, an extension of credit. These large receivables could have a significant impact on our

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results of operations if deemed uncollectible. Gaming debts evidenced by a credit instrument, including what is commonly referred to as a "marker," and judgments on gaming debts are enforceable under the current laws of Illinois, and judgments on gaming debts in such jurisdictions are enforceable in all U.S. states under the Full Faith and Credit Clause of the U.S. Constitution; however, other jurisdictions may determine that enforcement of gaming debts is against public policy. Although courts of some foreign nations will enforce gaming debts directly and the assets in the United States of foreign debtors may be reached to satisfy a judgment, judgments on gaming debts from U.S. courts are not binding on the courts of many foreign nations.

#### Declining popularity of games and changes in device preferences of players could have a negative effect on our business.
Revenue from games tends to decline over time after reaching a peak of popularity and player usage. The speed of this decline is referred to as the decay rate of a game. As a result of this natural decline in the life cycle of our products, our business depends on our ability and the ability of our third-party partners to consistently and timely launch new games across multiple platforms and devices that achieve significant popularity. Our ability to successfully launch, sustain and expand games as applicable, largely will depend on our ability to, amongst other things: (1) anticipate and effectively respond to changing game player interests and preferences; (2) anticipate or respond to changes in the competitive landscape; (3) develop, sustain and expand games that are fun, interesting and compelling to play; (4) minimize launch delays and cost overruns on new games; (5) minimize downtime and other technical difficulties; (6) acquire leading technology and high quality personnel; and (7) comply with constraints on game design and/or functionality imposed by regulators. There is a risk that we may not launch any new games according to schedule, or that those games do not attract and retain a significant number of players, which could have a negative effect on our business, financial condition and results of operations.

In addition to offering popular new games, we must extend the life of the existing games which we make available to future customers, in particular the most successful games. While it is difficult to predict when revenues from any such existing games will begin to decline, for a game to remain popular, we must constantly enhance, expand or upgrade the relevant game with new features that players find attractive. There is a risk that we may not be successful in enhancing, expanding or upgrading our current games or any new games in the future and, in addition, regulators may introduce new rules that limit functionality within existing games. Should we not succeed in sufficiently offsetting the effects of declining popularity in the games we make available, this may have a material adverse effect on our business, financial condition and results of operations.

 ***We may invest in or acquire other businesses, and our business may suffer if we are unable to successfully integrate acquired businesses into the Company or otherwise manage the growth associated with multiple acquisitions.***

We cannot assure you that we will be able to consummate any future acquisitions, or that any future acquisitions will enhance our financial performance. For example, while we are in discussion with the Illinois Gaming Board and Midway International Airport to install slot machines at Midway International Airport we cannot assure you that we will reach agreement on the terms of that installation, or such terms will ultimately be advantageous to us. Our ability to achieve the expected benefits of any acquisitions will depend on, among other things, our ability to effectively translate our strategies into revenue, our ability to retain and assimilate the acquired businesses' employees, our ability to retain existing customers and suppliers on terms similar to, or better than, those in place with the acquired businesses, our ability to attract new customers, the adequacy of our implementation plans, our ability to maintain our financial and internal controls and systems as we expand our operations, the ability of our management to oversee and operate effectively the combined operations and our ability to achieve desired operating efficiencies and revenue goals. The integration of the businesses that we acquire might also cause us to incur costs that are unforeseen or that exceed our estimates, which would lower our future earnings and would prevent us from realizing the expected benefits of such acquisitions. In some cases, the services provided by the sellers are critical to the ongoing efficient operation of the properties and may involve costly payments from us to the provider of the services. If the provision of these services by the sellers is disrupted or given insufficient attention by the sellers, our ability to operate the properties may be negatively impacted until such time as

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we are able to take full control over the services. Moreover, we must pay the sellers for these services and the costs to us for these services may exceed our estimates and these expenses will negatively impact the results of operations of these properties during these transition periods. Failure to achieve the anticipated benefits of these acquisitions could result in decreases in the amount of expected revenues and diversion of management's time and energy and could adversely affect our business, financial condition and operating results.

 ***Our growth will depend, in part, on the success of our strategic relationships with third parties. Overreliance on certain third parties or our inability to extend existing relationships or agree to new relationships may cause unanticipated costs for us and impact our financial performance in the future.***

We may enter into strategic relationships with advertisers, casinos and other third parties in order to attract customers to our temporary casino and our permanent casino and resort. We believe that these relationships, along with providers of online services, search engines, social media, directories and other websites and e-commerce businesses, will help direct consumers to our temporary casino and our permanent casino and resort. In addition, many of the parties with whom we may enter into advertising arrangements may provide advertising services to other companies, including fantasy sports and gaming platforms with whom we compete. While we believe there are other third parties that could drive users to our temporary casino and our permanent casino and resort, adding or transitioning to them may disrupt our business and increase our costs. In the event that any of our existing relationships or our future relationships fails to provide services to us in accordance with the terms of our arrangement, or at all, and we are not able to find suitable alternatives, this could impact our ability to attract consumers cost effectively and harm our business, financial condition and results of operations.

#### We conduct our business in an industry that is subject to high taxes and may be subject to higher taxes in the future.
In Illinois, state and local governments raise considerable revenues from taxes based on casino revenues and operations. We are also required to pay property taxes, occupancy taxes, sales and use taxes, payroll taxes, franchise taxes and income taxes. Our profitability will depend on generating enough revenues to cover variable expenses, such as payroll and marketing, as well as largely fixed expenses, such as property taxes and interest expense. From time to time, state and local governments have increased gaming taxes and such increases could significantly impact the profitability of our gaming operations.

Our operations are generally subject to significant revenue-based taxes and fees in addition to normal federal, state and local income taxes, and such taxes and fees are subject to increase at any time. In addition, from time to time, federal, state and local legislators and officials have proposed changes in tax laws, or in the administration of such laws, affecting the gaming industry. Further, worsening economic conditions could intensify the efforts of applicable state and local governments to raise revenues through increases in gaming taxes and/or property taxes. It is not possible to determine with certainty the likelihood of changes in tax laws in these jurisdictions or in the administration of such laws. Such changes, if adopted, could adversely affect our business, financial condition and results of operations. Any material increase, or the adoption of additional taxes or fees, could adversely affect our future financial results.

There can be no assurance that governments in Illinois or Chicago, or the federal government, will not enact legislation that increases gaming tax rates. General economic pressures have the potential to reduce revenues of state and local governments from traditional tax sources, which may cause state legislatures or the federal government to be more inclined to increase gaming tax rates.

 ***If we fail to detect fraud, theft or cheating, including by our users and employees, our reputation may suffer which could harm our brand and reputation and negatively impact our business, financial condition and results of operations and can subject us to investigations and litigation.***

We may incur losses from various types of financial fraud, including use of stolen or fraudulent credit card data, claims of unauthorized payments by a customer and attempted payments by customer with insufficient funds. Bad actors use increasingly sophisticated methods to engage in illegal activities involving personal information, such as unauthorized use of another person's identity, account information or payment information and unauthorized acquisition or use of credit or debit card details, bank account

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information and mobile phone numbers and accounts. Under current credit card practices, we may be liable for use of funds at our temporary casino and our permanent casino and resort with fraudulent credit card data, even if the associated financial institution approved the credit card transaction.

Acts of fraud may involve various tactics, including collusion. Successful exploitation of our systems could have negative effects on our product offerings, services and customer experience and could harm our reputation. Failure to discover such acts or schemes in a timely manner could result in harm to our operations. In addition, negative publicity related to such schemes could have an adverse effect on our reputation, potentially causing a material adverse effect on our business, financial condition and results of operations. In the event of the occurrence of any such issues with our proposed product offerings, substantial engineering and marketing resources and management attention, may be diverted from other projects to correct these issues, which may delay other projects and the achievement of our strategic objectives.

In addition, any misappropriation of, or access to, customer's or other proprietary information or other breach of our information security could result in legal claims or legal proceedings, including regulatory investigations and actions, or liability for failure to comply with privacy and information security laws, including for failure to protect personal information or for misusing personal information, which could disrupt our operations, force us to modify our business practices, damage our reputation and expose us to claims from our customers, regulators, employees and other persons, any of which could have an adverse effect on our business, financial condition and results of operations.

Despite measures we will take to detect and reduce the occurrence of fraudulent or other malicious activity in our temporary casino and our permanent casino and resort, we cannot guarantee that any of our measures will be effective or will scale efficiently with our business. Our failure to adequately detect or prevent fraudulent transactions could harm our reputation or brand, result in litigation or regulatory action and lead to expenses that could adversely affect our business, financial condition and results of operations.

#### We have limited operating history.
We have limited operating history and there can be no assurance that our proposed plan of business can be realized in the manner contemplated and, if it cannot be, holders of our stock may lose all or a substantial part of their investment. There is no guarantee that it will ever realize any significant operating revenues or that its operations will ever be profitable. As we have limited operational history, it is extremely difficult to make accurate predictions and forecasts on our finances.

#### We are largely dependent on the skill and experience of management and key personnel.
Our officers, directors and key employees either are or will be required to file applications with the Illinois Gaming Board, and are required to be licensed or found suitable by such authority. If the Illinois Gaming Board were to find an officer, director or key employee unsuitable for licensing or unsuitable to continue having a relationship with us, we would have to sever all relationships with that person. Furthermore, the Illinois Gaming Board may require us to terminate the employment of any person who refuses to file appropriate applications. Either result could significantly impair our operations. The time and effort needed to successfully complete the application process could impact our ability to attract, hire and retain top talent.

#### We are subject to risks associated with labor relations, labor costs and labor disruptions.
We are subject to the costs and risks generally associated with labor disputes and organizing activities related to unionized labor. From time to time, our operations may be disrupted by strikes, public demonstrations or other coordinated actions and publicity. We may incur increased legal costs and indirect labor costs as a result of contractual disputes, negotiations or other labor-related disruptions.

#### We may incur impairments to indefinite-lived intangible assets or long-lived assets.
We will monitor the recoverability of our long-lived assets, such as buildings in our permanent casino and resort, and evaluate their carrying value for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be fully recoverable. We intend to perform interim

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reviews whenever events or changes in circumstances indicate that impairment may have occurred. If the testing performed indicates that impairment has occurred, we will be required to record a non-cash impairment charge for the difference between the carrying value and fair value of the long-lived assets or the carrying value and fair value of the reporting unit, in the period the determination is made. The testing of long-lived assets for impairment will require us to make estimates that are subject to significant assumptions about our future revenue, profitability, cash flows, fair value of assets and liabilities, weighted average cost of capital, as well as other assumptions. Changes in these estimates, or changes in actual performance compared with these estimates, may affect the fair value of long-lived assets or reporting unit, which may result in an impairment charge.

We cannot accurately predict the amount or timing of any impairment of assets. Should the value of long-lived assets become impaired, our financial condition and results of operations may be adversely affected.

#### We anticipate that our operations will be subject to seasonal variations and quarterly fluctuations in operating results.
Casino and hotel operations are subject to seasonal variation. Seasonal weather conditions can frequently adversely affect transportation routes to Chicago and may cause snowfall, flooding and other effects that result in the closure of our temporary casino or our permanent casino and resort. In addition, any sports betting business we open in our casino and resort may experience seasonality based on the relative popularity of certain sports at different parts of the year. As a result, unfavorable seasonal conditions could have a material adverse effect on our business, financial condition and results of operations.

#### Our business is particularly sensitive to energy prices and a rise in energy prices could harm our operating results.
We are a large consumer of electricity and other energy in Chicago and, therefore, higher energy prices may have an adverse effect on our results of operations. Accordingly, increases in energy costs may have a negative impact on our operating results. Additionally, higher electricity and gasoline prices that affect our customers may result in reduced visitation to our temporary casino or our permanent casino and resort and a reduction in our revenues. We may be indirectly impacted by regulatory requirements aimed at reducing the impacts of climate change directed at up-stream utility providers, as we could experience potentially higher utility, fuel and transportation costs.

#### Our insurance and self-insurance programs, through Bally's Corporation, may not be adequate to cover future claims.
Although we maintain insurance that we believe is customary and appropriate for our business at this stage of our operations, we cannot assure you that insurance will be available or adequate to cover all losses and damage to which our business or our assets might be subjected in current or future periods. We use a combination of insurance and self-insurance, through Bally's Corporation, to provide for potential liabilities, including employee healthcare benefits, up to certain stop-loss amounts which limit our exposure above the amounts we have self-insured. We estimate the liabilities and required reserves associated with the risks we retain. Any such estimates and actuarial projection of losses is subject to a considerable degree of variability. A considerable increase in claims as a result of a pandemic, including as a result of the COVID-19 pandemic, could have a material adverse effect on our business, financial condition or results of operations. If actual losses incurred are greater than those anticipated, our reserves may be insufficient and additional costs could be recorded in our consolidated financial statements. If we suffer a substantial loss that exceeds our self-insurance reserves, and any excess insurance coverage, the loss and attendant expenses could harm our business, financial condition or results of operations. The lack of adequate insurance for certain types or levels of risk could expose us to significant losses in the event that a catastrophe occurred for which we are uninsured or underinsured. Any losses we incur that are not adequately covered by insurance may decrease our future operating income, require us to find replacements or repairs for destroyed property and reduce the funds available for payments of our obligations. We renew our insurance policies on an annual basis. The cost of coverage may become so high that we may need to further reduce our policy limits, further increase our deductibles or agree to certain exclusions from our coverage.

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 ***Our results of operations and financial condition could be adversely affected by the occurrence of natural disasters, such as blizzards, floods, tornadoes, fires, or other catastrophic events, including war, terrorism and public health crises such as the COVID-19 pandemic.***

Natural disasters, such as major hurricanes, typhoons, tornados, floods, fires and earthquakes, could adversely affect our business and operating results.

Catastrophic events, such as terrorist attacks and global and regional conflicts (e.g., the war in Ukraine and conflict in the Middle East), have had a negative effect on travel and leisure expenditures, including lodging, gaming (in some jurisdictions) and tourism. We cannot accurately predict the extent to which such events may affect us, directly or indirectly, in the future.

Public health crises may also significantly impact our business. For example, the global spread of the COVID-19 pandemic, which began in early 2020, resulted in governments, public institutions and other organizations imposing or recommending, and businesses and individuals implementing, restrictions on various activities or other actions to combat its spread, such as restrictions and bans on travel or transportation, stay-at-home directives, requirements that individuals wear masks or other face coverings, limitations on the size of gatherings, closures of work facilities, schools, public buildings and businesses, cancellation of events, including sporting events, concerts, conferences and meetings and quarantines and lock-downs. The pandemic and its consequences dramatically reduced travel and demand for hotel rooms and other casino resort amenities. There are no assurances that a resurgence of future COVID-19 variants or future pandemics will not cause similar disruptions.

There can be no assurance that we will be able to obtain or choose to purchase any insurance coverage with respect to occurrences of catastrophic events, such as those described above. If there is a prolonged disruption at our facilities due to natural disasters, terrorist attacks, wars, public health crises or other catastrophic events, our results of operations and financial condition would be adversely affected.

We may be unable to obtain business interruption coverage for casualties resulting from severe weather such as hurricanes, and there can be no assurance that we will be able to obtain casualty insurance coverage at affordable rates, if at all, for casualties resulting from severe weather.

 ***Failure to comply with the community investment program obligations specified in the Host Community Agreement could have a material adverse effect on our financial condition and results of operations.***

The Host Community Agreement with the City of Chicago provides for certain community investment obligations, with which the failure to comply could have a material adverse effect on our financial condition and results of operations. The Illinois Gambling Act requires the IGB, in determining whether or not to issue the casino owner's license, to have considered diverse ownership goals. The IGB approved the issuance of the license to us on October 26, 2023. We have also agreed to meet or exceed the goals, as specified in the agreement, for contracting with city-based businesses for the design and construction of our permanent casino and resort and the provision of goods and services to our permanent casino and resort; meet or exceed the hiring of the minimum number of employees as specified in the agreement; meet or exceed the goals, as specified in the agreement, for work hours for construction work by city residents and residents of the area surrounding our permanent casino and resort; meet or exceed the goals for hiring specific percentages of city residents, women, Minorities, veterans and persons with a disability; satisfy the requirements for business utilization and building wealth and increasing employment in disadvantaged communities, prioritize hiring of city residents and achieve a diverse workforce; and satisfy the requirements for locally sourcing goods and services as specified in the agreement. In addition, we have also agreed to establish, fund and maintain human resource hiring and training practices and comply with certain workforce development plans. Any failure to comply with these obligations may result in an event of default under the agreement, and the City of Chicago will have the right, among others, to exercise any and all remedies available at law or in equity, terminate the agreement, and institute and prosecute proceedings to enforce in whole or in part the specific performance of the agreement by us. In addition, recent public scrutiny of business diversity initiatives, particularly in governmental contracting and other programs, may result in challenges to the community investment obligations required by the City under the Host Community Agreement. See "*Business —Our Relationship with Chicago — Community Investment Program*" for additional information.

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#### Risks Related to Our Relationship with Bally's
 ***Bally's Chicago HoldCo controls the direction of our business, and the concentrated ownership of our stock will prevent you and other stockholders from influencing significant decisions.***

Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, Bally's Chicago HoldCo, a wholly-owned subsidiary of Bally's Corporation, will hold 74.2% of the voting power and 16.1% of the economic power of our stock, in addition to its interests under the Subordinated Loans and its LLC Interests in Bally's Chicago OpCo. As long as Bally's Chicago HoldCo continues to control stock representing a majority of our combined voting power, it will generally be able to determine the outcome of all corporate actions requiring stockholders' approval. Even if Bally's Chicago HoldCo were to control less than a majority of our combined voting power, it may be able to influence the outcome of corporate actions so long as it owns a significant portion of our combined voting power. If Bally's Chicago HoldCo does not sell or otherwise dispose of its Class B Interests and Class A-4 Interests, Bally's Chicago HoldCo could retain control over us for an extended period of time or indefinitely.

Investors in this offering may not be able to affect the outcome of any stockholders' vote while Bally's Chicago HoldCo controls the majority of our combined voting power. Bally's Chicago HoldCo thus will be able to elect a majority or more of the members of our Board, which in turn will be able to influence all matters affecting us, including, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • any determination with respect to our business direction and policies, including the appointment and removal of officers and, in the event of a vacancy on our Board, additional or replacement directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • any determinations with respect to mergers, business combinations or disposition of assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • determination of our management policies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • determination of the composition of the committees on our Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • our financing policy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • our compensation and benefit programs and other human resources policy decisions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • termination of, changes to or determinations under our agreements with Bally's;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • changes to any other agreements that may adversely affect us; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the payment of dividends.

See "*Description of Capital Stock*." Moreover, pursuant to the Stockholders Agreement, Bally's Chicago HoldCo has veto rights over any transactions involving: (i) change in control transactions of our company or any of our subsidiaries, including Bally's Chicago OpCo, (ii) acquiring or disposing of assets or any business enterprise or division thereof for consideration in excess of $50.0 million in any single transaction or series of transactions, (iii) increasing or decreasing the size of our board of directors, (iv) initiating any liquidation, dissolution, bankruptcy, or other insolvency proceeding involving us or any of our subsidiaries, including Bally's Chicago OpCo, and (v) any transfer, issue, sale, or disposition by us of any shares of stock, other equity securities, equity-linked securities, or securities that are convertible into equity securities of us or our subsidiaries to any person or entity that is a non-strategic financial investor in a private placement transaction or series of transactions. Because Bally's Chicago HoldCo has interests in and obligations to us and Bally's Chicago OpCo that differ from those of other constituencies, and its interests may differ from ours or from those of our other stockholders, actions that Bally's Chicago HoldCo takes with respect to us, as our controlling stockholder, may not be favorable to us or our stockholders.

 ***If Bally's Chicago HoldCo sells a controlling interest in our Company to a third party in a private transaction, you may not realize any change-of-control premium on our Class A Interests, and we may become subject to the control of a presently unknown third party.***

Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, Bally's Chicago HoldCo, a wholly-owned subsidiary of Bally's, will hold 74.2% of the voting power and 16.1% of the economic power of our stock. Bally's Chicago HoldCo's will have the ability,

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should it choose to do so, to sell some or all of these Class B Interests and Class A-4 Interests in a privately negotiated transaction, which, if sufficient in size, could result in a change of control of our Company.

The ability of Bally's Chicago HoldCo to privately sell the Class B Interests and Class A-4 Interests, with no requirement for a concurrent offer to be made to acquire all of our Class A Interests, could prevent you from realizing any change-of-control premium on your Class A Interests that may otherwise accrue to Bally's Chicago HoldCo on its private sale of Class B Interests and Class A-4 Interests. Additionally, if Bally's Chicago HoldCo's sells Class B Interests and Class A-4 Interests representing a significant portion of our stock, we may become subject to the control of a presently unknown third party. Such third party may have conflicts of interest with those of other stockholders. In addition, if Bally's Chicago HoldCo sells a controlling interest in our Company to a third party, any debt financing we secure in the future may be subject to acceleration, Bally's subsidiary, BMG, may terminate the Permanent Services Agreement, the Temporary Services Agreement and other arrangements, and our other relationships and agreements could be impacted, all of which may adversely affect our ability to run our business as described herein and may have a material adverse effect on our results of operations, cash flows and financial condition.

 ***Bally's Chicago HoldCo's interests may conflict with our interests and the interests of the other holders of our stock. Conflicts of interest between Bally's Chicago HoldCo's and us could be resolved in a manner unfavorable to us and the other holders of our stock.***

Various conflicts of interest between us and Bally's Chicago HoldCo's could arise. Stock of our directors and officers in the stock of Bally's, or a person's service either as a director or officer of both companies, could create or appear to create potential conflicts of interest when those directors and officers are faced with decisions relating to our Company. These decisions could include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • corporate opportunities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the impact that operating decisions for our business may have on Bally's consolidated financial statements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • differences in tax positions between Bally's and us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the impact that operating or capital decisions (including the incurrence of indebtedness) for our business may have on Bally's current or future indebtedness or the covenants under that indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • future, potential commercial arrangements between Bally's and us or between Bally's and third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • business combinations involving us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • our dividend policy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's exercising its right under the Guarantee Agreement to cause Bally's Chicago OpCo and its subsidiaries to guarantee Bally's indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally Chicago Holdco's exercising its rights under the Stockholders Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • management interest ownership; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • intercompany agreements between Bally's and us.

Furthermore, disputes may arise between Bally's and us relating to our past and ongoing relationship and these potential conflicts of interest may make it more difficult for us to favorably resolve such disputes, including those related to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • tax, employee benefits, indemnification and other matters arising from this offering;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the nature, quality and pricing of services Bally's agrees to provide to us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • sales or other disposals by Bally's Chicago HoldCo of all or a portion of Bally's Chicago HoldCo's Class B Interests and Class A-4 Interests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • business combinations involving us.

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We may not be able to resolve any potential conflicts, and even if we do, the resolution may be less favorable to us than if we were dealing with an unaffiliated party. While we are controlled by Bally's Chicago HoldCo, we may not have the leverage to negotiate amendments to our agreements with Bally's, if required, on terms as favorable to us as those we would negotiate with an unaffiliated third party.

#### The interests of Bally's major shareholders may differ from your interests.
As of March 31, 2025 (Successor), Standard RI Ltd ("Standard") and SG CG Gaming LLC ("Standard Gaming") together owned 73.0% of Bally's shares of common stock and Noel Hayden owned 10.1% of Bally's shares of common stock. Standard General L.P. serves as investment manager to both Standard and Standard Gaming and, in that capacity, exercises voting and investment control over the shares held by both entities. Soohyung Kim, Chairman of Bally's, is the managing partner and chief investment officer of Standard General L.P. As a result, Standard, Standard Gaming, Standard General L.P., Soohyung Kim and Noel Hayden (the "Bally's majority shareholders") have the ability to directly or indirectly exert significant influence over certain aspects of Bally's business and affairs through the election of directors and vote on corporate actions requiring shareholder approval.

This concentration of ownership could also deter a change in control of our Company and make the approval of some transactions difficult without the support of the Bally's majority shareholders. The relationship between the Bally's majority shareholders and Bally's may give rise to conflicts of interest with respect to, among other things, transactions and agreements among other entities controlled by the Bally's majority shareholders and us, issuances of additional securities and the election of directors. To the extent the interests of the Bally's majority stockholders diverge from our interests, they may exercise their influence over us in favor of their own interests over our interests. Similarly, the interests of the Bally's majority stockholders may differ from or conflict with your interests as a holder of the Class A Interests.

#### Certain of our directors and officers may have actual or potential conflicts of interest because of their positions with Bally's.
Following the closing of this offering, certain of our directors and officers will retain their positions with Bally's. In addition, they may own Bally's stock, options to purchase Bally's stock or other Bally's equity awards. These individuals' holdings of Bally's stock, options to purchase Bally's stock or other equity awards may be significant compared to their total assets. Their positions at Bally's and the ownership of any Bally's equity or equity awards creates, or may create the appearance of, conflicts of interest when they are faced with decisions that could have different implications for Bally's than the decisions have for us.

 ***Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering will limit Bally's Chicago HoldCo liability to us or you for certain breaches of fiduciary duty and could also prevent us from benefiting from corporate opportunities that might otherwise have been available to us.***

Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, which will become effective immediately prior to the closing of this offering, will provide that, to the fullest extent permitted by the laws of the State of Delaware, Bally's Chicago HoldCo will have no obligation to refrain from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • engaging in the same or similar business activities or lines of business as we do; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • competing, directly or indirectly, with us or any of our subsidiaries.

Under our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, to the fullest extent permitted by law, Bally's Chicago HoldCo will not be liable to us, our subsidiaries or to our stockholders for certain breaches of any fiduciary duty solely by reason of any of these activities.

Additionally, our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering will include a "corporate opportunity" waiver provision in which we renounce any interests or expectancy in corporate opportunities which become known to any of our directors or stockholders who are not employed by the Company or its subsidiaries. Generally, to the fullest extent permitted by law, neither Bally's Chicago HoldCo nor our directors will be liable to us or our stockholders

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for breach of any fiduciary duty by reason of the fact that any such person (i) pursues or acquires any corporate opportunity for the account of Bally's Chicago HoldCo or its affiliates, (ii) directs, recommends, sells, assigns or otherwise transfers such corporate opportunity to Bally's Chicago HoldCo or its affiliates, or (iii) does not communicate information regarding such corporate opportunity to us unless the potential transaction or corporate opportunity is expressly offered to our director in his or her capacity as a director of the Company. The corporate opportunity provision may exacerbate conflicts of interest between Bally's and us because the provision may permit one of our directors who also serves as a director, officer, employee or other affiliate of Bally's to choose to direct a corporate opportunity to Bally's instead of us.

Bally's will not be restricted from competing with us in our casino and resort business, including as a result of acquiring a company that operates a casino and resort business. Due to the significant resources of Bally's, including financial resources, name recognition and know-how resulting from the management of our business, Bally's could have a significant competitive advantage over us should it decide to utilize these resources to engage in the type of business we conduct, which may cause our operating results and financial condition to be materially adversely affected.

#### Third parties may seek to hold us responsible for liabilities of Bally's, which could result in a decrease in our income.
Third parties may seek to hold us responsible for Bally's liabilities. If those liabilities are significant and we are ultimately held liable for them, we cannot assure that we will be able to recover the full amount of our losses from Bally's.

#### We may not achieve some or all of the anticipated benefits of being a standalone public company.
We may not be able to achieve all of the anticipated strategic and financial benefits expected as a result of being a standalone public company, or such benefits may be delayed or not occur at all. These anticipated benefits include the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • allowing investors to evaluate the distinct merits, performance and future prospects of our business, independent of Bally's other businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • improving our strategic and operational flexibility and increasing management focus as we continue to implement our strategic plan and allowing us to respond more effectively to different player needs and the competitive environment for our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • allowing us to adopt a capital structure better suited to our financial profile and business needs, without competing for capital with Bally's other businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • creating an independent equity structure that will facilitate our ability to effect future acquisitions utilizing our stock; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • facilitating incentive compensation arrangements for employees more directly tied to the performance of our business, and enhancing employee hiring and retention by, among other things, improving the alignment of management and employee incentives with performance and growth objectives of our business.

We may not achieve the anticipated benefits of being a standalone public company for a variety of reasons, and it could adversely affect our operating results and financial condition.

#### We rely on our access to Bally's brands and reputation and some of Bally's relationships.
We believe the association with Bally's will contribute to our building relationships with our players due to its recognized brands and products. Any perceived loss of Bally's scale, capital base and financial strength may prompt our business partners to reprice, modify or terminate their relationships with us. In addition, any future reduction of Bally's ownership of our Company may affect our then current and future business relationships. We cannot predict with certainty the effect any of these perceived loss and ownership reductions will have on our business.

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 ***The services that we receive from Bally's subsidiary, BMG, may not be sufficient for us to operate our business, and we would likely incur significant incremental costs if we lost access to BMG's services.***

In January 2023, Bally's Chicago OpCo and certain subsidiaries of Bally's Corporation entered into the Permanent Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Permanent Services Agreement, BMG agreed to provide us and certain subsidiaries of Bally's Corporation with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing upon the opening of our permanent casino and resort. Pursuant to the Permanent Services Agreement, we agreed to pay BMG an annual fee equal to the salaries, burden, overhead and other operating costs for providing such services based on our share of those costs calculated by reference to an appropriate common-size metric plus 6%, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is one year, beginning upon the opening of our permanent casino and resort, and will be automatically renewed for successive one-year terms, unless either party serves on the other a written notice of termination. See "*Transactions with Related Persons —Permanent Services Agreement.*"

In addition, in August 2023, Bally's Chicago OpCo entered into the Temporary Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Temporary Services Agreement, BMG agreed to provide us with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing related to our temporary casino. Pursuant to the Temporary Services Agreement, we agreed to pay BMG a monthly fee equal to $5.0 million, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is two years, beginning August 30, 2023, and will be automatically renewed for successive one-year terms for as long as our temporary casino is licensed to continue operations, unless BMG serves on Bally's Chicago OpCo a written notice of termination. The Temporary Services Agreement shall automatically terminate when our temporary casino permanently closes and our permanent casino and resort opens to the public. See "*Transactions with Related Persons — Temporary Services Agreement*."

If we lost access to the services provided to us by BMG under these agreements, we would need to replicate or replace certain functions, systems and infrastructure. We may also need to make investments or hire additional employees to operate without the same access to Bally's existing operational and administrative infrastructure. These initiatives may be costly to implement. The amount of total costs could be materially higher than our estimate, and the timing of the incurrence of these costs could be subject to change.

We may not be able to replace the services or enter into appropriate third-party agreements on terms and conditions, including cost, comparable to those that we will receive from BMG under the Permanent Services Agreement and the Temporary Services Agreement. Additionally, if such agreements are terminated, we may be unable to sustain the services at the same levels or obtain the same benefits as when we were receiving such services and benefits from BMG. If we have to operate these functions separately, if we do not have our own adequate systems and business functions in place or if we are unable to obtain them from other providers, we may not be able to operate our business effectively or at comparable costs, and our profitability may decline. In addition, we have historically received informal support from Bally's and BMG, which might not be addressed in our services agreement. The level of this informal support could diminish or be eliminated following this offering.

While we are controlled by Bally's, we may not have the leverage to negotiate amendments to our agreement with BMG and any agreements with Bally's, if required, on terms as favorable to us as those we would negotiate with an unaffiliated third party.

 ***We may have received better terms from unaffiliated third parties than the terms we have received and will receive in our agreements with Bally's and its affiliates.***

The agreements that we have entered and will enter into with Bally's and its affiliates in connection with this offering, including the Permanent Services Agreement and the Temporary Services Agreement,

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have been and will have been prepared while we were still a wholly-owned subsidiary of Bally's. As a result, the terms of those agreements may not reflect terms that would have resulted if we had negotiated such terms with an unaffiliated third party.

#### We currently are dependent on Bally's for various support services.
We are dependent on the services of Bally's to provide us with various support services, including legal, accounting, finance, operational support and oversight, marketing, employee management and customer support services. See "*Transactions with Related Persons — Permanent Services Agreement*" and "*Transactions with Related Persons — Temporary Services Agreement*."

Our ability to successfully develop our permanent casino and resort on time and on budget is dependent to a large degree on the skills and efforts of employees of Bally's. However, these individuals will not be our employees and they will not be devoting all of their time and attention to the development of our permanent casino and resort. If we or Bally's are unable to retain the services of our or its employees or if those employees do not devote sufficient time and attention to the development of our permanent casino and resort, we may be unable to open our permanent casino and resort on time and within our estimated budget, or at all.

#### Bally's involvement with other projects may adversely affect our permanent casino and resort.
As of March 31, 2025, Bally's Corporation owns and manages 19 casinos in 11 states across the United States, one golf course in New York, one horse racetrack in Colorado, and Aspers Casino in the United Kingdom. As numerous regulatory approvals, licenses and permits are required for the development and management of these other properties, Bally's must devote significant funds, in addition to human and other resources, to meet its obligations with respect to these properties. As resources are expended for these other properties, the resources available for the development and management of our permanent casino and resort may be diverted, which may have a material adverse effect on the development and construction of our permanent casino and resort and our business, financial condition, results of operations and ability to make payments on the notes.

#### Various subsidiaries of Bally's operate in the same industries and may in certain instances compete against each other and us for customers and business.
In addition to our Company, as of March 31, 2025, Bally's owns and manages 19 casinos in 11 states across the United States, one golf course in New York, one horse racetrack in Colorado, and Aspers Casino in the United Kingdom. Its land-based casino operations include approximately 17,300 slot machines, 600 table games and 4,165 hotel rooms, along with various restaurants, entertainment venues and other amenities. To the extent there is an overlap regarding the customers which Bally's targets and the markets in which it operates, the subsidiaries of Bally's may compete against each other for customers and business.

#### The interests of Bally's Chicago HoldCo as the owner of the Subordinated Loans may differ from our and your interests.
In connection with this offering, we intend to enter into an amended and restated subordinated loan agreement with Bally's Chicago HoldCo pursuant to which Bally's Chicago HoldCo, as lender, will make the Subordinated Loans to us, as borrower, in various tranches and at varying amounts based on the total number of shares sold in this offering. The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly. Principal and interest payments on the Subordinated Loans will be paid by us by withholding discretionary distributions that would otherwise be made by us to the investors with the corresponding Class A Interests, and applying such distributions to reduce amounts outstanding under the applicable Subordinated Loans. In connection with the consummation of the Transactions. See "*Subordinated Loans*."

The Subordinated Loans and Bally's Chicago HoldCo's ability to influence our business may give rise to conflicts of interest with respect to, among other things, the timing and amount of payments on the Subordinated Loans. To the extent the interests of Bally's Chicago HoldCo's diverge from our interests, Bally's Chicago HoldCo may exercise their influence over us in favor of its own interests over our interests. Similarly, the interests of Bally's Chicago HoldCo may differ from or conflict with your interests as a holder of Class A Interests.

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 ***We do not own Bally's brands and expect to license the brands from an affiliate; if this license were to be terminated, it could negatively impact our business.***

We expect to enter into a license agreement with BMG, another subsidiary of Bally's, granting us the right to use certain trademarks and service marks, including the Bally's marks. We expect that the license will be terminable in the event of an uncured material breach or in the event we are no longer an affiliate of BMG. If this license were to be terminated, we would be forced to rebrand, which could be costly, result in the loss of customers, and have a material adverse effect on the results of our operations.

#### Our business depends on the quality and reputation of the Bally's brands.
All of our products and services are offered under the Bally's brand names, and we intend to continue to develop and offer products and services under the Bally's brands. The concentration of our products and services under these brands may expose us to risks of brand deterioration or reputational decline, that are greater than if our portfolio were more diverse. Furthermore, as we are not the owner of the Bally's brands, any failure by Bally's to protect the Bally's brands could reduce their value and also harm our business.

#### If third parties claim that we infringe upon their intellectual property rights, our operating results could be adversely affected.
We face the risk of claims that we have infringed third parties' intellectual property rights. Any claims of trademark or other intellectual property infringement, even those without merit, could (i) be expensive and time consuming to defend; (ii) require us to rebrand or otherwise modify our operations; (iii) divert management's attention and resources or (iv) require us to enter into royalty or licensing agreements in order to obtain the right to use a third party's intellectual property. Any royalty or licensing agreements, if required, may not be available to us on acceptable terms or at all. A successful claim of infringement against us of third party intellectual property infringement could result in our being required to pay significant damages, enter into costly license or royalty agreements, or cease the infringing activity, any of which could have a material adverse effect on the results of our operations.

#### Cybersecurity and Technology Risks
 ***We rely on information technology and other systems and platforms, and any failures, errors, defects or disruptions in our systems or platforms could diminish our brand and reputation, subject us to liability, disrupt our business, affect our ability to scale our technical infrastructure and adversely affect our operating results and growth prospects.***

We currently engage, and intend to continue to engage, a number of third parties to provide gaming operating systems for our temporary casino and our permanent casino and resort. As a result, we currently rely, and will continue to rely, on such third parties to provide uninterrupted services in order to run our business efficiently and effectively. In the event one of these third parties experiences a disruption in its ability to provide such services (whether due to technological or financial difficulties or power problems), this may result in a material disruption to the wagering activity at our temporary casino and our permanent casino and resort, which could have a material adverse effect on our business, operating results and financial condition.

As we finalize construction and commence operating our permanent casino and resort, we expect the amount and types of product and services offerings to continue to grow and evolve, which will require an increasing amount of technical infrastructure, including network capacity and computing power, to continue to satisfy our customer's needs. Such infrastructure expansion may be complex, and unanticipated delays or limited availability of components may lead to increased project costs, operational inefficiencies or interruptions in the delivery or degradation of the quality of our offerings. In addition, there may be issues related to this infrastructure that are not identified during the testing phases of design and implementation, which may only become evident after we have started to fully use the underlying equipment or software, that could further degrade the customer experience or increase our costs. As such, we could fail to continue to effectively scale and grow our technical infrastructure to accommodate increased customer demands.

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Any unscheduled interruption in our technology services is likely to result in an immediate, and possibly substantial, loss of revenues due to a shutdown of our gaming operations, cloud computing and lottery systems.

We believe that if our users have a negative experience with our offerings, or if our brand or reputation is negatively affected, users may be less inclined to continue or resume utilizing our products or recommend our platform to other potential users. As such, a failure or significant interruption in our service would harm our reputation, business and operating results.

 ***We are reliant on the reliability and viability of Internet infrastructure, which is out of our control, and the proper functioning of our own network systems.***

The growth of Internet usage has caused interruptions and delays in processing and transmitting data over the Internet. There can be no assurance that Internet infrastructure or our own network systems will continue to be able to support the demands placed on them by the continued growth of the Internet, the overall gambling industry or that of our customers. The Internet's viability could be affected by delays in the development or adoption of new standards and protocols to handle increased levels of Internet activity or by increased government regulation. The introduction of legislation or regulations requiring Internet service providers in any jurisdiction to block access to our websites and products may restrict the ability of our customers to access products and services offered by us. Such restrictions, should they be imposed, could have a material adverse effect on our business, financial condition and results of operations.

If critical issues concerning the commercial use of the Internet are not favorably resolved (including security, reliability, cost, ease of use, accessibility and quality of service), if the necessary infrastructure is not sufficient or if other technologies and technological devices eclipse the Internet as a viable channel, this may negatively affect Internet usage, and our business, financial condition and results of operations will be materially adversely affected. Additionally, the increasing presence of viruses and cyber-attacks may affect the viability and infrastructure of the Internet and/or the proper functioning of our network systems and could materially adversely affect our business, financial condition and results of operations.

 ***Our business may be harmed from cybersecurity incidents, and we may be subject to legal claims if there is loss, disclosure or misappropriation of or access to our customers', business partners' or our own information or other breaches of information security.***

We intend to make extensive use of online services and centralized data processing, including through third-party service providers. The secure maintenance and transmission of customer information will be a critical element of our operations. Our information technology and other systems, or those of service providers and business partners, that maintain and transmit customer or employee information may be compromised by a malicious third-party penetration of our network security, or that of a third-party service provider or business partner, or impacted by intentional or unintentional actions or inactions by our employees, or those of a third-party service provider or business partner. As a result, our customers' or employee's information may be lost, disclosed, accessed or taken without our customers' or employees' consent.

In addition, we expect that third-party service providers and other business partners will process and maintain proprietary business information and data related to our employees, customers, suppliers and other business partners. The information technology and other systems that we design and implement to maintain and transmit this information, or those of service providers or business partners, may also be compromised by a malicious third-party penetration of our network security or that of a third-party service provider or business partner, or impacted by intentional or unintentional actions or inactions by our employees or those of a third-party service provider or business partner. As a result, our business information or customer, supplier and other business partner data may be lost, disclosed, accessed or taken without consent.

Any such loss, disclosure or misappropriation of, or access to, customers' or business partners' information or other breach of our information security can result in legal claims or legal proceedings, including regulatory investigations and actions, may have a serious impact on our reputation and may adversely affect our business, operating results and financial condition. Furthermore, the loss, disclosure or

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misappropriation of our business information may adversely affect our reputation, business, operating results and financial condition.

#### Risks Related to Our Indebtedness

#### Our existing and future indebtedness may limit our operating and financial flexibility.
In connection with the closing of this offering, we expect to incur up to $ million of Subordinated Loans in connection with the issuance of the Class A Interests. Our current and future indebtedness may have important negative consequences for us, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • limiting our ability to satisfy obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • increasing vulnerability to general adverse economic and industry conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • limiting flexibility in planning for, or reacting to, changes in our businesses and the markets in which we conduct business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • increasing vulnerability to, and limiting our ability to react to, changing market conditions, changes in industry and economic downturns;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • limiting our ability to obtain additional financing to fund working capital requirements, capital expenditures, debt service, general corporate or other obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • subjecting us to a number of restrictive covenants that, among other things, limit our ability to pay dividends and distributions, pay principal or interest on junior indebtedness, including the Subordinated Loans, make acquisitions and dispositions, borrow additional funds and make capital expenditures and other investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • limiting our ability to use operating cash flow in other areas of our business because we must dedicate a significant portion of these funds to make principal and/or interest payments on outstanding debt;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • causing our failure to comply with the financial and restrictive covenants contained in our current or future indebtedness could cause a default under such indebtedness (or our other indebtedness) and which, if not cured or waived, could adversely affect us; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • affecting our ability to renew gaming and other licenses necessary to conduct our business.

Though we have significant amounts of indebtedness outstanding, we may issue or incur additional indebtedness to fund our operations, including as necessary to execute on our growth strategy. Further, we may incur other liabilities that do not constitute indebtedness. The risks that we face based on our outstanding indebtedness may intensify if we incur additional indebtedness or financing obligations in the future.

 ***Servicing our indebtedness and funding our other obligations requires a significant amount of cash, and our ability to generate sufficient cash depends on many factors, some of which will be beyond our control.***

Our ability to make payments on and refinance our indebtedness and to fund our operations and capital expenditures will depend upon our ability to generate cash flow and secure financing in the future. Our ability to generate future cash flow depends, among other things, upon:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the timing of finalizing construction and development of our permanent casino and resort;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • our ability to obtain regulatory licenses to operate our temporary casino and our permanent casino and resort;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • our temporary casino's operating performance and our permanent casino and resort's future operating performance once it begins operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • general economic conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • competition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • legislative and regulatory factors affecting our operations and businesses; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • our future operating performance.

While we believe our current capital commitments are sufficient until the opening of our permanent casino and resort, unforeseen events could impact our capital needs, and some of these factors will be beyond our control. There can be no assurance that our temporary casino or our permanent casino and resort will generate cash flow from operations or that future debt or equity financings will be available to us to enable us to pay our indebtedness or to fund other needs. If our operating results and available cash are insufficient to meet our debt service obligations, we could face substantial liquidity problems and might be required to dispose of material assets or operations to meet our debt service and other obligations. We may not be able to consummate those dispositions or to obtain the proceeds that we could realize from them, and these proceeds may not be adequate to meet any debt service obligations then due. The inability to generate cash flow could result in us needing to refinance all or a portion of our indebtedness on or before maturity, including through the issuance of additional debt or equity securities. If needed, there can be no assurance that we will be able to refinance any of our indebtedness on favorable terms, or at all. Any inability to generate sufficient cash flow or refinance our indebtedness on favorable terms could adversely affect our financial condition.

#### We and Bally's Chicago OpCo will guarantee Bally's Corporation's indebtedness, the amount of which will be significant.
In connection with Bally's Chicago HoldCo's commitment to guarantee the GLP Lease Agreement and GLP Development Agreement, and in partial consideration for certain investments by Bally's Corporation and its subsidiaries into Bally's Chicago OpCo, we and Bally's Chicago OpCo intend to guarantee all of Bally's Corporation's indebtedness upon Bally's Corporation's (or its Parent Company's (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) guaranteeing the GLP Lease Agreement and the GLP Development Agreement or upon request from Bally's Corporation; *provided* that, at any time after such guarantee by Bally's Corporation (or its Parent Company) or such request from Bally's Corporation, upon request of Bally's Chicago OpCo, Bally's Corporation will guarantee Bally's Chicago OpCo's obligations under any lease obligations outstanding at such time, including any obligations under the Oak Street Lease Agreement or, if entered into, the GLP Lease Agreement and the GLP Development Agreement, to the maximum extent permitted under the instruments governing Bally's Corporation's indebtedness (assuming full borrowing of all outstanding commitments under Bally's Corporation's revolving credit facilities outstanding at such time). Furthermore, in March 2025, we and Bally's Chicago OpCo entered into the Guarantee Agreement with Bally's Corporation, pursuant to which, at any time in the future, upon request from Bally's Corporation, we and Bally's Chicago OpCo will guarantee, and cause each of our wholly-owned subsidiaries to guarantee, any additional indebtedness that Bally's Corporation enters into at any time in the future. The amount of Bally's Corporation's indebtedness guaranteed by us and Bally's Chicago OpCo is significant, and the failure of Bally's to service its indebtedness and comply with the covenants thereunder, or refinance such indebtedness on favorable terms, could adversely affect our financial condition.

 ***If Bally's Corporation or its subsidiaries are unable to generate sufficient cash to service all of its obligations, including, without limitation, indebtedness and lease obligations, they may default, and we, as guarantors of its obligations, may be forced to take other actions to fund the satisfaction of our obligations as guarantors, which may not be successful.***

If the cash flow of Bally's Corporation or its subsidiaries is insufficient to fund its obligations, including, without limitation, indebtedness and lease obligations, then Bally's Corporation and/or its subsidiaries will be in default and holders of those obligations could declare all outstanding principal and interest to be due and payable. As guarantors, we would be required to repay such obligations. As a result, we could face substantial liquidity problems and could be forced to reduce or delay investments and capital expenditures or to dispose of material assets or operations, raise additional debt or equity capital or restructure or refinance our indebtedness. However, we may not be able to implement any such alternative measures on commercially reasonable terms or at all and, even if successful, those alternative actions may not allow us to meet our scheduled debt service obligations. Even if new financing were available, it may be on terms that are less attractive to us than our then existing indebtedness or it may not be on terms that are acceptable to

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us. In addition, the new agreements may restrict our ability to dispose of assets and use the proceeds from those dispositions and may also restrict our ability to raise debt or equity capital to be used to repay other indebtedness when it becomes due. Thus, we may not be able to consummate those dispositions or to obtain proceeds in an amount sufficient to meet any debt service obligations then due. Moreover, pursuant to our and Bally's Chicago OpCo guarantee of the obligations, including, without limitation, indebtedness and lease obligations of Bally's Corporation and its subsidiaries, we will pledge our LLC Interests in Bally's Chicago OpCo as collateral and Bally's Chicago OpCo will mortgage the Chicago casino project to secure Bally's Corporation's obligations. If we are unable to generate enough cash to repay the obligations, including, without limitation, indebtedness and lease obligations of Bally's Corporation or its subsidiaries, in the event of a default, the lenders under such obligations could foreclose against our assets securing such obligations and we could be forced into bankruptcy or liquidation.

#### Risks Related to Our Organizational Structure
 ***Our principal asset after the completion of this offering and the concurrent private placements will be our interest in Bally's Chicago OpCo, and, as a result, we will depend on distributions from Bally's Chicago OpCo to pay our taxes and expenses. Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions.***

We are a holding company and have no material assets other than our ownership of LLC Interests. As such, we will have no independent means of generating revenue or cash flow, and our ability to pay our taxes and operating expenses or declare and pay dividends in the future, if any, will be dependent upon the financial results and cash flows of Bally's Chicago OpCo and distributions we receive from Bally's Chicago OpCo. There can be no assurance that Bally's Chicago OpCo will generate sufficient cash from operations, which, among other things, may be impacted by debt service payments on our or Bally's Chicago OpCo's senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. In addition, any debt we or Bally's Chicago OpCo may incur in the future is likely to restrict our and Bally's Chicago OpCo ability to pay dividends or distributions, and such restriction may prohibit us and Bally's Chicago OpCo from making distributions.

Bally's Chicago OpCo will report as a partnership for U.S. federal income tax purposes and, as such, generally will not be subject to any entity-level U.S. federal income tax. Instead, any taxable income of Bally's Chicago OpCo will be allocated to holders of LLC Interests, including us. Accordingly, we will incur income taxes on our allocable share of any net taxable income of Bally's Chicago OpCo. Under the terms of the Bally's Chicago OpCo LLC Agreement, Bally's Chicago OpCo will be obligated to make tax distributions to holders of LLC Interests, including us, to the extent it has distributable cash. In addition to tax expenses, we will also incur expenses related to our operations, which we expect could be significant. We intend, as its managing member, to cause Bally's Chicago OpCo to make cash distributions to the owners of LLC Interests in an amount sufficient to (1) fund all or part of their tax obligations in respect of taxable income allocated to them and (2) cover our operating expenses. However, Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions, such as restrictions on distributions that would either violate any contract or agreement to which Bally's Chicago OpCo is then a party, including any debt or financing agreements, or any applicable law, or that would have the effect of rendering Bally's Chicago OpCo insolvent. If we do not have sufficient funds to pay tax or other liabilities or to fund our operations, we may have to borrow funds, including potentially from Bally's and its affiliates if available, which could materially adversely affect our liquidity and financial condition and subject us to various restrictions imposed by any such lenders. In addition, if Bally's Chicago OpCo does not have sufficient funds to make distributions, our ability to declare and pay cash dividends will also be restricted or impaired. See *"— Risks related to the offering and ownership of our Class A Interests*" and "*Dividend Policy*."

 ***Unanticipated changes in effective tax rates or adverse outcomes resulting from examination of our income or other tax returns could adversely affect our results of operations and financial condition.***

We are subject to taxes by the U.S. federal, state and local tax authorities. Our future effective tax rates could be subject to volatility or adversely affected by a number of factors, including:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • changes in the valuation of our deferred tax assets and liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • expected timing and amount of the release of any tax valuation allowances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • tax effects of stock-based compensation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • costs related to intercompany restructurings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • changes in tax laws, tax treaties, regulations or interpretations thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • lower than anticipated future earnings in jurisdictions where we have lower statutory tax rates and higher than anticipated future earnings in jurisdictions where we have higher statutory tax rates.

In addition, we may be subject to audits of our income, sales and other taxes by U.S. federal, state and local taxing authorities. Outcomes from these audits could have an adverse effect on our operating results and financial condition.

 ***If we were deemed to be an investment company under the Investment Company Act of 1940, as amended, or the 1940 Act, including as a result of our ownership of Bally's Chicago OpCo, applicable restrictions could make it impractical for us to continue our business as contemplated and could have a material adverse effect on our business.***

Under Sections 3(a)(1)(A) and (C) of the 1940 Act, a company generally will be deemed to be an "investment company" for purposes of the 1940 Act if (1) it is, or holds itself out as being, engaged primarily, or proposes to engage primarily, in the business of investing, reinvesting or trading in securities or (2) it engages, or proposes to engage, in the business of investing, reinvesting, owning, holding or trading in securities and it owns or proposes to acquire investment securities having a value exceeding 40% of the value of its total assets (exclusive of U.S. government securities and cash items) on an unconsolidated basis. We do not believe that we are an "investment company," as such term is defined in either of those sections of the 1940 Act.

We and Bally's Chicago OpCo intend to conduct our operations so that we will not be deemed an investment company. As the sole managing member of Bally's Chicago OpCo, we will control and operate Bally's Chicago OpCo. On that basis, we believe that our interest in Bally's Chicago OpCo is not an "investment security" as that term is used in the 1940 Act. However, if we were to cease participation in the management of Bally's Chicago OpCo, or if Bally's Chicago OpCo itself becomes an investment company, our interest in Bally's Chicago OpCo could be deemed an "investment security" for purposes of the 1940 Act.

We and Bally's Chicago OpCo intend to conduct our operations so that we will not be deemed an investment company. If it were established that we were an unregistered investment company, there would be a risk that we would be subject to monetary penalties and injunctive relief in an action brought by the SEC, that we would be unable to enforce contracts with third parties and that third parties could seek to obtain rescission of transactions undertaken during the period it was established that we were an unregistered investment company. If we were required to register as an investment company, restrictions imposed by the 1940 Act, including limitations on our capital structure and our ability to transact with affiliates, could make it impractical for us to continue our business as contemplated and could have a material adverse effect on our business.

#### Risks Related to this Offering and Ownership of our Class A Interests

#### The structure of this offering may have an adverse effect on our business plan.
The placement agents are offering the Class A Interests in this offering on a best efforts basis. The placement agents are not required to purchase any securities, but will use their best efforts to sell the securities offered. As a "best efforts" and "limited" offering, there can be no assurance that the offering contemplated hereby will ultimately be consummated or will result in any proceeds being made available to us. The success of this offering will impact our ability to use the proceeds to execute our business plan.

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 ***Our Class A Interests will not have an active trading market and are subject to restrictions on transferability and redemption provisions, and you may find it difficult to sell your Class A Interests.***

The Class A Interests are a new issue of securities, and we do not plan to list or display the Class A Interests on any securities exchange or interdealer market quotation system. There is no trading market for our Class A Interests and, due to transferability restrictions, an active market for our Class A Interests will not likely develop in the future. As such, our Class A Interests will have limited liquidity and holders of our Class A Interests may not be able to monetize their full investment in our Class A Interests, if at all.

In addition, our Class A Interests are also subject to restrictions on transferability and redemption provisions, each of which will individually and in the aggregate materially impact the ability of holders of our Class A Interests to transfer their Class A Interests following the closing of this offering. Our Class A Interests can only be transferred without our consent to Permitted Transferees. Additionally, our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests can be transferred with our consent only after the Subordinated Loan attributable to such class of Interests has been paid in full and such Interests are converted to Class A-4 Interests. All Class A-1 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-1 Subordinated Loans, all Class A-2 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-2 Subordinated Loans and all Class A-3 Interests will be converted into Class A-4 Interests upon the full repayment of the Class A-3 Subordinated Loans. If a holder of Class A-1 Interests, Class A-2 Interests and/or Class A-3 Interests would like to transfer their Interests before the Subordinated Loans attributable to such class of Interests are paid off, such holder or the transferee may repay in full the pro rata amount of the remaining balance of the Subordinated Loans then outstanding attributable to such Interests before or substantially concurrently with such transfer and conversion. See "*Shares Eligible for Future Sale*" beginning on page [189](#tIEFF). Class A Interests also cannot be transferred to employee benefit plans, IRAs and other Plans (as defined herein). See "*Certain ERISA Considerations*" beginning on page [200](#tCEC). These transfer and redemption provisions could materially and adversely impact the value of your Class A Interests.

#### This offering has resulted in lawsuits and may in the future lead to additional lawsuits.
The Host Community Agreement requires that 25% of Bally's Chicago OpCo's equity be owned by individuals that are women or Minorities or woman- or Minority-owned and controlled entities (the "Criteria"). As a result, this offering and the concurrent private placements were previously intended to be made only to individuals and entities that attest to satisfying such Criteria. This resulted in lawsuits against us and the City of Chicago by persons that do not meet, and who would be excluded from this offering based on, such Criteria. For example, on January 29, 2025, the American Alliance for Equal Rights, Richard Fisher, and Phillip Aronoff filed a complaint against the City of Chicago, certain members of the Illinois Gaming Board, Bally's Chicago OpCo and us, alleging that the Criteria violate federal laws and seeking, among other remedies, permanent injunctions to prevent the Illinois Gaming Board members from enforcing 230 ILCS 10/6(a- 5)(9), to allow shareholders to sell their Class A Interests to white males, to mandate the rescission of the Host Community Agreement, and to require the rescission of shares sold under the Criteria. In addition, on January 30, 2025, Mark Glennon filed a complaint against the City of Chicago (including the Mayor and Treasurer in their official capacities), certain members of the Illinois Gaming Board, Bally's Corporation, Bally's Chicago OpCo and us, also alleging that the Criteria violate federal laws and seeking, among other remedies, permanent injunctions to prevent the implementation of the HCA's requirements for minority and woman ownership in Bally's Chicago Opco, and to prevent the exclusion of "otherwise qualified individuals" from participating in Bally's ownership, Board, or employment. In response to the filing of our amended S-1 on April 22, 2025, which removed the Criteria, plaintiffs in both lawsuits voluntarily dismissed their claims against all defendants (the former with prejudice on June 6, 2025 and the latter without prejudice on April 30, 2025).

We incurred substantial costs defending these lawsuits, and if any person were to bring such a lawsuit against us in the future, we could incur additional substantial costs defending against any additional lawsuits. In addition, the time and attention of our management could be diverted from our business and operations in defense of these lawsuits. We acknowledge that there is a range of potential outcomes from the existing litigation, and while we cannot predict which outcome will occur, we are preparing to appropriately address all possible scenarios. The Host Community Agreement could be modified or terminated, which could

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adversely affect our ability to operate our casinos and could materially adversely affect our business, financial condition and results of operations. Additionally, if the Host Community Agreement is modified or terminated, our license may be revoked, and we may lose our ability to operate our temporary casino and/or our permanent casino and resort in the City of Chicago, which could lead to the value of our Class A Interests declining, and you could lose all or part of your investment. While we are committed to navigating these challenges, the ultimate outcome of such litigation remains uncertain, and we are focused on preparing for a range of possibilities.

 ***Our Class A Interests are not a "covered security," or otherwise exempt from the "blue sky" securities laws governing sales and purchases of Class A Interests in each of the fifty states, and therefore we must register in each state in which offers and sales will be made.***

Our Class A Interests are not a "covered security" for purposes of the Securities Act. The term "covered security" applies to securities preempted under federal law from state securities registration requirements due to their oversight by federal authorities and self-regulatory authorities, such as national securities exchanges. Because our Class A Interests are not a "covered security," the sale of our Class A Interests are subject to securities registration in the various states that we plan to conduct this offering.

 ***State securities laws may limit secondary trading, which may restrict the states in which and conditions under which you can sell our Class A Interests.***

Secondary trading in our Class A Interests sold in the offering will not be possible in any state until our Class A Interests are qualified for sale under the applicable securities laws of such state or there is confirmation that an exemption is available for secondary trading in the state. If we fail to register or qualify, or to obtain or verify an exemption for the secondary trading of our Class A Interests in any particular state, our Class A Interests may not be offered or sold to, or purchased by, a resident of that state. In the event that a significant number of states or the states that we plan to conduct this offering in refuse to permit secondary trading in our Class A Interests, the liquidity for our Class A Interests could be significantly further affected, resulting in a potential loss on your investment.

#### An investment in the Class A Interests is not an FDIC insured deposit.
The Class A Interests are not savings accounts, deposits or other obligations of any bank or non-bank entities and are not insured or guaranteed by the Federal Deposit Insurance Corporation ("FDIC") or any other governmental agency or instrumentality. Your investment will be subject to investment risk and you may experience loss with respect to your investment.

#### The Class A Interests are equity and are subordinate to our existing and future indebtedness.
The Class A Interests are shares of stock in Bally's Chicago, Inc. and do not constitute indebtedness. As such, the Class A Interests will rank junior to all indebtedness and other non-equity claims on our business with respect to assets available to satisfy claims, including in a liquidation of the Company. Additionally, unlike indebtedness, where principal and interest would customarily be payable on specified due dates, in the case of our Class A Interests:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • as a corporation, we are subject to restrictions on payments of dividends and redemption price out of lawfully available funds; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • as a regulated gaming company, our ability to declare and pay dividends is subject to additional restrictions imposed by law.

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#### You may not receive dividends or other distributions on the Class A Interests.
Any debt we may incur in the future is likely to restrict our ability to pay dividends, and such restriction may prohibit us from making payments on the Subordinated Loans or distributions, or reduce the amount of cash available for distribution. In addition, Delaware law imposes requirements that may restrict our ability to pay dividends to holders of our shares. Dividends on the Class A Interests are discretionary and non-cumulative. Consequently, if our Board (or a duly authorized committee of our Board) does not authorize and declare a dividend, holders of our Class A Interests will not be entitled to receive any such dividend.

We will have no obligation to pay dividends with respect to the Class A Interests or any other shares we may issue. In addition, if and to the extent such act would cause us to fail to comply with applicable contractual restrictions (including our indebtedness), laws, rules and regulations (including applicable gaming rules in Illinois), we may not declare, pay or set aside for payment dividends on our Class A Interests.

 ***Even if we pay dividends on our Class A Interests, pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us until such time as such Subordinated Loans are fully paid and discharged, which means you may never directly receive a cash dividend on your Class A-1 Interests, Class A-2 Interests and Class A-3 Interests.***

Given the capital intensity of developing, constructing, opening and operating a casino resort project of this scale, we currently expect that Bally's Chicago OpCo will not have any OpCo cash available for distribution until approximately three to five years after our permanent casino and resort begins operations. However, this may fluctuate depending on Bally's Chicago OpCo's ability to generate cash from operations and its cash flow needs, which, among other things, may be impacted by debt service payments on its senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. Therefore, even if our Board (or a duly authorized committee of our Board) authorizes and declares a dividend on our shares of stock, holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests will not be entitled to receive any such dividend until such time as the corresponding Subordinated Loans associated with such Class A Interests are paid in full, which may take a prolonged period of time to occur, if at all.

Our Subordinated Loans will accrue interest at a rate of 11.0% per annum, compounding quarterly, and accrued and unpaid interest will be added to the outstanding principal amount thereof on a quarterly basis. As a result, the amount of Subordinated Loans that are to be paid with a percentage of the amounts that would otherwise be paid on account of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests will increase during the period between the closing date of this offering and the date, if any, on which dividends are to be paid on the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests.

In addition, given the Class A-3 Subordinated Loans attributable to each Class A-3 Interest will be lower than the Class A-1 Subordinated Loans and Class A-2 Subordinated Loans attributable to the Class A-1 Interests and Class A-2 Interests, respectively, the Class A-3 Subordinated Loans are expected to be fully repaid prior to the Class A-1 Subordinated Loans and the Class A-2 Subordinated Loans, to the extent they are fully repaid. Similarly, the Class A-2 Subordinated Loans are expected to be fully repaid prior to the Class A-1 Subordinated Loans, to the extent they are fully repaid. However, due to the significant amount of indebtedness (including both principal and interest) owed on the Subordinated Loans, we do not expect to fully repay the Subordinated Loans for an extended period of time following the closing of this offering, if at all. As such, holders of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests may

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not directly receive the cash dividends or other distributions that otherwise would have been payable on such Class A-1 Interests, Class A-2 Interests and Class A-3 Interests for an equivalently long period of time, if at all, or realize any accretion in value above the initial amount invested. Moreover, the value of the principal and accrued interest on the Subordinated Loans could exceed the value of the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests otherwise payable upon a sale of the business, resulting in holders of the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests receiving nothing upon such a sale.

 ***Our second amended and restated bylaws to be in effect prior to the closing of this offering will provide that, subject to limited exceptions, the state and federal courts (as appropriate) located within the State of Delaware will be the sole and exclusive forum for certain stockholder litigation matters, which could limit our stockholders' ability to obtain a favorable judicial forum for disputes with us or our directors, officers, employees or stockholders.***

The choice of forum provision may limit a stockholder's ability to bring a claim in a judicial forum that it finds favorable for disputes with us or our directors, officers or other employees, which may discourage such lawsuits against us and our directors, officers and other employees, although our stockholders will not be deemed to have waived our compliance with federal securities laws and the rules and regulations thereunder. Alternatively, if a court were to find the choice of forum provision contained in our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering to be inapplicable or unenforceable in an action, we may incur additional costs associated with resolving such action in other jurisdictions, which could harm our business, results of operations and financial condition. Any person or entity purchasing or otherwise acquiring or holding any interest in our equity securities shall be deemed to have notice of and consented to the forum provisions in our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering. Our exclusive forum provision shall not relieve the Company of its duties to comply with the federal securities laws and the rules and regulations thereunder, and our stockholders will not be deemed to have waived our compliance with these laws, rules, and regulations.

 ***Holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests may be subject to taxes as the Subordinated Loans corresponding to such shares of stock are repaid, even though such holders do not receive a corresponding cash distribution.***

Section 305 of the Internal Revenue Code provides that if a corporation distributes property to some shareholders and other shareholders have an increase in their proportionate interests in the assets or earnings and profits of the corporation, such other shareholders may be deemed to receive a distribution that could be a taxable dividend. In this case, because we and Bally's expect to treat the Subordinated Loans as "stock" for U.S. federal income tax purposes, "property" distributions will likely be considered to be made to "some shareholders" of Bally's Chicago, Inc. as payments are made on the Subordinated Loans, and equivalent cash ("property") distributions will be made with respect to the Class A-4 Interests. In addition, as payments are made on the Subordinated Loans, particularly those that repay the original principal amount of such Subordinated Loans, the proportionate interests of holders of our Class A-1 Interests, Class A-2

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Interests and Class A-3 Interests in the assets or earnings and profits of Bally's Chicago, Inc. may be viewed as increasing. Accordingly, it is possible that such increase could be treated as a deemed distribution under Section 305 of the Code or otherwise as taxable income to such holders under other theories. However, under the Treasury Regulations relating to Section 305 of the Code and other IRS administrative guidance, certain financing arrangements in the form of preferred stock investments that fund a corporation and then are systematically eliminated through property distributions until they are fully retired, and are designed to facilitate the ownership of a business with an effect of increasing another stockholder's proportionate interests in the assets or earnings and profits of a corporation over such period, do not result in a deemed distribution to such other stockholder. The applicability of these authorities to the holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests in this situation is uncertain.

Although the matter is not free from doubt, we intend to take the position that holders of applicable series of Class A Interests would not be treated as receiving a deemed distribution from us or otherwise realizing income as a result of repayment of the Subordinated Loans corresponding to such shares. However, there can be no assurance that the U.S. Internal Revenue Service will not take a contrary position, for example, treating the proportionate interest in our earnings and profits owned by holders of the applicable series of Class A Interests as having increased upon repayment of the Subordinated Loans corresponding to such shares, and treating such holders as having received a distribution. In that case, such deemed distribution may be treated as a dividend subject to U.S. federal income tax, without the receipt by holders of any cash. In addition, for any holder that is a "Non-U.S. Holder" (as defined in "Material U.S. Federal Income Tax Consequences"), any deemed distribution could be subject to U.S. federal withholding tax at a 30% rate, or such lower rate as may be specified by an applicable treaty, subject to proposed changes to US tax laws described immediately below. Because deemed distributions received by a holder would not give rise to any cash from which any applicable withholding tax could be satisfied, if we (or an applicable withholding agent) pay withholding (including backup withholding) on behalf of a holder, we (or an applicable withholding agent) may set off any such payment against, or withhold such taxes from, payments of cash payable to such holder or sales proceeds received by, or other funds or assets of, such holder, or require alternative arrangements with respect to such withholding taxes.

Investors should consult their own tax advisors about the application of Code Section 305 and any other potential deemed receipt of income risk with respect to our Class A Interests. See "*Material U.S. Federal Income Tax Consequences*."

 ***If non-U.S. persons acquire our Class A Interests, such non-U.S. persons may be subject to material adverse U.S. federal income and/or withholding tax consequences, including if we are considered a United States real property holding corporation. Such adverse tax consequences may limit transferability and impact the value of our Class A Interests.***

If a non-U.S. person acquires our Class A Interests and we are considered a "United States real property holding corporation" (a "USRPHC") for U.S. federal income tax purposes, such non-U.S. person may be subject to material adverse U.S. federal income or withholding tax consequences, or both, in respect of certain distributions on, and payments in connection with a sale, exchange, redemption, repurchase or other disposition of, our Class A Interests. See "*Material U.S. Federal Income Tax Consequences.*"

In addition, the U.S. House of Representatives recently passed the One Big Beautiful Bill Act of 2025 (the "Bill"), which provides, among other things, for increased rates of U.S. federal income tax and withholding tax for "applicable persons" (generally, non-U.S. persons that are tax residents of or organized in a "discriminatory foreign country"). Discriminatory foreign countries are countries that have one or more "unfair foreign taxes," defined to include an undertaxed profits rule, digital services tax, diverted profits tax, as well as certain other taxes provided by the Secretary of the Treasury. The U.S. Senate Committee on Finance also released its relevant portion of the reconciliation bill, which provides for certain substantively similar provisions.

Under complex effective date rules, payments of dividends on our Class A Interests to applicable persons could be subject to increased rates of U.S. federal income tax and withholding tax, starting with an increase of five percentage points and increasing by an additional five percentage points for each subsequent annual period (subject to a cap). It is uncertain whether the above provision will be included (in its current form or at all) in any tax legislation that may be enacted.

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If the Bill were to be enacted in its current form, applicable persons under the Bill may be subject to increased withholding tax on dividends on our Class A Interests. Non-U.S. persons considering an investment in our Class A Interests should consult their own tax advisors regarding the proposed changes in applicable U.S. federal income tax laws and the potential consequences of such changes to their particular circumstances.

The adverse U.S. federal income and/or withholding tax consequences described above may limit transferability of our Class A Interests and have a negative impact on the value of our Class A Interests.

#### General Risk Factors

#### Our ability to continue as a going concern depends upon the funding by Bally's Corporation.
We have incurred losses and negative cash flows from operations, excluding funds from Bally's Corporation, since our inception. Our ability to continue as a going concern depends upon the funding by Bally's Corporation. Our temporary casino began operations on September 9, 2023 and there can be no assurance that we will be able to be successful in the planned operations therein. If we are unable to obtain sufficient funding, we could be forced to change or delay our planned operating activities, and our liquidity, results of operations and financial condition could be materially and adversely affected and we may be unable to continue as a going concern. If we seek additional financing to fund our business activities in the future and there is substantial doubt about our ability to continue as a going concern, investors or other financing sources may be unwilling to provide additional funding to us on commercially reasonable terms or at all.

 ***While we expect to have sufficient capital to sustain our business until our permanent casino and resort is open, it is possible that the amount of capital we have raised and will raise in this offering and the concurrent private placements may not be enough to sustain our current business plan.***

Based on Bally's equity commitments to Bally's Chicago OpCo and the financing we have received from GLPI, we believe that we are sufficiently capitalized until the opening of our permanent casino and resort. However, unforeseen events could necessitate us to raise additional capital. In order to achieve our near and long-term goals, it is possible that we may need to procure funds in addition to the amount raised in this offering and the concurrent private placements. There is no guarantee we will be able to raise such funds on acceptable terms or at all. If we are not able to raise sufficient capital in the future, we will not be able to execute our business plan, our continued operations will be in jeopardy and we may be forced to cease operations and sell or otherwise transfer all or substantially all of our remaining assets, which could cause you to lose all or a portion of your investment.

 ***Our management team has limited experience managing a public company, and the requirements of being a public company may strain our resources, divert management's attention, and affect our ability to attract and retain qualified board members.***

As a public company listed in the United States, we will incur significant additional legal, accounting and other expenses. In addition, changing laws, regulations and standards relating to corporate governance and public disclosure, including regulations implemented by the SEC and the State of Illinois, may increase legal and financial compliance costs, and make some activities more time consuming. These laws, regulations and standards are subject to varying interpretations, and as a result, their application in practice may evolve over time as new guidance is provided by regulatory and governing bodies.

Most members of our management team have limited or no experience managing a publicly traded company, interacting with public company investors and complying with the increasingly complex laws pertaining to public companies. Our management team may not successfully or efficiently manage our transition to being a public company that is subject to significant regulatory oversight and reporting obligations under the federal securities laws and the continuous scrutiny of securities analysts and investors. Furthermore, we are committed to maintaining high standards of corporate governance and public disclosure, and our efforts to establish the corporate infrastructure required of a public company and to comply with evolving laws, regulations and standards are likely to divert management's time and attention away from revenue-generating activities to compliance activities, which may prevent us from implementing

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our business strategy and growing our business. Moreover, we may not be successful in implementing these requirements. If we do not effectively and efficiently manage our transition into a public company and continue to develop and implement the right processes and tools to manage our changing enterprise and maintain our culture, our ability to compete successfully and achieve our business objectives could be impaired, which could negatively impact our business, financial condition and results of operations.

Additionally, as a public company, we may from time to time be subject to proposals by stockholders urging us to take certain corporate actions. If activist stockholder activity ensues, we may be required to incur additional costs to retain the services of professional advisors, management time and attention will be diverted from our core business operations, and perceived uncertainties as to our future direction, strategy or leadership may cause us to lose potential business opportunities and impair our brand and reputation, any of which could materially and adversely affect our business, financial condition and results of operations.

In addition to increasing our legal and financial compliance costs, the additional rules and regulations described above might also make it more difficult for us to obtain certain types of insurance, including director and officer liability insurance, and we might be forced to accept reduced policy limits and coverage or incur substantially higher costs to obtain the same or similar coverage. As a result, it may be more difficult for us to attract and retain qualified persons to serve on our Board, on committees of our Board or as members of our senior management team.

 ***If our estimates or judgments relating to our critical accounting policies are based on assumptions that change or prove to be incorrect, our results of operations could fall below the expectations of our investors and securities analysts, resulting in a decline in the value of our Class A Interests.***

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in our consolidated financial statements and accompanying notes. We base our estimates on many factors, including historical experience and various other assumptions that we believe to be reasonable under the circumstances, as discussed in the section titled "Management's Discussion and Analysis of Financial Condition and Results of Operations" included elsewhere in this prospectus, the results of which form the basis for making judgments about the carrying values of assets, liabilities, equity and expenses that are not readily apparent from other sources. Our results of operations may be adversely affected if our assumptions change or if actual circumstances differ from those in our assumptions, which could cause our results of operations to fall below our publicly announced guidance or the expectations of securities analysts and investors, resulting in a decline in the value of our Class A Interests.

#### Our reported financial results may be negatively impacted by changes in GAAP and financial reporting requirements.
GAAP and related financial reporting requirements are complex, continually evolving and may be subject to varied interpretation by the relevant authoritative bodies, including the Financial Accounting Standards Board ("FASB"), the SEC and various bodies formed to promulgate and interpret appropriate accounting principles. FASB has in the past issued new or revised accounting standards that superseded existing guidance and significantly impacted the reporting of financial results. Any future change in GAAP and financial reporting requirements or interpretations could also have a significant effect on our reported financial results, and may even affect the reporting of past transactions completed before the announcement or effectiveness of a change if retrospective adoption is required. It is difficult to predict the impact of future changes to accounting principles or our accounting policies, any of which could negatively affect our reported results of operations.

 ***The estimates of market opportunity and forecasts of market growth included in this prospectus may prove to be inaccurate, and even if the markets in which we compete achieve the forecasted growth, our business could fail to grow at similar rates, or at all.***

The estimates of market opportunity and forecasts of market growth included in this prospectus may prove to be inaccurate. Market opportunity estimates and growth forecasts are subject to significant uncertainty and are based on assumptions and estimates that may not prove to be accurate, including as a result of any of the risks described in this prospectus.

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The variables that go into the calculation of our market opportunity are subject to change over time, and there is no guarantee that any particular number or percentage of addressable customers covered by our market opportunity estimates will purchase our products at all or generate any particular level of revenue for us. In addition, our ability to expand in any of our target markets depends on a number of factors, including the cost, performance and perceived value associated with our products. Even if the markets in which we compete meet the size estimates and growth forecasted in this prospectus, our business could fail to grow at similar rates, or at all. Our growth is subject to many factors, including our success in implementing our business strategy, which is subject to many risks and uncertainties. Accordingly, the forecasts of market growth included in this prospectus should not be taken as indicative of our future growth.

 ***We are an emerging growth company and a smaller reporting company, and the reduced disclosure requirements applicable to emerging growth companies and smaller reporting companies may make our Class A Interests less attractive to investors.***

We are an emerging growth company, as defined in the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"), and may remain an emerging growth company until the last day of the fiscal year following the fifth anniversary of the completion of this offering. However, if certain events occur prior to the end of such five-year period, including if we become a "large accelerated filer," as defined under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), our annual gross revenue exceeds $1.235 billion or we issue more than $1.0 billion of non-convertible debt in any three-year period, we will cease to be an emerging growth company prior to the end of such five-year period. For so long as we remain an emerging growth company, we are permitted and intend to rely on exemptions from certain disclosure requirements that are applicable to other public companies that are not emerging growth companies. These exemptions include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • being permitted to provide only two years of audited financial statements, in addition to any required unaudited interim financial statements, with correspondingly reduced "Management's Discussion and Analysis of Financial Condition and Results of Operations" disclosure in connection with initial public offerings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • not being required to comply with the auditor attestation requirements in the assessment of our internal control over financial reporting pursuant to the Sarbanes-Oxley Act of 2002 (the "Sarbanes-Oxley Act");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • not being required to comply with any requirement that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditor's report providing additional information about the audit and the financial statements, unless the SEC determines the new rules are necessary for protecting the public;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • reduced disclosure obligations regarding executive compensation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.

We have taken advantage of reduced reporting burdens in this prospectus. In particular, in this prospectus, we have not included all of the executive compensation-related information that would be required if we were not an emerging growth company. We cannot predict whether investors will find our Class A Interests less attractive if we rely on these exemptions.

Emerging growth companies can also take advantage of the extended transition period provided in Section 13(a) of the Exchange Act for complying with new or revised accounting standards. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have irrevocably elected not to use this extended transition period. As a result, our consolidated financial statements are comparable to the financial statements of companies that comply with new or revised accounting pronouncements as of public company effective dates.

We are also a smaller reporting company as defined in the Exchange Act. We may continue to be a smaller reporting company even after we are no longer an emerging growth company. We may take advantage of certain of the scaled disclosures available to smaller reporting companies and will be able to take advantage of these scaled disclosures for so long as our voting and non-voting shares of stock held by

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non-affiliates is less than $250.0 million measured on the last business day of our second fiscal quarter, or our annual revenue is less than $100.0 million during the most recently completed fiscal year and our voting and non-voting shares of stock held by non-affiliates is less than $700.0 million measured on the last business day of our second fiscal quarter.

#### We will incur significant additional costs as a result of being a public company.
Upon the closing of this offering, we expect to incur increased costs associated with corporate governance requirements that will become applicable to us as a public company, including rules and regulations of the SEC, under the Sarbanes-Oxley Act, the Dodd-Frank Wall Street Reform and Customer Protection Act of 2010 and the Exchange Act, as well as the rules of the Nasdaq. These rules and regulations are expected to significantly increase our accounting, legal and financial compliance costs and make some activities more time consuming. We expect such expenses to further increase after we are no longer an "emerging growth company" or a "smaller reporting company." We also expect these rules and regulations to make it more expensive for us to maintain directors' and officers' liability insurance. If we fail to maintain sufficient levels of such insurance, it may be more difficult for us to attract and retain qualified persons to serve on our Board or as executive officers. We cannot predict or estimate the amount of additional costs we will incur as a public company or the timing of such costs.

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#### SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS AND INDUSTRY DATA
This prospectus contains forward-looking statements that relate to our current expectations and views of future events. These forward-looking statements are contained principally in the sections entitled "Prospectus Summary," "Risk Factors," "Use of Proceeds," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Business." These statements relate to events that involve known and unknown risks, uncertainties and other factors, including those listed under "Risk Factors," which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements.

In some cases, these forward-looking statements can be identified by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions.

These forward-looking statements are subject to risks, uncertainties and assumptions, some of which are beyond our control. In addition, these forward-looking statements reflect our current views with respect to future events and are not a guarantee of future performance. Actual outcomes may differ materially from the information contained in the forward-looking statements as a result of a number of factors, including, without limitation, the risk factors set forth in "Risk Factors" and the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We are subject to various construction and development risks in connection with our permanent casino and resort in Chicago;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Any delay between the closing of our temporary casino and the opening of our permanent casino and resort could have a material adverse effect on our financial condition and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The casino, hotel and hospitality industry is capital intensive and we may not be able to finance development, expansion and renovation projects, which could put us at a competitive disadvantage;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Both our temporary casino site and permanent casino and resort site are leased and could experience risks associated with leased properties, including risks relating to lease termination, inability to obtain satisfactory lease extensions, consents and approvals, charges and our relationship with landlords, which could have a material adverse effect on our business, financial position or results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our proposed lines of business are highly sensitive to reductions in discretionary consumer spending;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The gaming industry, including retail casinos, iGaming and sports wagering, is highly competitive and increased competition, including through legislative legalization or expansion of gaming by states in or near Illinois or through Native American gaming facilities, could adversely affect our financial results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We will be subject to extensive state and local regulation and licensing, and gaming authorities have significant control over our operations, which could have an adverse effect on our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our business will be subject to a variety of laws in the United States and in Illinois, many of which are unsettled and still developing, and which could subject us to claims or otherwise harm our business. Any change in existing regulations or their interpretation, or the regulatory or prosecutorial climate applicable to the products and services we offer in our temporary casino, and intend to offer in our permanent casino and resort, or changes in gaming tax rates, tax rules and regulations or interpretation thereof related to such products and services, could adversely impact our ability to operate our business as currently conducted or as we seek to operate in the future, which could have a material adverse effect on our financial condition and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We will be reliant on effective payment processing services from a limited number of providers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our profitability will be dependent, in part, on return to players;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We will extend credit to a portion of our customers, and we may not be able to collect gaming receivables from our credit customers;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Declining popularity of games and changes in device preferences of players could have a negative effect on our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We may invest in or acquire other businesses, and our business may suffer if we are unable to successfully integrate acquired businesses into the Company or otherwise manage the growth associated with multiple acquisitions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our results of operations and financial condition could be adversely affected by the occurrence of natural disasters, such as blizzards, floods, tornadoes, fires, or other catastrophic events, including war, terrorism and public health crises such as the COVID-19 pandemic;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Failure to comply with the community investment program obligations specified in the Host Community Agreement could have a material adverse effect on our financial condition and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's interests may conflict with our interests and the interests of the other holders of our stock. Conflicts of interest between Bally's and us could be resolved in a manner unfavorable to us and the other holders of our stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • We rely on information technology and other systems and platforms, and any failures, errors, defects or disruptions in our systems or platforms could diminish our brand and reputation, subject us to liability, disrupt our business, affect our ability to scale our technical infrastructure and adversely affect our operating results and growth prospects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our business may be harmed from cybersecurity incidents and we may be subject to legal claims if there is loss, disclosure or misappropriation of or access to our customers', business partners' or our own information or other breaches of information security;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Servicing our indebtedness and funding our other obligations requires a significant amount of cash, and our ability to generate sufficient cash depends on many factors, some of which will be beyond our control;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Our Class A Interests will not have an active trading market, and you may find it difficult to sell your Class A Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • You may not receive dividends or other distributions on the Class A Interests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us until such time as such Subordinated Loans are fully paid and discharged, which means you may never directly receive a cash dividend on your Class A-1 Interests, Class A-2 Interests and Class A-3 Interests.

The forward-looking statements made in this prospectus relate only to events or information as of the date on which the statements are made in this prospectus. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. You should read this prospectus and the documents that we reference in this prospectus and have filed as exhibits to the registration statement, of which this prospectus is a part, completely and with the understanding that our actual future results or performance may be materially different from what we expect.

We obtained the industry, market and competitive position data in this prospectus from publicly available information, industry and general publications and research, surveys and studies conducted by third parties. In addition, certain statistics, data and other information relating to markets, market sizes, market shares, market positions and other industry data pertaining to our business and markets in this prospectus are not based on published data obtained from independent third parties or extrapolations

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therefrom, but rather are based upon our own internal estimates and research, which are in turn based upon multiple third-party sources.

Industry publications and forecasts generally state that the information they contain has been obtained from sources believed to be reliable, but that the accuracy and completeness of such information is not guaranteed. Forecasts and other forward-looking information obtained from these sources are subject to the same qualifications and uncertainties as the other forward-looking statements in this prospectus.

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#### OUR ORGANIZATIONAL STRUCTURE
Bally's Chicago, Inc., a Delaware corporation, was formed on May 24, 2022 and is the issuer of the Class A Interests offered by this prospectus. Prior to this offering, all of our business operations have been conducted through Bally's Chicago OpCo. We will consummate the Transactions, as defined below, excluding this offering, on or prior to the consummation of this offering.

#### Transactions
We will consummate the following organizational transactions in connection with this offering (collectively, the "Transactions"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago HoldCo will assign to us $ of Pre-IPO Intercompany Notes owed to it by us and $ of Pre-IPO Intercompany Notes owed to it by Bally's Chicago OpCo as the Pre-IPO Capital Contribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we will amend and restate Bally's Chicago, Inc.'s current certificate of incorporation to, among other things, increase the authorized Class A Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we, as borrower, will enter into an amended and restated subordinated loan agreement with Bally's Chicago HoldCo, as lender, governing Subordinated Loans in the following amounts (which in the aggregate amount equal the Pre-IPO Capital Contribution):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $ million of Class A-1 Subordinated Loans, based on $0.125 million of Class A-1 Interests sold in this offering and $ million Class A-1 Interests sold in the concurrent private placements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $ million of Class A-2 Subordinated Loans, based on $2.5 million of Class A-2 Interests sold in this offering and $ million Class A-2 Interests sold in the concurrent private placements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $ million of Class A-3 Subordinated Loans, based on $5 million of Class A-3 Interests sold in this offering and $ million Class A-3 Interests sold in the concurrent private placements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we will issue 500 Class A-1 Interests, 1,000 Class A-2 Interests, 1,000 Class A-3 Interests and 7,500 Class A-4 Interests to the purchasers in this offering in exchange for proceeds of $195,125,000 based upon the assumed initial public offering prices set forth on the cover page of this prospectus;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we will issue Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests to the private placement investors in exchange for proceeds of $ based upon the assumed initial public offering prices set forth on the cover page of this prospectus;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we will pay $ in placement agent fees and offering and private placement expenses with the proceeds we receive from Class A investors in this offering and the concurrent private placements and will issue the IPO Expenses Note to Bally's Chicago OpCo in an amount equal to $, to cover the difference in the amount we will owe to Bally's Chicago OpCo in connection with the purchase of the LLC Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago OpCo intends to assign the IPO Expenses Note to Bally's Chicago HoldCo in exchange for the cancellation of $ of indebtedness owed by Bally's Chicago OpCo to Bally's Chicago HoldCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we will use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, to purchase 10,000 newly issued LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to us to repay $250.0 million outstanding aggregated amount under the Pre-IPO Intercompany Notes.

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#### Organizational Structure Following this Offering
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago, Inc. is a holding company and its principal assets consist of LLC Interests it purchases from Bally's Chicago OpCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago, Inc. will be the sole managing member of Bally's Chicago OpCo and will control the business and affairs of Bally's Chicago OpCo and its subsidiaries;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago, Inc. will own, directly or indirectly, 13,326 LLC Interests of Bally's Chicago OpCo, representing a 30.8% of the economic interest in Bally's Chicago OpCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago HoldCo will own 30,000 LLC Interests of Bally's Chicago OpCo, representing 69.2% of the economic interest in Bally's Chicago OpCo;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Chicago HoldCo, as the sole holder of 30,000 Class B Interests and the holder of 2,141 Class A-4 Interests of Bally's Chicago, Inc., will hold 74.2% of the voting power and 16.1% of the economic power in Bally's Chicago, Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the public holders of Class-A Interests of Bally's Chicago, Inc. will, together, own (1) 11,185 Class A Interests of Bally's Chicago, Inc., representing 25.8% of the voting power of all of Bally's Chicago, Inc.'s stock and 83.9% of the economic interest in Bally's Chicago, Inc., and (2) through Bally's Chicago, Inc.'s ownership of 13,326 LLC Interests, indirectly will hold 25.8% of the economic interest in Bally's Chicago OpCo; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • as the sole managing member of Bally's Chicago OpCo, we will conduct the business.

Following the Transactions, including this offering and the concurrent private placements, Bally's Chicago, Inc. will control the management of Bally's Chicago OpCo as the sole managing member. As a result, Bally's Chicago, Inc. will consolidate Bally's Chicago OpCo and record a significant noncontrolling interest in consolidated entity for the economic interest in Bally's Chicago OpCo held by Bally's Corporation.

The below depicts our organizational structure after giving effect to the Transactions, including this offering and the concurrent private placements.

![[MISSING IMAGE: fc_corporatestruc-bw.jpg]](fc_corporatestruc-bw.jpg)

As the sole managing member of Bally's Chicago OpCo, we will conduct the business. Following the Transactions, including this offering and the concurrent private placements, Bally's Chicago, Inc. will control the management of Bally's Chicago OpCo as the sole managing member. As a result, Bally's Chicago, Inc. will consolidate Bally's Chicago OpCo and record a significant noncontrolling interest in consolidated entity for the economic interest in Bally's Chicago OpCo held by Bally's Corporation.

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#### USE OF PROCEEDS
We estimate that the net proceeds we will receive from the sale of Class A Interests in this offering will be approximately $195.1 million and, together with the net proceeds from the Initial Private Placements under Rule 506(c) and the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, will total $250.0 million, in each case assuming the sale of Class A Interests at the offering prices set forth on the cover of this prospectus, after deducting placement agent fees and offering and private placement expenses payable by us. See "*Plan of Distribution*" for additional detail regarding the placement agent fees.

We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, to purchase 10,000 LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest.

On March 10, 2025, we sold a total of 1,185 Class A Interests to certain Accredited Investors for an aggregate purchase price of $13.2 million in the Initial Private Placements. We also sold an additional 2,800 shares of Class A-4 Interests to Bally's Chicago HoldCo, LLC at $25,000 per share, and the consideration for this transaction included $63.7 million in cash and $6.3 million in shares issued in lieu of payment on promissory notes. In total, we received $76.9 million in cash and $6.3 million in shares issued in lieu of payment on promissory notes in connection with the initial Class A Interest issuances.

We are currently dependent on Bally's for a majority of our working capital and financing requirements. As of March 31, 2025 (Successor), we and Bally's Chicago OpCo owe $642.4 million in Pre-IPO Intercompany Notes to Bally's and various of its subsidiaries.

Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to Bally's Chicago, Inc. to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes, which bear an interest rate of 0% and mature on December 31, 2025.

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#### DIVIDEND POLICY
To date, we have never declared or paid any cash dividends on our stock.

We are a holding company, and our principal assets are the LLC Interests that we currently hold plus those that we intend to purchase from Bally's Chicago OpCo. If we decide to make a distribution in the future, we would need to cause Bally's Chicago OpCo to make distributions to us in an amount sufficient to cover the repayment of the IPO Expenses Note, future borrowings plus such distribution. If Bally's Chicago OpCo makes such distributions to us, the other holders of LLC Interests will be entitled to receive pro rata distributions.

In addition, Bally's Chicago OpCo will report as a partnership for U.S. federal income tax purposes and, as such, generally will not be subject to any entity-level U.S. federal income tax. Instead, any taxable income of Bally's Chicago OpCo will be allocated to holders of LLC Interests, including us. Accordingly, we will incur income taxes on our allocable share of any net taxable income of Bally's Chicago OpCo. Under the terms of the Bally's Chicago OpCo LLC Agreement, Bally's Chicago OpCo will be obligated to make tax distributions to holders of LLC Interests, including us, to the extent it has distributable cash. In addition to tax expenses, we will also incur expenses related to our operations, which we expect could be significant. We intend, as its managing member, to cause Bally's Chicago OpCo to make cash distributions to the owners of LLC Interests in an amount sufficient to (1) fund all or part of their tax obligations in respect of taxable income allocated to them and (2) cover our operating expenses. However, Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions, such as restrictions on distributions that would either violate any contract or agreement to which Bally's Chicago OpCo is then a party, including any debt or financing agreements, or any applicable law, or that would have the effect of rendering Bally's Chicago OpCo insolvent. If we do not have sufficient funds to pay tax or other liabilities or to fund our operations, we may have to borrow funds, including potentially from Bally's and its affiliates if available, which could materially adversely affect our liquidity and financial condition and subject us to various restrictions imposed by any such lenders. See "*Risk Factors — Risks related to our organizational structure — Our principal asset after the completion of this offering and the concurrent private placements will be our interest in Bally's Chicago OpCo, and, as a result, we will depend on distributions from Bally's Chicago OpCo to pay our taxes and expenses. Bally's Chicago OpCo's ability to make such distributions may be subject to various limitations and restrictions*."

Furthermore, we intend to, as its managing member, cause Bally's Chicago OpCo to make distributions of OpCo cash available for distribution on a quarterly basis. We define *OpCo cash available for distribution* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable, less payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. We do not expect any such distributions until after the permanent casino and resort is fully operational and generates cash flow.

In turn, we intend to distribute cash available for distribution to the holders of our Class A Interests (subject to certain requirements discussed below). Holders of our Class B Interests will not be entitled to participate in distributions declared by our Board. We define *cash available for distribution* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable, *less* payments made on senior indebtedness, capital expenditures, cash taxes, rent without duplication and changes in working capital and cash used for acquisitions and dispositions. Cash that is distributed to holders of our Class A Interests will be distributed pro rata according to the number of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests outstanding at the time of such distribution. Given the capital intensity of developing, constructing, opening and operating a casino resort project of this scale, we currently expect that Bally's Chicago OpCo will not have any OpCo cash available for distribution until approximately three to five years after our permanent casino and resort begins operations. However, this may fluctuate depending on Bally's Chicago OpCo's ability to generate cash from operations and its cash flow needs, which, among other things, may be impacted by debt service payments on its senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago.

Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable

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to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly, will be pre-payable at any time without a premium or penalty at a prepayment price equal to the principal amount thereof plus accrued interest, and will have no maturity date. See "*Subordinated Loans*" for more information on the Subordinated Loans.

If the principal and interest of any of the Subordinated Loans have been paid in full, by distributions from Bally's Chicago OpCo or any other means, we intend to distribute to holders of the corresponding Class A Interests with respect to any such Subordinated Loan an amount equal to 100% of the applicable distribution specified above in the form of a direct cash dividend.

While we intend, as its managing member, to cause Bally's Chicago OpCo to make distributions on a quarterly basis once it is able to generate OpCo cash available for distribution approximately three to five years after our permanent casino and resort begins operations, we and Bally's Chicago OpCo have not adopted a formal written dividend or distribution policy to pay a fixed amount of cash regularly or to pay any particular amount based on the achievement of, or derivable from, any specific financial metrics, including OpCo cash available for distribution. Further, we and Bally's Chicago OpCo are not contractually obligated to pay any dividends or make any distributions and do not have any required minimum quarterly dividend or distribution, except for tax-related distributions described above. Our and Bally's Chicago OpCo's distributions may vary from quarter to quarter, may be significantly reduced or may be eliminated entirely. While we and Bally's Chicago OpCo intend to make distributions equal to 100% of the cash available for distribution and OpCo cash available for distribution, respectively, on a quarterly basis, the actual amount of any distributions may fluctuate depending on our and Bally's Chicago OpCo's ability to generate cash from operations and our and Bally's Chicago OpCo's cash flow needs, which, among other things, may be impacted by debt service payments on our or Bally's Chicago OpCo's senior indebtedness, capital expenditures, potential expansion opportunities and the availability of financing alternatives, the need to service any future indebtedness or other liquidity needs and general industry and business conditions, including the pace of the construction and development of our permanent casino and resort in Chicago. Our Board will have full discretion on how to deploy cash available for distribution, including the payment of dividends. Any debt we or Bally's Chicago OpCo may incur in the future is likely to restrict our and Bally's Chicago OpCo ability to pay dividends or distributions, and such restriction may prohibit us and Bally's Chicago OpCo from making distributions, or reduce the amount of cash available for distribution and OpCo cash available for distribution. See "*Risk Factors — Risks Related to this Offering and Ownership of our Class A Interests — You may not receive dividends or other distributions on the Class A Interests.*" In addition, Delaware law imposes requirements that may restrict our ability to pay dividends to holders of our shares. Certain distributions paid may be considered a return of capital for U.S. federal income tax purposes. See "*Material U.S. Federal Income Tax Consequences*" for a description of the U.S. federal income tax treatment of the dividends and other distributions of cash or property to holders of the Class A Interests.

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#### CAPITALIZATION
The following table sets forth our cash and cash equivalents and our capitalization as of March 31, 2025 on:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • an actual basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a pro forma as adjusted basis after giving effect to the Initial Private Placements under Rule 506(c) and the organizational transactions described under "*Unaudited Pro Forma Condensed Consolidated Financial Information,*" including the sale by us of 500 Class A-1 Interests, 1,000 Class A-2 Interests, 1,000 Class A-3 Interests, and 7,500 Class A-4 Interests offered in the initial Class A Interest issuances as well as this offering and concurrent private placements at the initial public offering prices set forth on the front cover of this prospectus and the application of the proceeds therefrom as described in "*Use of Proceeds*." The net proceeds from this offering and concurrent private placements are based on our current assumption of the mix of Class A Interests to be sold. The amounts reflected in the Pro Forma column are based on currently available information and assumptions that the Company's management believes are reasonable. See Note 2 in the "*Unaudited Pro Forma Condensed Consolidated Financial Information*" for a sensitivity analysis related to the expected proceeds of the offering and concurrent private placements.

The information in this table is illustrative only and our capitalization following the Initial Private Placements and the closing of this offering and the concurrent private placements will be adjusted based on the actual initial public offering price and other terms of this offering determined at pricing. You should read this table in conjunction with the information contained in "*Use of Proceeds*" and "*Management's Discussion and Analysis of Financial Condition and Results of Operations*," as well as the financial statements and the notes thereto included elsewhere in this prospectus:

---

| | | |
|:---|:---|:---|
| | **As of March 31, 2025**  | **As of March 31, 2025**  |
| | **Actual**  | **Pro Forma <br> As Adjusted**  |
|  | **(in thousands, except share data)**  | **(in thousands, except share data)**  |
| Cash and cash equivalents  | $15597 | $15597 |
| Debt: |  |  |
| &nbsp;&nbsp;&nbsp; Pre-IPO Intercompany Notes  | 642399 |  |
| &nbsp;&nbsp;&nbsp; Promissory notes to related party (Bally's Chicago HoldCo)  |  | 11708 |
| &nbsp;&nbsp;&nbsp; Class A-1 Subordinated Loans  | 6732 | 19107 |
| &nbsp;&nbsp;&nbsp; Class A-2 Subordinated Loans  | 6323 | 28823 |
| &nbsp;&nbsp;&nbsp; Class A-3 Subordinated Loans  | 3420 | 23420 |
| &nbsp;&nbsp;&nbsp; Total debt  | 658874 | 83057 |
| Redeemable Noncontrolling interest  | 744387 | 386786 |
| Equity: |  |  |
| &nbsp;&nbsp;&nbsp; Class A-1 Interests; interests designated, issued and outstanding, actual; interests authorized, pro forma, as adjusted  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Class A-2 Interests; interests designated, issued and outstanding, actual; interests authorized, pro forma, as adjusted  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Class A-3 Interests; interests designated, issued and outstanding, actual; interests authorized, pro forma, as adjusted  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Class A-4 Interests; interests designated, issued and outstanding, actual; interests authorized, pro forma, as adjusted  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Class B Interests; interests designated, issued and outstanding, actual; interests authorized, pro forma, as adjusted  |  |  |
| &nbsp;&nbsp;&nbsp; Additional paid-in capital  | 66861 | 239860 |
| &nbsp;&nbsp;&nbsp; Accumulated deficit  | (852049) | (102049) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total stockholders' equity  | (40801) | 137811 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total capitalization  | $1362460 | $607654 |

---

The number of shares of stock to be outstanding immediately following this offering set forth above is based on 500 Class A-1 Interests, 1,000 Class A-2 Interests, 1,000 Class A-3 Interests and 7,500 Class A-4

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Interests to be issued in connection with this offering. While the Class A-1 Interests and Class A-2 Interests are legally outstanding, they are not considered to be outstanding for accounting purposes as they are treated as equity classified warrants. See "*Unaudited Pro Forma Condensed Consolidated Financial Information*" for more information.

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#### DILUTION
If you purchase our Class A Interests in this offering, your shares will be diluted to the extent of the difference between the Initial Private Placements and public offering price per share of our Class A Interests and the pro forma as adjusted net tangible book value per share of our stock.

Net tangible book value per share is determined by dividing our total tangible assets less our total liabilities by the number of outstanding shares. Our historical net tangible book value (deficit) as of March 31, 2025 was $(356,879) million or $(107,299.76) per share.

Our pro forma, as adjusted, net tangible book value (deficit) as of March 31, 2025 was $524,598 million or $39,366.46 per share, after giving effect to the sale by us of Class A Interests in the Initial Private Placements and this offering at the initial public offering prices set forth on the front cover of this prospectus and of Class A Interests in the concurrent private placements at the initial public offering prices set forth on the front cover of this prospectus, and the proceeds from the Subordinated Loans and IPO Expenses Note.

The pro forma, as adjusted, net tangible book value (deficit) set forth above represents an immediate increase in net tangible book value of $24,004.11 per share to the existing holders of our stock in, and an immediate dilution in net tangible book value of approximately $20,687.46 per share to the Initial Private Placements investors and new investors purchasing the Class A Interests in this offering. The following table illustrates this dilution on a per share basis based on the various aggregate offering proceeds listed on the following table:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Class A-1 <br> Interest**  | **Class A-2 <br> Interest**  | **Class A-3 <br> Interest**  | **Class A-4 <br> Interest**  |
| Assumed initial public offering price per share  | $250 | $2500 | $5000 | $25000 |
| &nbsp;&nbsp;&nbsp; Pro forma net tangible book value (deficit)<sup>(1)</sup> per share <br> as of December 31, 2024  |  |  |  | (11895.97)<sup>(1)</sup> |
| &nbsp;&nbsp;&nbsp; Increase in pro forma net tangible book value (deficit) per share attributable to this offering and the concurrent private placements  | 270.96 | 405.40 | 302.70 | 22979.44 |
|  Pro forma as adjusted net tangible book value per share after this offering and the concurrent private placements<sup>(2)</sup>  | 270.96 | 405.40 | 302.70 | 11083.47 |
|  Dilution per share to investors in this offering and the concurrent private placements  | $(20.96) | $2094.60 | $4697.30 | $13916.53 |

---

(1) The pro forma net tangible book value (deficit) was calculated using our historical net tangible book value (deficit) as of March 31, 2025 divided by 30,000 Class B Interests, assuming that all the Class B Interests outstanding prior to this offering were exchanged for Class A-4 Interests to reflect the economics of the transaction.

(2) Pro forma as adjusted net tangible book value per share was calculated including the 10,000 Class A Interests to be issued in this offering and concurrent private placements. While the Class A-1 Interests and Class A-2 Interests are legally outstanding, they are not considered to be outstanding for accounting purposes as they are treated as equity classified warrants. See "*Unaudited Pro Forma Condensed Consolidated Financial Information*" for more information.

Based on Bally's equity commitments to Bally's Chicago OpCo and the financing we have received from GLPI, we believe that we are sufficiently capitalized until the opening of our permanent casino and resort. However, unforeseen events could necessitate us to raise additional capital in the future to fund our ongoing operations. We may in the future sell substantial amounts of stock or securities convertible into or exchangeable for our stock. We may also choose to raise additional capital due to market conditions or other strategic considerations even if we believe we have sufficient funds for our current or future operating plans. To the extent that we raise additional capital through the sale of equity or convertible debt securities, the issuance of these securities could result in further dilution to our stockholders.

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#### UNAUDITED PRO FORMA CONDENSED CONSOLIDATED FINANCIAL INFORMATION

#### Introduction
The following unaudited pro forma condensed consolidated balance sheet as of March 31, 2025 and the unaudited pro forma condensed consolidated statement of operations for the three months ended March 31, 2025 and the year ended December 31, 2024 present our consolidated financial position and results of operations after giving effect to the Merger (defined below), initial private placement (the "Initial Private Placement"), in addition to the offering and concurrent private placement(the "Transactions").

The Company was formed on May 24, 2022 and is a consolidated subsidiary of Bally's Chicago Holding Company, LLC, a wholly owned subsidiary of Bally's Corporation. On February 7, 2025, Bally's Corporation completed its previously announced transactions under the Agreement and Plan of Merger (as amended, the "Merger Agreement"), pursuant to which The Casino Queen & Entertainment Inc. ("Casino Queen"), a corporation majority-owned by funds managed by Standard General L.P., Bally's Corporation's largest common stockholder, merged with Bally's Corporation (the "Merger"). The Merger was accounted for by Bally's Corporation as a transaction between entities under common control in accordance with ASC Topic 805, Business Combinations ("ASC 805"), in which the accounting acquirer (Parent and its affiliates) obtained control of Bally's Corporation. Bally's Corporation has elected to push down its Parent's basis in its net assets into the Company, and as a result, the Company will record pushdown accounting adjustments to reflect the step up in basis of accounting as a result of the Merger. The unaudited pro forma condensed consolidated statements of operations include pro forma adjustments to reflect the impacts to certain expenses related to the step up in basis to the preliminary valuations of certain tangible and intangible assets by Parent as of the acquisition date of February 7, 2025. These adjustments are subject to further revision upon finalization of the purchase price allocation and the related tangible and intangible asset valuations and fair value determinations.

Following the Merger, the historical consolidated statements of operations for the period from January 1, 2025 through February 7, 2025 and the year ended December 31, 2024 reflect the historical cost basis of accounting for the Company. These periods are referred to as the "Predecessor" periods. The unaudited pro forma condensed consolidated statement of operations for the period February 8, 2025 through March 31, 2025, and unaudited pro forma condensed consolidated balance sheet as of March 31, 2025 reflects the costs, activities, and recognition of the Company's assets and liabilities at their fair values due to pushdown accounting applied at the time of the Merger. These periods are referred to as the "Successor" periods. As such, the historical Predecessor periods do not reflect the incremental expenses related to the step-up in the Company's assets and liabilities as a result of the pushdown.

On March 10, 2025 (Successor) the Company completed the Initial Private Placement pursuant to which we sold a total of 1,185 Class A Interests, including 272 Class A-1 Interests, 281 Class A-2 Interests, 171 Class A-3 Interests, and 461 Class A-4 Interests for total consideration of $12.4 million, net of $0.8 million of issuance costs. In connection with the issuance of these Class A Interests in the Initial Private Placement, the Company entered into a subordinated loan agreement with Bally's Chicago Holdco, pursuant to which Bally's Chicago Holdco made subordinated term loans (the "Subordinated Loans") to the Company totaling $16.5 million at an annual interest rate of 11%, compounded quarterly, with no maturity date. The Subordinated Loans were funded through the Holding Company's transfer of 659 Class A-4 shares to the Company. In connection with the Initial Private Placement, the Company sold an additional 2,800 shares of Class A-4 Interests to the Bally's Chicago Holdco at a purchase price of $25,000 per share, which was reduced by 659 Class A-4 shares transferred to the Company. Consideration received included cash of $63.7 million and $6.3 million of shares in lieu of payment on its outstanding promissory notes payable by the Company to the Holding Company. The sale of the Class A-4 Interests to Bally's Chicago Holdco was not subject to issuance fees.

In connection with the Initial Private Placement, in March 2025, the Company also consummated the organizational transactions, and as a result, Bally's Chicago Holdco is the sole holder of Class B Interests and also holds 2,141 Class A-4 Interests in the Company. As part of the organizational transactions, Bally's Chicago Holdco also received 30,000 LLC Interests in OpCo as consideration for the cancellation of their prior equity ownership in the Company and in exchange for a capital commitment. Following this offering and concurrent private placement, Bally's Chicago OpCo will use the net proceeds of the private placement and the offering to repay $250.0 million of the $642.4 million of outstanding Pre-IPO Intercompany

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Notes due to HoldCo. The remaining $392.4 million, as a result of the capital commitment between Bally's Chicago HoldCo and Bally's Chicago OpCo, will be utilized to repay the Pre-IPO Intercompany Notes.

The unaudited pro forma condensed consolidated financial information is based on the assumption that, following the initial private placements, public stockholders and the private placement investors will elect to purchase Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, and Class A-4 Interests in this offering and concurrent private placements, using currently available information and assumptions that the Company's management believes are reasonable. However, it is important to note that public stockholders have not yet elected these amounts. Therefore, in view of the uncertain nature of any prediction as to the number of each tranche of Class A interests to be sold, and corresponding amount of Subordinated Loans, the unaudited pro forma condensed consolidated financial information has been prepared using the assumption that following the Initial Private Placement, we will issue an additional 10,000 Class-A Interests, including 500 shares of Class A-1 Interests, 1,000 shares of Class A-2 Interests, 1,000 shares of Class A-3 Interests, and 7,500 shares of Class A-4 Interests through this offering and concurrent private placements, with a corresponding impact to the amount of Subordinated Loans. For accounting purposes, the Class A-1 Interests and Class A-2 Interests are accounted for as warrants that meet the criteria for equity classification and thus these shares are not considered to be outstanding in the computation of pro forma basic and diluted loss per share. The Class A-3 Interests are accounted for as partially paid Class A-4 Interests and thus included in the pro forma basic and diluted loss per share based on the Class A-4 share equivalent number. See Note 2, "Offering and Transaction Accounting Adjustments" to the unaudited pro forma condensed consolidated financial statements for additional sensitivity analysis information regarding the impact of the amount of each Class A Interest tranche to be sold in this offering.

The unaudited pro forma condensed consolidated financial information was prepared in accordance with Article 11 of Regulation S-X, using the assumptions set forth in the notes to the unaudited pro forma condensed consolidated financial information. As the historical balance sheet as of March 31, 2025 (Successor) already reflects the effects of the pushdown, the Initial Private Placement and the organizational transactions, the following unaudited pro forma condensed consolidated balance sheet as of March 31, 2025 (Successor) gives effect to the Transactions as if they had occurred on March 31, 2025 (Successor). The following unaudited pro forma condensed consolidated statement of operations for the three months ended March 31, 2025 (Successor) and the year ended December 31, 2024 (Predecessor) gives effect to the Merger, the organizational transactions, the initial private placement and the Transactions as if they had occurred on January 1, 2024.

We have derived the unaudited pro forma condensed consolidated balance sheet as of March 31, 2025 (Successor), and the unaudited pro forma condensed consolidated statements of operations for the three months ended March 31, 2025 (Successor) and the year ended December 31, 2024, from the financial statements of Bally's Chicago, Inc., included elsewhere in this prospectus. The unaudited pro forma condensed consolidated financial information reflects adjustments that are described in the accompanying notes and are based on available information and certain assumptions we believe are reasonable but are subject to change.

As a public company, we will be implementing additional procedures and processes for the purpose of addressing the standards and requirements applicable to public companies. We expect to incur additional annual expenses related to these steps and, among other things, additional directors' and officers' liability insurance, director fees, costs for reporting requirements of the SEC, transfer agent fees, costs for hiring additional accounting, legal, and administrative personnel, increased auditing and legal expenses, and other related costs. Due to the scope and complexity of these activities, the amount of these costs would be based on subjective estimates and assumptions that could increase or decrease materially. We have not included any pro forma adjustments related to these costs.

The unaudited pro forma condensed consolidated financial information is provided for informational purposes only and is not necessarily indicative of the operating results that would have occurred if the Transactions had been completed as of the dates set forth above, nor is it indicative of our future results. The unaudited pro forma condensed consolidated financial information should be read together with "*Our Organizational Structure*," "*Use of Proceeds*," "*Capitalization*," "*Summary Historical and Unaudited Pro Forma Condensed Consolidated Financial and Other Data*," "*Management's Discussion and Analysis of Financial Condition and Results of Operations*," "*Subordinated Loans*," "*Concurrent Private Placements*," and our historical financial statements and related notes of Bally's Chicago, Inc., each included elsewhere in this prospectus.

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#### BALLY'S CHICAGO, INC. AND SUBSIDIARIES

#### UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET

#### As of March 31, 2025

#### (In thousands, except share data)

---

| | | | |
|:---|:---|:---|:---|
| **In thousands, except share data**  | **As Reported <br> (Successor)**  | **Offering <br> Adjustments**  | **Pro Forma as of <br> March 31, 2025**  |
| **Current assets** |  |  |  |
| Cash  | $15597 | $— (b)  | $15597 |
| Accounts receivable, net  | 1818 |  | 1818 |
| Inventory  | 2391 |  | 2391 |
| Due from related party (Bally's Corporation)  | 3584 |  | 974 |
| Prepaid expenses and other assets  | 974 |  | 3584 |
| **Total current assets**  | 24364 |  | 24364 |
| Property and equipment, net  | 210472 |  | 210472 |
| Right of use assets, net  | 267319 |  | 267319 |
| Goodwill  | 105506 |  | 105506 |
| Intangible assets  | 316078 |  | 316078 |
| Other assets  | 10418 | (10418) (d)  |  |
| **Total assets**  | $934157 | $(10418) | $923739 |
|  **<u>Liabilities, Redeemable Non-controlling Interest, and Stockholder's Deficit</u>**  |  |  |  |
| Current portion of lease liabilities  | $4544 |  | $4544 |
| Accounts payable  | 7517 |  | 7517 |
| Accrued and other current liabilities  | 28991 |  | 28991 |
| Promissory notes to related party (Bally's Corporation)  | 642399 | (642399) (a)(b)(c)  |  |
| Due to related party (Bally's Corporation)  | 4790 |  | 4790 |
| **Total current liabilities**  | 688241 | (642399) | 45842 |
| Long-term portion of lease liabilities  | 264318 |  | 264318 |
| Subordinated loans due to related party (Bally's Corporation)  | 16475 | 54875 (c)  | 71350 |
| Long-term promissory notes to related party (Bally's Corporation)  |  | 11708 (c)  | 11708 |
| Deferred tax liability  | 5924 |  | 5924 |
| **Total liabilities**  | 974958 | (575817) | 399142 |
| **Commitments and contingencies** |  |  |  |
| **Redeemable non-controlling interest**  | 744387 | (357601) (a)  | 386786 |
| **Stockholders' deficit:** |  |  |  |
|  Class B common stock, $0.001 par value, and 30,000 shares authorized, <br> issued and outstanding as of March 31, 2025 (Successor)  |  |  |  |
|  Class A-1 Interest common stock, $0.001 par value, 500 shares authorized and outstanding as of March 31, 2025 <br> (Successor)  |  |  |  |
|  Class A-2 Interest common stock, $0.001 par value, 1,000 shares authorized and outstanding as of March 31, 2025 <br> (Successor)  |  |  |  |
|  Class A-3 Interest common stock, $0.001 par value, 1,000 shares authorized and outstanding as of March 31, 2025 <br> (Successor)  |  |  |  |
|  Class A-4 Interest common stock, $0.001 par value, 7,500 shares authorized and outstanding as of March 31, 2025 <br> (Successor)  |  |  |  |
| Additional paid-in-capital  | 66861 | 172999 (b)(d)  | 239860 |
| Accumulated deficit  | (852049) | 750000 (a)  | (102049) |
| **Total stockholders' deficit**  | (785188) | 923000 | 137812 |
|  **Total liabilities, redeemable non-controlling interest, and stockholders' deficit**  | $934157 | $(10418) | $923739 |

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#### BALLY'S CHICAGO, INC. AND SUBSIDIARIES

#### UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

#### For The Period Ended March 31, 2025

#### (In thousands, except share and per share data)

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Predecessor**  | **Successor**  | **Pushdown <br> Accounting <br> Adjustments**  | **Transaction <br> Accounting <br> Adjustments**  | **Offering <br> Adjustments**  | **Pro forma <br> Three <br> Months <br> Ended <br> March 31, <br> 2025**  |
| **In thousands, except per share data**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Period from <br> February 8 <br> to March 31, <br> 2025**  | **Pushdown <br> Accounting <br> Adjustments**  | **Transaction <br> Accounting <br> Adjustments**  | **Offering <br> Adjustments**  | **Pro forma <br> Three <br> Months <br> Ended <br> March 31, <br> 2025**  |
| **Revenue:** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | $10353 | $15935 | $— | $— | $— | $26288 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 1134 | 1861 |  |  |  | 2995 |
| Total revenue  | 11487 | 17796 |  |  |  | 29283 |
| **Operating costs and expenses:** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | 6039 | 8157 |  |  |  | 14196 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 1260 | 1462 |  |  |  | 2722 |
| &nbsp;&nbsp;&nbsp; General and administrative  | 8946 | 10196 |  |  |  | 19142 |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | 6129 | 8871 |  |  |  | 15000 |
| &nbsp;&nbsp;&nbsp; Loss on sale-leaseback  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 1985 | 4842 | 1531 (e)  |  |  | 8358 |
| Total operating costs and expenses  | 24359 | 33528 | 1531 |  |  | 59418 |
| **Loss from operations**  | (12872) | (15732) | (1531) |  |  | (30135) |
| **Other income (expense):** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest income  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest expense, net of amounts capitalized  |  | (248) |  | (386) (h)  | (2187) (h)  | (2821) |
| Total other income (expense), net  |  | (248) |  | (386) | (2187) | (2821) |
| Loss before income taxes  | (12872) | (15980) | (1531) | (386) | (2187) | (32956) |
| Benefit for income taxes  |  |  | — (i)  | — (i)  | — (i)  |  |
| **Net loss**  | $(12872) | $(15980) | $(1531) | $(386) | $(2187) | $(32956) |
|  Net loss attributable to Redeemable non-controlling interest  |  | (5613) | (6512) (f)  | (267) (f)  | (1514) (f)  | (13906) |
|  **Net loss attributable to Bally's Chicago, Inc.**  | $(12872) | $(10367) | $4981 | $(119) | $(673) | $(19050) |
| Basic and diluted loss per share  | $(128720) |  |  |  |  |  |
|  Weighted average common shares outstanding, basic and diluted  | 100 |  |  |  |  |  |
|  Class A-3, and Class A-4 Interests, basic <br> and diluted loss per share  |  | $(9223) |  |  |  | $(1843) (g)  |
|  Weighted average Class A-3 and Class A-4 Interests outstanding, basic and diluted  |  | 1124 |  |  |  | 10336 (g)  |

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#### BALLY'S CHICAGO, INC. AND SUBSIDIARIES

#### UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

#### For The Year Ended December 31, 2024

#### (In thousands, except share and per share data)

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **In thousands, except per share data**  | **As Reported <br> (Predecessor)**  | **Pushdown <br> Accounting <br> Adjustments**  | **Transaction <br> Accounting <br> Adjustments**  | **Offering <br> Adjustments**  | **Pro forma <br> Year Ended <br> December 31, <br>2024**  |
| **Revenue:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | $115844 | $— | $— | $— | $115844 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 12849 |  |  |  | 12849 |
| Total revenue  | 128693 |  |  |  | 128693 |
| **Operating costs and expenses:** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | 60268 |  |  |  | 60268 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 8134 |  |  |  | 8134 |
| &nbsp;&nbsp;&nbsp; General and administrative  | 64696 |  |  |  | 64696 |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | 60000 |  |  |  | 60000 |
| &nbsp;&nbsp;&nbsp; Loss on sale-leaseback  | 150000 |  |  |  | 150000 |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 18300 | 15099 (e)  |  |  | 33399 |
| Total operating costs and expenses  | 361398 | 15099 |  |  | 376497 |
| **Loss from operations**  | (232705) | (15099) |  |  | (247804) |
| **Other income (expense):** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest income  | 1466 |  |  |  | 1466 |
| &nbsp;&nbsp;&nbsp; Interest expense, net of amounts capitalized  | (6891) |  | (1888) (h)  | (7578) (h)  | (16357) |
| Total other income (expense), net  | (5425) |  | (1888) | (7578) | (14891) |
| Loss before income taxes  | (238130) | (15099) | (1888) | (7578) | (262695) |
| Benefit for income taxes  |  | — (i)  | — (i)  | — (i)  |  |
| **Net loss**  | $(238130) | $(15099) | $(1888) | $(7578) | $(262695) |
|  Net loss attributable to Redeemable non-controlling interest  |  | (175342) (f)  | (1308) (f)  | (5247) (f)  | (181897) |
|  **Net loss attributable to Bally's Chicago, <br> Inc.**  | $(238130) | $160243 | $(581) | $(2331) | $(80799) |
| Basic and diluted loss per share  | $(2381300) |  |  |  |  |
|  Weighted average common shares <br> outstanding, basic and diluted  | 100 |  |  |  |  |
|  Class A-3, and Class A-4 Interests, basic and <br> diluted loss per share  |  |  |  |  | $(7817) (g)  |
|  Weighted average Class A-3 and Class A-4 Interests outstanding, basic and diluted  |  |  |  |  | 10336 (g)  |

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#### NOTES TO THE UNAUDITED PRO FORMA CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
1. #### Description of the Merger, the Initial Private Placements, the Transactions and Basis of Presentation
The unaudited pro forma condensed consolidated financial information was prepared in accordance with Article 11 of Regulation S-X, as amended by the final rule, Release No. 33-10786 "Amendments to Financial Disclosures about Acquired and Disposed Businesses," and presents the pro forma financial condition and results of operations of the Company based upon the historical financial information after giving effect to the Transactions and related adjustments set forth in the notes to the unaudited pro forma condensed consolidated financial information.

As a result of the Merger, the unaudited pro forma condensed consolidated financial information reflects the pushdown in Bally's Corporation's basis in its net assets into the Company's financial statements. As a result, the net assets of the Company were measured and recognized at fair values as of the acquisition date, February 7, 2025, to show the effect of the Merger. The Merger was accounted for pursuant to ASC 805 which uses the fair value concepts defined in ASC Topic 820, Fair Value Measurements ("ASC 820"). Fair value measurements for a non-financial asset assume the highest and best use by these market participants. Many of these fair value measurements can be highly subjective, and it is possible that other professionals applying reasonable judgment to the same facts and circumstances, could develop and support a range of alternative estimated amounts. In addition, these fair value measurements are subject to change and could differ from amounts actually recorded. The effects of the pushdown are reflected in the Pushdown Accounting Adjustments column in the unaudited pro forma condensed statement of operations for the three months ended March 31, 2025 and the year ended December 31, 2024. The historical balance sheet as sheet as of March 31, 2025 (Successor) already reflects the recognition of the Company's assets and liabilities at their fair values due to pushdown accounting applied at the time of the Merger. As such, no Pushdown Accounting Adjustment column is required.

For purposes of the unaudited pro forma condensed statement of operations for the three months ended March 31, 205 and the year ended December 31, 2024, we have reflected the activity related to the issuance and sale of 272 Class A-1 Interests, 281 Class A-2 Interests, 171 Class A-3 Interests, and 2,602 Class A-4 Interests (net of 659 Class A-4 Interests repurchased) in the Initial Private Placement that occurred on March 10, 2025 and organizational transactions within the Transaction Accounting Adjustments column. Note, the unaudited pro forma condensed statement of operations for the three months ended March 31, 2025 (Successor) reflects the incremental expense for the period January 1, 2025 through March 9, 2025, the day before the Initial Private Placement.

The anticipated issuance of an additional 500 shares of Class A-1 Interests,1,000 shares of Class A-2 Interests,1,000 shares of Class A-3 Interests, and 7,500 shares of Class A-4 Interests through this offering and the concurrent private placements at a price per share equal to public offering prices as set forth on the cover of this prospectus is reflected in the Offering Adjustments column in the unaudited pro forma condensed financial statements.

Following the closing of the offering and the concurrent private placements and the applications of proceeds there from, we will continue to operate as a holding company. Our principal asset is LLC interests in Bally's Chicago OpCo (the "LLC Interests") which following this offering, represent a 30.8% economic interest. Following this offering and concurrent private placement, Bally's Chicago OpCo will use the net proceeds of the private placement and the offering to repay $250.0 million of the $642.4 million of outstanding Pre-IPO Intercompany Notes due to HoldCo. The remaining $392.4 million, as a result of the capital commitment between Bally's Chicago HoldCo and Bally's Chicago OpCo, will be utilized to repay the Pre-IPO Intercompany Notes. Following this offering, Bally's Chicago HoldCo will hold 69.2% economic interest in Bally's Chicago OpCo through its ownership of LLC interests. The Company will continue to consolidate Bally's Chicago OpCo as the sole managing member in accordance with Accounting Standards Codification ("ASC") 810, *Consolidation*, and consequently, Bally's Chicago HoldCo's stake in Bally's Chicago OpCo will be represented as noncontrolling interest in Bally's Chicago, Inc's consolidated financial statements.

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In connection with the issuance of the Class A Interests in the Initial Private Placement, the Company entered into a subordinated loan agreement with Bally's Chicago Holdco, pursuant to which Bally's Chicago Holdco made subordinated term loans to the Company totaling $16.5 million at an annual interest rate of 11%, compounded quarterly, with no maturity date. In connection with the closing of this offering and the concurrent private placement, we intend to enter into a subordinated loan agreement with Bally's Chicago HoldCo pursuant to which Bally's Chicago HoldCo, as lender, will make subordinated loans to us, as borrower, in various tranches and in varying amounts based on the total number of Class A-1, A-2, and A-3 Interests sold in this offering. None of the new investors purchasing Class A Interests in this offering and concurrent private placements will be a party to the Subordinated Loans agreement. For each Class A-1, A-2, and A-3 Interest sold in this offering and the private placements, we will incur $24,750, $22,500 and $20,000 per interest of subordinated loans, respectively.

Following the completion of the private placement and the closing of this offering, Subordinated Loans will be issued for $71.4 million at an interest rate of 11.0% per annum, compounded quarterly, with no maturity date. The $71.4 million of Subordinated Loans expected to be issued is comprised of $16.5 million issued in connection with the Initial Private Placement and $54.9 million to be issued in connection with the offering. Principal and interest payments on the Subordinated Loans will be paid by us by withholding discretionary distributions that would otherwise be made by us to the investors with the corresponding Class A Interests and applying such distributions to reduce amounts outstanding under the applicable Subordinated Loans. Further, Subordinated Loans may be repaid at the Company's option at a redemption price equal to the principal amount, plus accrued and unpaid interest thereon.

#### Pushdown Accounting, Offering and Transaction Accounting Adjustments
The adjustments included in the unaudited pro forma condensed consolidated balance sheet as of March 31, 2025 are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(a)**

This adjustment reflects the settlement of the $642.4 million of Pre-IPO Intercompany Notes using $250.0 million of proceeds from this offering and concurrent private placement. The remaining $392.4 million, as a result of the capital commitment between Bally's Chicago HoldCo and Bally's Chicago OpCo, will be utilized to repay the Pre-IPO Intercompany Notes. The funding of the capital commitment is contingent on the occurrence of the Transactions. As such, as a result of the Transactions, the capital commitment of $750 million is reflected as a receivable and presented as contra-mezzanine equity. The receivable is then immediately reduced by the repayment of $392.4 million of Pre-IPO Intercompany Notes, for an ending net pro forma balance of Redeemable noncontrolling interest of $386.8 million. The $250.0 million of proceeds from this offering and concurrent private placement is comprised of $183.4 million of net proceeds from the offering (see note (b) below) and $66.6 million of proceeds related to the issuance of the subordinated loans (see note (c) below).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(b)**

Reflects our estimate of the net proceeds of $183.4 million to be raised from this offering and the concurrent private placements based on the stated value of $25,000 per Class A Interest, and an expected total issuance of 500, 1,000, 1,000 and 7,500 shares of Class A-1, A-2, A-3, and A-4 Interests respectively, after deducting $11.7 million of estimated placement agent fees and offering expenses.

This adjustment also relates to the application of $183.4 million net proceeds from this offering and concurrent private placements, to pay down part of the outstanding Pre-IPO Intercompany Notes owed to Bally's Chicago HoldCo.

The total gross proceeds to be raised from the issuance of Class A-1, A-2, A-3, and A-4 Interests in this offering and concurrent private placement is expected to vary and will ultimately depend on the mix of the aggregate purchase by public stockholders and private placement investors of each Class A Interest as this factor will also drive the total amount of Subordinated Loans being issued and corresponding interest expense recognized in the Statement of Operations. The current assumption of the mix of Class A Interests reflected in the unaudited pro forma condensed consolidated financial information is based on the Class A Interests purchased through the private

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placement and currently available information and assumptions that the Company's management believes are reasonable.

The number of shares of each respective tranche of Class A Interests purchased by the public stockholders in this offering will have an impact on the number of shares of each Class A Interests outstanding, on the net cash proceeds raised, total assets, subordinated debt, total liabilities, and interest expense. The sensitivity analysis reflected in the following table is based on alternative assumptions as it relates to the aggregate purchase of each Class A Interest in this offering and concurrent private placement; (i) all public stockholders and concurrent private placement investors elect to purchase Class A-1 Interests, which would result in the highest amount of Subordinated Loans being issued in this offering and the concurrent private placement and (ii) all public stockholders and concurrent private placement investors elect to purchase Class A-4 Interests which will result in no Subordinated Loan being issued.

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| | | | |
|:---|:---|:---|:---|
| **($ in thousands)**  | **Pro forma <br> Balance Sheet as of <br> March 31, <br> 2025**  | **All Class A-1 <br> Interests <br> from the Offering**  | **All Class A-4 <br> Interests <br> from the Offering**  |
| Cash  | $15597 | $15597 | $15597 |
| Total assets  | $923739 | $923739 | $923739 |
| Subordinate debt  | $71350 | $263975 | 16475 |
| Total liabilities  | $399142 | $580998 | $348348 |
| Total Stockholder's (deficit) equity  | $137812 | $(101110) | $(86260) |

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| | | | |
|:---|:---|:---|:---|
| **($ in thousands, except share and per share data)**  | **Pro Forma <br> For the <br> Year Ended <br> December 31, <br> 2024**  | **All Class <br> A-1 Interests<sup>(1)(3)</sup>**  | **All Class <br> A-4 Interests<sup>(2)(3)</sup>**  |
| Interest expense, net of amounts capitalized  | (16357) | $(30264) | $(8779) |
| Net loss  | (262695) | $(276602) | $(255118) |
| Net (loss) attributable to non-controlling interest  | (181897) | $(191526) | $(176650) |
| Net (loss) attributable to Bally's Chicago, Inc  | (80799) | $(85076) | $(78468) |
|  Class A-3 and Class A-4 Interests, basic and diluted <br> loss per share  | (7817) | $(32272) | $(6210) |
|  Class A-3 and Class A-4 Interests outstanding, basic and diluted  | 10336 | 2636 | $12636 |

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| | | | |
|:---|:---|:---|:---|
| **($ in thousands, except share and per share data)**  | **Pro Forma <br> For the Three <br> Months Ended <br> March 31, 2025**  | **All Class <br> A-1 Interests<sup>(1)(3)</sup>**  | **All Class <br> A-4 Interests<sup>(2)(3)</sup>**  |
| Interest expense, net of amounts capitalized  | (2821) | $(7587) | $(0) |
| Net loss  | (32956) | $(37721) | $(30135) |
| Net (loss) attributable to non-controlling interest  | (13906) | $(26119) | $(20866) |
| Net (loss) attributable to Bally's Chicago, Inc  | (19050) | $(11602) | $(9269) |
|  Class A-3 and Class A-4 Interests, basic and diluted loss per share  | (1843) | $(4401) | $(734) |
|  Class A-3 and Class A-4 Interests outstanding, basic and diluted  | 10336 | 2636 | 12636 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (1)

Assuming all public stockholders and private placements investors make an election to invest in Class A-1 Interests in the offering and concurrent private placements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (2)

Assuming all public stockholders and private placements investors make an election to invest in Class A-4 Interests in the offering and concurrent private placements.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (3)

Reflects Class A Interests that were purchased in the Initial Private Placement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(c)**

Reflects the adjustment to account for the repurchase of Class A Interests of the Company from Bally's Chicago HoldCo in exchange for the issuance of a total of $54.9 million of Subordinated Loans issued by the Company and attributable to each Class A Interest in this offering and the concurrent private placements. This adjustment also relates to the issuance of a promissory note to Bally's Chicago HoldCo in the amount of $11.7 million which is equal to the transaction expenses incurred to effect the offering and the concurrent private placements. The associated interest will be recognized as an expense within the Statement of Operations as an adjustment. The IPO Expenses Note to related party (Bally's Chicago HoldCo) will bear interest at a rate equal to 11.0% per annum and will mature on December 31, 2034.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(d)**

Reflects deferred costs associated with this offering, including certain legal, accounting and other related costs, which have been recorded in Other assets in the historical consolidated balance sheet. Upon completion of this offering, these deferred costs will be charged against the proceeds from this offering with a corresponding reduction to additional paid-in capital.

The adjustments included in the unaudited pro forma condensed consolidated Statement of Operations for the three months ended March 31, 2025 and the year ended December 31, 2024 are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(e)**

Reflects changes in Depreciation and amortization expense associated with the pushdown accounting adjustments related to the Meger. As a result of the application of pushdown accounting there was a decrease in depreciation expense of $1.0 million and $2.6 million for the period January 1 to February 7, 2025, and the year ended December 31, 2024, respectively, which is due to a longer estimated useful life. The following table summarizes the preliminary fair values of property and equipment, their estimated useful lives and the resulting depreciation expense as if the transaction had occurred on January 1, 2024:

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| | | | | |
|:---|:---|:---|:---|:---|
| **Identifiable Assets**  | **Preliminary <br> Fair Value**  | **Estimated <br> Use Life <br> (Years)**  | **Depreciation <br> Expense For the <br> year ended <br> December 31, <br> 2024**  | **Depreciation <br> Expense For the <br> period ended <br> February 7, <br> 2025**  |
| Leasehold Improvements  | $24295 | 2.0 | $12148 | $1231 |
| Equipment  | 20095 | 6.3 | 3197 | 324 |
| Furniture and fixtures  | 2484 | 7.0 | 355 | 36 |
| Construction in Progress  | 136247 |  |  |  |
| **Total**  | 183121 |  | 15699 | 1591 |
| Less: Historical Bally's Chicago  | 172747 |  | 18300 | 2555 |
| **Pro Forma Pushdown Accounting**  | $**10374** |  | $**(2601)** | **(964)** |

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Adjustment also reflects an increase in amortization expense of intangible assets of $2.5 million and $17.7 million for the period January 1 to February 7, 2025, and the year ended December 31, 2024, respectively, related to gaming licenses based on an estimated useful life of 18 years as if the Merger had occurred on January 1, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(f)**

Following the Initial Private Placement, the consummation of this offering and concurrent private placement, we will own a 30.8% of the economic interest in Bally's Chicago OpCo but will have 100.0% of the voting power and control the management of Bally's Chicago OpCo. The ownership percentage held by the noncontrolling interest will be approximately 69.2%. Net income attributable to the noncontrolling interest will represent approximately 69.2% of net income (loss).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(g)**

The unaudited pro forma weighted average basic and diluted shares outstanding for the three months ended March 31, 2025 and the year ended December 31, 2024 are calculated using Bally's Chicago, Inc.'s historical weighted average shares outstanding for the respective period plus the issuance of additional shares in connection with the Initial Private Placement, this offering and concurrent private placement. As the Initial Private Placement, the offering and concurrent private

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placement are reflected as if they had occurred at the beginning of the earliest period presented, the calculation of weighted average shares outstanding assumes that the historical shares of Bally's Chicago, Inc. and the shares issued relating to the Initial Private Placement and the offering and concurrent private placement were outstanding since January 1, 2024. The table below presents the computation of pro forma basic and diluted earnings per share:

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| | | |
|:---|:---|:---|
| **($ in thousands, except share and per share data)**  | **Twelve Months Ended <br> December 31, 2024**  | **Three Months Ended <br> March 31, 2025**  |
| Net loss attributable to Bally's Chicago Inc.  | (80799) | (19050) |
|  Weighted average Class A Interests outstanding, basic and diluted  | 10336 | 10336 |
| Net income per Class A Interest, basic and diluted  | (7817) | (1843) |

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As the unaudited pro forma condensed consolidated statement of operations is in a net loss position, any potentially dilutive instruments would be anti-dilutive and thus these instruments have been excluded from the computation. Each respective class of Class A-3 Interests and A-4 Interests represent different classes of common stock for purposes of earnings per share ("EPS") computation. The number of Class A-3 Interests included in the denominator of the pro forma basic and diluted loss per share computation are the share equivalent number of partially paid Class A-4 shares. Furthermore, while the Class A-1 Interests and Class A-2 Interests are legally outstanding, they are not outstanding for accounting and pro forma purposes as they are treated as equity classified warrants and are excluded from the basic EPS computation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **(h)**

In connection with the Subordinated Loans, Bally's Chicago Inc., is required to pay 11.0% interest per annum, compounded quarterly on each tranche of Class A-1, Class A-2, and A-3 Subordinated Loans. The adjustment reflects the compounded interest for the 12 months ending December 31, 2024, as well as the compounded interest for the period January 1, 2025 through March 9, 2025, the date prior to the initial private placement, for the three months ending March 31, 2025. This adjustment also reflects the interest expense resulting from 11.0% interest per annum on the Promissory Notes to related party (Bally's Chicago HoldCo).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (i)

 **Represents the tax effect of the pro forma adjustments. No expense or benefit has been recognized as the Company has established a full valuation allowance against the net deferred tax asset position.** 

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#### MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
 *The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our financial statements and related notes included elsewhere in this prospectus. This discussion contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from those discussed below. Factors that could cause or contribute to such differences include, but are not limited to, those identified below and those discussed in the section entitled "Risk Factors" included elsewhere in this prospectus.* 

#### Overview
We are a gaming, hospitality and entertainment company with the singular focus of building and operating a world-class entertainment destination resort in Chicago, Illinois. We intend to provide both Chicago residents and business and leisure travelers visiting Chicago with physical and interactive entertainment and gaming experiences.

We intend to build a destination casino, hotel and entertainment venue that will showcase "The Best of Chicago" arts and culture, food and sports, and curated dining and entertainment experiences. Our permanent casino and resort in Chicago will be located on the 30-acre property which previously hosted the Chicago Tribune Publishing Center, at the intersection of Chicago Avenue and Halsted Street in downtown Chicago, and will look to transform this currently underutilized site into a major economic driver for the city. Our permanent casino and resort will be in close proximity to a wide range of hotels, theaters, bars, restaurants, major shopping districts and the McCormick Place Convention Center, the proximity to which will help drive traffic to our permanent casino and resort, primarily due to our differentiated gaming attractions in comparison to other offerings in this geographic location.

In developing the entertainment destination resort, we intend to adhere to Bally's community-first policy, which is a fundamental and defining element of who we are as a company. We believe that in every community in which Bally's operates, it has built strong, lasting partnerships with local residents and businesses. Chicago will be no different. With this project, we are committed to ensuring that our permanent casino and resort generates significant economic stimulus and creates a wealth of employment opportunities for the greater Chicago community.

On May 5, 2022, the City of Chicago selected us as the preferred bidder in Chicago's RFP process to construct and operate a world-class casino resort in downtown Chicago. We worked cooperatively with city officials and community leaders throughout the RFP process to develop a project that embraced Chicago as a global gateway city, incorporating its vibrant cultural scene and highly diversified economy. Chicago selected us on the basis that they believe our plan provides the most economic value to Chicago and its taxpayers, including an upfront payment of $40.0 million and annual payments to Chicago totaling $4.0 million. On June 9, 2022, we signed the Host Community Agreement with the City of Chicago formalizing our arrangement with Chicago to develop our casino and resort, and granting us the exclusive right upon receiving the appropriate approvals from the Illinois Gaming Board to operate a temporary casino for up to three years while our permanent casino and resort is constructed. Our temporary casino began operations on September 9, 2023.

The gaming taxes on our gaming revenue will be paid to the state of Illinois and the City of Chicago, with the City of Chicago taxes applied to pay a portion of the City's obligations toward its fire and police union pensions. Additionally, our permanent casino and resort is projected to create approximately 12,250 design, development and construction jobs and approximately 3,000 permanent jobs upon the opening of our permanent casino and resort.

#### Recent Developments

#### The Merger & Pushdown Accounting
The Bally's Corporation Merger with Casino Queen was completed on February 7, 2025 and was accounted for as a transaction between entities under common control and resulted in a change in control,

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due to the control of Bally's Corporation and Casino Queen by their parent and its affiliates before and after the Merger. Bally's Corporation elected to push down their parent's basis in its net assets into its financial statements. To better align the accounting and presentation with our public company parent, the Company has also determined that it will elect to apply pushdown accounting in these standalone financial statements. As a result of the application of pushdown accounting, these financial statements reflect the Company's basis in the assets and liabilities of Bally's Corporation, which were remeasured to fair value as of February 7, 2025. The purchase consideration in the Merger has been allocated to the Company's tangible and identifiable intangible assets and liabilities based upon their estimated fair values as of February 7, 202, with the excess of the purchase consideration over the aggregate net fair values recorded as goodwill. Refer to Note 6 "Business Combinations" to our condensed consolidated financial statements included elsewhere in this prospectus for additional information.

#### Issuance of Class A Interests
On March 10, 2025, pursuant to Rule 506(c), we sold a total of 1,185 Class A Interests, including 272 Class A-1 Interests at $250 per share, 281 Class A-2 Interests at $2,500 per share, 171 Class A-3 Interests at $5,000 per share and 461 Class A-4 Interests at $25,000 per share, to certain Accredited Investors for an aggregate purchase price of $13.2 million.

We also sold an additional 2,800 shares of Class A-4 Interests to Bally's Chicago HoldCo, LLC at a purchase price of $25,000 per share. Consideration received included cash of $63.7 million and $6.3 million of shares issued in lieu of payment on the promissory notes payable by us to Bally's Chicago HoldCo.

#### Subordinated Loan Agreement
In connection with the issuance of these shares, we entered into a subordinated loan agreement with Bally's Chicago HoldCo, pursuant to which Bally's Chicago HoldCo made subordinated term loans (the "Existing Subordinated Loans") to us totaling $16.5 million at an annual interest rate of 11.0%, compounded quarterly, with no maturity date. The Existing Subordinated Loans were funded through the Bally's Chicago HoldCo's transfer of 659 Class A-4 shares to us.

#### Limited Liability Company Agreement and Purchase of Additional LLC Interests
On March 10, 2025, Bally's Chicago OpCo amended and restated its limited liability company agreement issuing 30,000 LLC Units to Bally's Chicago HoldCo and appointing us as the sole managing member of Bally's Chicago OpCo.

Concurrently with the entry into the amended and restated limited liability agreement, we purchased 3,326 LLC Interests from Bally's Chicago OpCo for total purchase price of $83.2 million. We will continue to consolidate Bally's Chicago OpCo as the sole managing member in accordance with ASC 810, and consequently, the Bally's Chicago HoldCo's ownership interest in Bally's Chicago OpCo will be represented as a non-controlling interest in our consolidated financial statements.

#### Factors Affecting Our Results of Operations
Our operating results are not indicative of future operating results because we intend to dedicate the first several years of our corporate existence to the design, development and construction of our permanent casino and resort. Our temporary casino began operations on September 9, 2023 and did not generate any revenues prior to such date. Once our permanent casino and resort is operational, we expect our revenues will be primarily generated by gaming and entertainment offerings in connection with the operation of our casino and resort with remaining revenues from other non-gaming operations, which include hotel, food and beverage, and other.

As our business develops, we expect our revenues derived from the provision of non-gaming operations at our permanent casino and resort to increase in proportion to our revenues from gaming sources and expect the expenses we incur to be primarily related to the operation of our permanent casino and resort, including the servicing of our substantial debt.

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Our results of operations will be directly affected by certain factors specific to us, including the following:

#### Overall economic environment and growth in the gaming and tourism market in Chicago
The performance of the gaming and tourism industries in Chicago is impacted by a range of factors, including the overall U.S. economic climate, credit markets and consumer spending trends. Our future success will be largely dependent on the continued growth of Chicago as a tourist destination and hub for business travel, and by the overall popularity of the gaming market in Chicago.

According to Forbes and Business Insider, tourism to the City of Chicago reached approximately 55 million visitors prior to the COVID-19 pandemic and is expected to fully rebound by the end of 2024. Additionally, the local gaming market is highly fragmented, with approximately 17 gaming centers located within a 100-mile radius of our location. In order for our business model to be successful, we will need to capture a substantial portion of our total addressable market while simultaneously expanding the total addressable market by both increasing the amount of funds spent by residents of Cook County on gaming activities and by increasing the amount of funds spent by tourists that visit Chicago.

Income and spending levels of visitors from various neighboring states to Illinois and from national and international tourists are key factors in the development of a casino industry in Chicago. We believe that visitation and gaming revenue in Chicago will be largely driven by improved economic conditions throughout the Midwest, particularly as the United States recovers from the current downturn. Our operations can also be impacted by the ability of foreign citizens to access foreign currency and visa policies, particularly as we look to capitalize on the increased popularity of Chicago as an international tourist destination.

#### Our ability to successfully ramp-up our operations and develop a popular casino and resort
Our temporary casino began operations on September 9, 2023 and did not generate any revenues prior to such date. As such, we do not have any material financial results prior to September 9, 2023. We expect our operating costs, including staffing costs and marketing expenses, to continue to increase in line with our continued ramp-up.

As part of our business development initiatives, we intend to launch marketing campaigns and incentive programs to drive up visitation and increase awareness of our plans to build a new casino and resort. We believe these programs, along with the improving transportation infrastructure in Chicago, and introducing the city's first physical gaming facility and increasing food and beverage selections, entertainment options and retail offerings will enable us to attract Chicago residents and more visitors to Chicago and, in doing so, increase our exposure and revenue. However, notwithstanding our management's efforts to increase demand for our services and optimize the operations of our casino and resort, we have not yet commenced operations, and factors affecting our operations, including factors not currently known to us, may present challenges to further develop our businesses in a manner that is consistent with our current plans and expectations. If the ramp-up is not as successful as we expect, there may be a significant impact on our results of operations and financial condition.

Development of our permanent casino and resort remains in its early stages. We expect to have significant capital expenditures in the future as we create our existing operations and develop the proposed project. As we continue to develop our permanent casino and resort, we may need to incur additional indebtedness, beyond our substantial existing indebtedness, which could affect our interest expenses and financing costs and result in an increase in depreciation and amortization expenses.

#### Our ability to capitalize on our relationship with Bally's in order to successfully construct and develop our permanent casino and resort
In the short term, our success will be largely dependent on our ability to continue to obtain benefits from our relationship with Bally's, upon which we will rely for all of our operations. For example, Bally's Chicago OpCo entered into arrangements with Bally's subsidiary, BMG, to conduct corporate shared support services related to our operations under the Permanent Services Agreement and the Temporary Services Agreement. See "*Business — Our Relationship with Bally's Corporation*."

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In addition, there are various other related party transactions between Bally's and its subsidiaries and us, which we expect will comprise a significant part of our financial results for our first few years as an operating company as we construct and develop our permanent casino and resort. Under the Permanent Services Agreement and the Temporary Services Agreement, BMG agreed to provide us with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing. We believe that these shared services are beneficial to both us and Bally's in comparison to the cost and terms for similar services that we could negotiate on a stand-alone basis and, therefore, do not intend on obtaining competing services from other service providers at this time.

#### Our ability to excel in a highly competitive national and regional landscape
The market for gaming, hotel and other entertainment facilities in Chicago is rapidly evolving but remains in its infancy. While the Midwest is undergoing expansion since various states started to liberalize gaming (including sports betting), including with the potential arrival of several world-class integrated resorts opening in the Midwest with a significant increase in the number of hotel rooms and other non-gaming amenities which enhances the appeal of the Midwest as a tourism destination, Chicago is still not known as a location for gaming tourism and, therefore, we expect to face significant competition from more established regional and national gaming centers, including Las Vegas and Atlantic City.

Regionally, states such as Wisconsin, Missouri, Indiana, Ohio, Michigan and Iowa currently offer, or are considering expanding, gaming and non-gaming entertainment facilities, which has increased, and will continue to increase, the overall level of competition we face in the Midwest. We compete to some extent with these destinations because a portion of our revenue will be dependent on visitors from neighboring states to Illinois. Nationally, we face intense competition from international gaming centers such as Las Vegas and Atlantic City, which attract a high volume of international tourists by offering gaming and non-gaming activities.

Competition affects our ability to attract more patrons to our gaming and non-gaming facilities, and affects the price of our services, the level of our promotional activities, our operational and marketing costs and results of operations in general.

#### Our ability to manage our high level of indebtedness
Upon the closing of this offering, we will have a significant amount of indebtedness, including $ in Subordinated Loans. Our continued need to service our significant outstanding indebtedness will materially impact our finance costs and our cash flow. Moreover, since we are still in the early stages of operations of our temporary casino, we may need to access additional financing in order to continue to fund our capital expenditures in the further development of our permanent casino and resort, particularly to the extent our initial funding is insufficient to finalize our permanent casino and resort. In addition, our indebtedness will include covenants that restrict our ability to incur additional indebtedness. As such, our success will be highly dependent on our ability to manage our indebtedness while continuing to reinvest in our business in order to remain competitive in future periods.

#### State and local taxes, including gaming-related taxes
In Illinois, state and local governments raise considerable revenues from license fees and taxes based on gaming, entertainment, hotel, food and beverage, and retail operations. We are also required to pay such taxes, including but not limited to property taxes, sales and use taxes, payroll taxes, franchise taxes, income taxes, hotel taxes, privilege taxes, gaming taxes, admissions taxes and amusement taxes, related to our operations. Our profitability generally should depend on generating enough revenues to cover variable expenses, including but not limited to payroll and marketing, as well as largely fixed expenses, including but not limited to rent, utilities and interest expense. From time to time, state and local governments generally have increased gaming-related taxes, and such increases could significantly impact the profitability of our operations.

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We are generally subject to gaming-related taxes, including, but not limited to, Illinois admission and privilege taxes and Cook County gambling machine tax. We anticipate offsetting these taxes with potential offsets as permitted by law.

Our operations generally are subject to significant state and local gaming-related receipts-based taxes and fees, in addition to state and local taxes applicable to non-gaming operations, and such taxes and fees generally are subject to increase at any time. We generally anticipate being subject to gaming-related receipts-based taxes imposed by Illinois, with Illinois and Chicago rates generally currently varying between approximately 8.1% – 40%, depending on certain factors, including but not limited to the amount of receipts received and the type of game.

In addition, from time to time, federal, state and local legislators and officials have proposed changes in tax laws, or in the administration of such laws, affecting the gaming industry. Further, worsening economic conditions could intensify the efforts of applicable state and local governments to raise revenues through increases in gaming taxes and/or non-gaming taxes. It is not possible to determine with certainty the likelihood of changes in tax laws in these jurisdictions or in the administration of such laws. Such changes, if adopted, could adversely affect our business, financial condition and results of operations. Any material increase, or the adoption of additional taxes or fees, could adversely affect our future financial results.

#### Operating Structure
Our business is organized into two reportable segments: (i) Temporary Casino and (ii) Permanent Casino. The ''Other adjustments" include certain unallocated corporate operating expenses and other adjustments to reconcile to the Company's consolidated results including, among other expenses, compensation for certain executives and other transaction costs. Refer to Note 13 "Segment Reporting" to our condensed consolidated financial statements included elsewhere in this prospectus for additional information on our segment reporting structure.

#### Key Performance Indicators
Temporary Casino Adjusted EBITDAR was $1.6 million for the Successor period from February 8 to March 31, 2025 and was $(0.9) million for the Predecessor period from January 1, 2025 to February 7, 2025, and $1.8 million for the Predecessor three months ended March 31, 2024.

Permanent Casino loss from operations was $16.0 million, $12.9 million and $21.5 million for the Successor period from February 8 to March 31, 2025, the Predecessor period from January 1, 2025 to February 7, 2025, and for the Predecessor three months ended March 31, 2024, respectively.

The following table sets forth the measures of segment performance for the Company's two reportable segments, reconciled to net loss on a consolidated basis. The Other adjustments category is included in the following table in order to reconcile the segment information to the Company's unaudited condensed consolidated financial statements.

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| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1, <br> 2025 to <br> February 7, <br> 2025**  | **Three Months <br> Ended <br> March 31, <br>2024**  |
| **Revenue** |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | $17796 | $11487 | $31522 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total revenue  | $17796 | $11487 | $31522 |
| **Permanent Casino Loss from Operations**  | $(15980) | $(3536) | $(1489) |
| **Temporary Casino Adjusted EBITDAR<sup>(1)</sup>**  | $1634 | $(917) | $1838 |
| **Reconciliation of segment performance measures to net loss:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino Operating costs and expenses:  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation and amortization  | (2320) | (1976) | (4277) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Expansion costs<sup>(2)</sup>  |  |  | (51) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | (8871) | (6129) | (15000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Temporary Casino operating costs and expenses**  | (9557) | (9022) | (17490) |
| **Total other expense, net<sup>(3)</sup>**  | (248) |  | (2140) |
| **Other adjustments**  | (369) | (314) | (430) |
| **Total Net loss**  | $(15980) | $(12872) | $(21549) |

---

(1) Adjusted EBITDAR is defined as total earnings, or loss, for the Temporary Casino before interest expense, net of interest income, provision (benefit) for income taxes, depreciation and amortization, non-operating (income) expense, expansion costs, management fees to Bally's Corporation, rent expense from triple net operating leases, and certain other gains or losses.

(2) The Company defines expansion expenses as costs incurred in connection with the opening of a new facility or significant expansion of an existing property. Costs classified as expansion consist primarily of marketing, master planning, conceptual design fees and legal and professional fees that are not eligible for capitalization and are included in "General and administrative" on the unaudited condensed consolidated statements of operations.

(3) Total other expense, net includes primarily interest expense.

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| | | |
|:---|:---|:---|
| **Predecessor**  | **Predecessor**  | **Predecessor**  |
| | **Year Ended <br> December 31**  | **Year Ended <br> December 31**  |
| **(in thousands)**  | **2024**  | **2023**  |
| **Revenue** |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | $128693 | $32177 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total revenue  | $128693 | $32177 |
| **Permanent Casino Loss from Operations**  | $(163757) | $(2227) |
| **Temporary Casino Adjusted EBITDAR<sup>(1)</sup>**  | $11250 | $7721 |
| **Reconciliation of segment performance measures to net loss:** |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino Operating costs and expenses:  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation and amortization  | 18300 | 5705 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Expansion costs<sup>(2)</sup>  | 112 | 22865 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | 60000 | 20000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Temporary Casino operating costs and expenses**  | 361398 | 78394 |
| **Total other expense, net<sup>(3)</sup>**  | 5425 | 10148 |
| **Other adjustments**  | 1786 | 3141 |
| **Total Net loss**  | $(238130) | $(56365) |

---

(1) Adjusted EBITDAR is defined as earnings, or loss, for the Temporary Casino before interest expense, net of interest income, provision (benefit) for income taxes, depreciation and amortization, non-operating (income) expense, expansion costs, management fees to Bally's Corporation, rent expense from triple net operating leases, and certain other gains or losses.

(2) The Company defines expansion expenses as costs incurred in connection with the opening of a new facility or significant expansion of an existing property. Costs classified as expansion consist primarily of marketing, master planning, conceptual design fees and legal and professional fees that are not eligible for capitalization and are included in "General and administrative" on the consolidated statements of operations.

(3) All Total other expense, net for the years ended December 31, 2024 and 2023 was included within the Permanent Casino reportable segment, and includes primarily interest expense.

#### Results of Operations
Our operating results for the period from February 8 to March 31, 2025 (Successor), the period from January 1, 2025 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor) are not indicative of future operating results because we intend to dedicate the first several years of our corporate existence to the design, development and construction of our resort and casino in Chicago. Our temporary casino began operations on September 9, 2023 and did not generate any revenues prior to such date. Once our permanent casino and resort is operational, we expect our revenues will be primarily generated by gaming and entertainment offerings in connection with the operation of our casino and resort in Chicago, with remaining revenues from other non-gaming operations, which include hotel, food and beverage, and other.

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 **The Successor Period from February 8 to March 31, 2025 and the Predecessor Period from January 1, 2025 to February 7, 2025 Compared to the Three Months Ended March 31, 2024 (Predecessor)** 

The following table presents, for the periods indicated, condensed consolidated statements of operations data:

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **in thousands**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1, <br> 2025 to <br> February 7, <br> 2025**  | **Three Months <br> Ended <br> March 31, <br> 2024**  |
| **Revenue:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | $15935 | $10353 | $28191 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 1861 | 1134 | 3331 |
| Total revenue  | 17796 | 11487 | 31522 |
| **Operating costs and expenses:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | 8157 | 6039 | 14472 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 1462 | 1260 | 1941 |
| &nbsp;&nbsp;&nbsp; General and administrative  | 10196 | 8946 | 15241 |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | 8871 | 6129 | 15000 |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 4842 | 1985 | 4277 |
| Total operating costs and expenses  | 33528 | 24359 | 50931 |
| **Loss from operations**  | (15732) | (12872) | (19409) |
| **Other income (expense):** |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest income  |  |  | 693 |
| &nbsp;&nbsp;&nbsp; Interest expense, net of amounts capitalized  | (248) |  | (2833) |
| Total other income (expense), net  | (248) |  | (2140) |
| Loss before income taxes  | (15980) | (12872) | (21549) |
| Benefit for income taxes  |  |  |  |
| **Net loss**  | $(15980) | $(12872) | $(21549) |
| Net loss attributable to Redeemable non-controlling interest  | (5613) |  |  |
| **Net loss attributable to Bally's Chicago, Inc.**  | $(10367) | $(12872) | $(21549) |

---

#### Segment Performance
The following table presents, for the periods indicated, condensed consolidated statements of operations data:

The following table sets forth certain financial information associated with results of operations for the period from February 8 to March 31, 2025 (Successor), the period from January 1, 2025 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor):

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| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1, <br> 2025 to <br> February 7, <br> 2025**  | **Three Months <br> Ended <br> March 31, <br> 2024**  |
| **Revenue:** |  |  |  |
| Gaming revenue |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | $15935 | $10353 | $28191 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |  |
|  | 15935 | 10353 | 28191 |
| Non-gaming revenue |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | 1861 | 1134 | 3331 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |  |
|  | 1861 | 1134 | 3331 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total revenue  | $17796 | $11487 | $31522 |
| **Operating costs and expenses:** |  |  |  |
| Gaming expenses |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | $8157 | $6039 | $14472 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |  |
|  | 8157 | 6039 | 14472 |
| Non-gaming expenses |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | 1462 | 1260 | 1941 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |  |
|  | 1462 | 1260 | 1941 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total gaming and non-gaming expenses  | $9619 | $7299 | $16413 |
| General and administrative |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | 6543 | 5105 | 13322 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  | 3284 | 3527 | 1489 |
| &nbsp;&nbsp;&nbsp; Other  | 369 | 314 | 430 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total general and administrative  | $10196 | $8946 | $15241 |

---

#### Revenue
Total revenue for the Successor period from February 8 to March 31, 2025 and the Predecessor period from January 1, 2025 to February 7, 2025 decreased 2.2 million when compared to the three months ended March 31, 2024 (Predecessor), primarily due to increased gaming holds. Once our permanent resort and casino in Chicago is operational, we expect revenues will primarily be generated by gaming and entertainment offerings in connection with the operation of our resort and casino in Chicago with remaining revenues from other non-gaming operations which include hotel, food and beverage, and retail, entertainment and other.

#### Gaming and non-gaming expenses
Gaming and non-gaming expenses for the Successor period from February 8 to March 31, 2025 and the Predecessor period from January 1, 2025 to February 7, 2025 increased 3% when compared to the three months ended March 31, 2024 (Predecessor). The increases in gaming and non-gaming expenses is primarily attributable to increased increased costs associated with the ramp up of employment at our temporary casino.

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#### General and administrative
General and administrative expenses for the Successor period from February 8 to March 31, 2025 and the Predecessor period from January 1, 2025 to February 7, 2025 increased 3.9 million when compared to the three months ended March 31, 2024, primarily attributable to the increase in expansion costs associated with the opening of our permanent casino.We have dedicated significant resources to commencing operations, including but not limited to company formation and compliance with various legal and regulatory requirements. We believe that some of these costs are primarily associated with the start-up phase of the company and may decrease as our operations mature. However, we will incur additional professional services expenses as a result of becoming a public company and expanding the business. As a result, we anticipate overall increased professional services expenses in the future to support our operations.

#### Depreciation and Amortization
Depreciation and amortization expense for the Successor period from February 8 to March 31, 2025 and the Predecessor period from January 1, 2025 to February 7, 2025 increased 60% from 4.3 million in the three months ended March 31, 2024 (Predecessor), driven by the amortization of the Company's gaming license during the Successor period from February 8 to March 31, 2025, which was determined to be finite-lived, with an estimated useful life of 18 years in connection with the Merger.

#### Other expense, net
Total other expense, net was $(0.2) million during the Successor period from February 8 to March 31, 2025, related to the Company interest expense attributable to its Subordinated loans, and $(2.1) million for the three months ended March 31, 2024 (Predecessor), which consisted primarily of interest expense related to the Company's previous long-term financing obligation for the Company's ground lease.

#### Provision for income taxes
During the Successor period from February 8 to March 31, 2025 and the Predecessor period from January 1, 2025 to February 7, 2025 and the three months ended March 31, 2024 (Predecessor), there was no provision expense recorded in the consolidated statement of operations as the Company has established a full valuation allowance against the net deferred tax asset position.

#### Year Ended December 31, 2024 Compared to Year Ended December 31, 2023
The following table presents, for the periods indicated, consolidated statements of operations data:

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| | | | |
|:---|:---|:---|:---|
| **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| | **Year Ended December 31,**  | **Year Ended December 31,**  | **Year Ended December 31,**  |
| | **2024**  | **2023**  | **% Change**  |
| **Revenue:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | $115844 | $28734 | 303% |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 12849 | 3443 | 273% |
| Total revenue  | 128693 | 32177 | 300% |
| **Operating costs and expenses:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | 60268 | 13430 | 349% |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 8134 | 2138 | 281% |
| &nbsp;&nbsp;&nbsp; General and administrative  | 64696 | 36441 | 78% |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | 60000 | 20680 | 190% |
| &nbsp;&nbsp;&nbsp; Loss on sale-leaseback  | 150000 |  |  |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 18300 | 5705 | 221% |
| Total operating costs and expenses  | 361398 | 78394 | 361% |

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| | | | |
|:---|:---|:---|:---|
| **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| | **Year Ended December 31,**  | **Year Ended December 31,**  | **Year Ended December 31,**  |
| | **2024**  | **2023**  | **% Change**  |
| **Loss from operations**  | (232705) | (46217) | 403% |
| **Other income (expense):** |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest income  | 1466 | 2778 | (47)% |
| &nbsp;&nbsp;&nbsp; Interest expense, net of amounts <br> capitalized  | (6891) | (13819) | (50)% |
| &nbsp;&nbsp;&nbsp; Other non-operating income, net  |  | 893 | (100)% |
| Total other expense, net  | (5425) | (10148) | (47)% |
| Loss before provision for income taxes  | (238130) | (56365) | 323% |
| Benefit for income taxes  |  |  |  |
| **Net loss**  | $(238130) | $(56365) | 323% |

---

 *Revenue* 

Total revenue for the year ended December 31, 2024 was $128.7 million, an increase of $96.5 million compared to $32.2 million for the year ended December 31, 2023. Once our permanent casino and resort in Chicago is operational, we expect revenues will primarily be generated by gaming and entertainment offerings in connection with the operation of our casino and resort in Chicago with remaining revenues from other non-gaming operations which include hotel, food and beverage, and other.

 *Gaming and non-gaming expenses* 

Gaming and non-gaming expenses for the years ended December 31, 2024 and 2023 were $68.4 million and $15.6 million, respectively. The increase in gaming and non-gaming expenses is directly attributable to the temporary casino having a full year of operations in fiscal 2024, compared to only operating from September 9, 2023 through the end of fiscal 2023.

 *General and administrative* 

General and administrative expenses for the years ended December 31, 2024 and 2023 were $64.7 million and $36.4 million, respectively. General and administrative expenses for both years consisted primarily of professional fees, salaries, bonuses and benefits for employees, rent expense attributable to our temporary casino and other general and administrative expenses, all of which increased from the prior year due to the temporary casino having a full year of operations in fiscal 2024.

We have dedicated significant resources to commencing operations, including but not limited to company formation and compliance with various legal and regulatory requirements. We believe that some of these costs are primarily associated with the start-up phase of the company and may decrease as our operations mature. However, we will incur additional professional services expenses as a result of becoming a public company and expanding the business. As a result, we anticipate overall increased professional services expenses in the future to support our operations.

 *Loss on Sale-Leaseback* 

During the year ended December 31, 2024, GLP Capital, L.P. ("GLP") acquired the real estate underlying the permanent casino and resort, for which the Company was subject to the financing obligation, assuming the existing lease, for which the Company was subject to a $200.0 million financing obligation. Reclassifying the lease as an operating lease due to the transfer of control of the land asset from the Company to the lessor, permitted sale recognition, resulting in the Company derecognizing the $350.0 million land asset and the $200.0 million the long-term financing obligation, and recording a $150.0 million loss on sale-leaseback.

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 *Depreciation and amortization* 

Depreciation and amortization expense for the years ended December 31, 2024 and 2023 was $18.3 million and $5.7 million, respectively. Depreciation and amortization expense began to be incurred when the assets purchased for our temporary casino were placed into service on the facility's opening date of September 9, 2023.

 *Management fees from Bally's Corporation* 

Management fees from Bally's Corporation during the years ended December 31, 2024 and 2023 were $60.0 million and $20.7 million, respectively, an increase of $39.3 million. The increase in management fees is due to the addition of the corporate services agreement with Bally's Corporation put into place during the year, requiring a fixed monthly payment of $5.0 million, beginning in September 2023 with the commencement of operations at our temporary casino. The corporate services agreement provides us with certain administrative and corporate services from Bally's Management Group, LLC, a wholly owned subsidiary of Bally's Corporation. Additional management fees incurred during the year ended December 31, 2023 included approximately $0.6 million of personnel and administrative costs allocated to us from our parent prior to the commencement of operations at our temporary casino, based on an estimated percentage of time spent on our activities by corporate employees.

 *Other (income) expense* 

Total other expense during the year ended December 31, 2024 was $5.4 million, compared to $10.1 million during the year ended December 31, 2023. The decrease in expense in the current year was primarily driven by the $6.9 million decrease in interest expense related the Company's ground lease being reassessed and reclassified as an operating lease in the third quarter of 2024.

 *Provision for income taxes* 

During the years ended December 31, 2024 and 2023, there was no provision expense recorded in the consolidated statement of operations as the Company has established a full valuation allowance against its net deferred tax asset position.

#### Liquidity and Capital Resources
 *Overview* 

To date, we have relied mostly on Bally's Corporation for liquidity and capital resources. The consolidated financial statements include fees paid in accordance with the Temporary Services Agreement, as described below, providing us with certain administrative and corporate services, beginning in September 2023 with the commencement of operations at our temporary casino. Additionally, the consolidated financial statements include allocations of certain general, administrative, sales and marketing expenses from our parent, which management believes is commensurate with services provided at fair value of $8.9 million, $6.1 million and $15.0 million for the period from February 8 to March 31, 2025 (Successor), the period from January 1, 2025 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor), respectively, and $60.0 million and $20.7 million for the years ended December 31, 2024 (Predecessor) and 2023 (Predecessor), respectively.

As of December 31, 2022 (Predecessor), additional paid in capital from our parent was $63.5 million, primarily attributable to the $51.0 million gaming license and other miscellaneous funding. During the year ended December 31, 2023 (Predecessor), we returned $62.5 million of capital to Bally's Corporation through the issuance of Pre-IPO Intercompany Notes. Additionally, expenses paid by Bally's Corporation on the Company's behalf totaling $642.4 million have been converted into the Pre-IPO Intercompany Notes, all of which are payable on December 31, 2025.

In January 2025, we obtained a letter of support from Bally's Corporation, pursuant to which Bally's Corporation commits to fund all of our operating, investing, and financing activities through at least

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December 31, 2026 and further commits not to make any decision or action that would reasonably be expected to negatively affect our ability to continue as a going concern through at least December 31, 2026.

In the event that less than $250 million in aggregate amount of gross proceeds from Class A Interests and corresponding Subordinated Loans are received in this offering and the concurrent private placement transactions, Bally's Corporation intends to cause Bally's Chicago HoldCo to provide additional funding to us in an amount equal to such shortfall. The funding may be provided through the purchase by Bally's Chicago HoldCo of Class A Interests in this offering or the concurrent private placements or through the issuance by us of additional debt, equity, equity-linked securities or intercompany notes to Bally's Corporation, Bally's Chicago HoldCo or their affiliates, or other methods.

Based on Bally's equity commitments to Bally's Chicago OpCo and the financing we have received from GLPI, we believe that we are sufficiently capitalized until the opening of our permanent casino and resort. However, unforeseen events could necessitate us to raise additional capital. If we do need to raise additional capital, we may seek to do so through various sources, including equity offerings, debt financings, collaborations, strategic alliances and/or licensing arrangements. We cannot assure you that we will be able to obtain additional funds on acceptable terms, or at all. If we raise additional funds by issuing equity or equity-linked securities, our stockholders may experience dilution. Debt financing, if available, may involve restrictive covenants, which may limit our ability to operate moving forward. If we raise funds through collaborations, strategic alliances or licensing arrangements with third parties, we may have to relinquish valuable rights to our intellectual property and/or future revenue streams, or grant licenses on terms that may not be favorable to us. Furthermore, if Bally's Chicago HoldCo purchases Class A Interests in this offering or the concurrent private placements, we may pursue a secondary public offering of such Class A Interests in the future.

Following the closing of this offering, we expect to begin reimbursing our parent for certain additional costs directly associated with operating our business. These costs include personnel and related costs for employees wholly dedicated to the Company, legal and other professional services directly related to the Company's operations as well as any travel expenses incurred by wholly dedicated employees. Prior to the consummation of our public offering, our parent has funded, and intends to continue to fund, our operations through direct cash contributions and non-cash contributions.

Our capital expenditures are primarily related to the leases for our temporary casino and permanent casino and resort sites, as well as our design and development agreements for our permanent casino and resort and our guaranteed maximum price agreement to develop our temporary casino. In addition, we expect that our operations will continue to consume substantial amounts of cash as we aggressively build our permanent casino and resort and our internal marketing, compliance and other administrative functions. Following the consummation of our initial public offering we will continue to operate under the services agreement with BMG, a subsidiary of our parent, pursuant to which BMG agreed to provide us and certain subsidiaries of Bally's Corporation with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing. We agreed to pay BMG an annual fee equal to the salaries, burden, overhead and other operating costs for providing such services based on our share of those costs calculated by reference to an appropriate common-size metric plus 6%, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code.

We will begin to assume management and administrative tasks at such time in the future as the actual cost of these services is less than our service fee to BMG, which we do not anticipate will occur until we begin to generate significant cash flows from our operations. However, if BMG is unable to perform any of the services that they are required to perform under the services agreement, due to financial difficulty or otherwise, then we may be forced to assume management and administrative tasks, and incur additional expenses, sooner than we anticipate. Until such time, we will continue to rely on BMG to conduct our operations in accordance with the services agreement. We are dependent on the continued support of our parent and have obtained a letter of support whereby our parent has committed to fund all of our operating, investing, and financing activities through at least December 31, 2026.

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We estimate that the net proceeds we will receive from the sale of Class A Interests in this offering will be approximately $195.1 million and, together with the net proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, will total $250.0 million, in each case assuming the sale of Class A Interests at the offering prices set forth on the cover of this prospectus, after deducting placement agent fees and offering and private placement expenses payable by us. See "*Plan of Distribution*" for additional detail regarding the placement agent fees.

We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, to purchase 10,000 LLC Interest directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest.

Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to Bally's Chicago, Inc. to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes.

On July 11, 2024, Bally's entered into the GLP Term Sheet with GLP for a strategic construction and financing arrangement, including up to $940.0 million of funding for the construction of our permanent casino and resort. In connection therewith, GLP acquired the fee interest in the property on which we plan to develop our permanent casino and resort from the Oak Street Landlord and succeeded to the Oak Street Landlord's interest as landlord under the Oak Street Lease Agreement. We intend to enter into (x) the GLP Lease Agreement to lease such property and (y) the GLP Development Agreement pursuant to which GLP will commit to advance up to $940 million of GLP Development Advances for the payment of hard costs used to construct our permanent casino and resort in exchange for increasing the amount of rent that we pay to GLP under the GLP Lease Agreement. Upon entering into the GLP Lease Agreement and the GLP Development Agreement, the Oak Street Lease Agreement will be terminated. The GLP Lease Agreement will have a 15-year term followed by multiple renewal terms to be agreed between us and GLP, and rent payable under the GLP Lease Agreement will be (a) $20.0 million annually, subject to annual escalations to be set forth therein, plus (b) an annual amount equal to 8.5% of the GLP Development Advances that GLP advances to us.

GLP's obligation to make GLP Development Advances under the GLP Development Agreement will be subject to certain conditions, including the following: (a) we shall have unrestricted access to funds in an amount sufficient at the time of each GLP Development Advance to fund the construction of our permanent casino and resort and (b) all of the definitive documents required by the GLP Term Sheet shall have been signed, or, if such definitive documents cannot be signed without regulatory approval required under applicable law and such regulatory approval is the sole condition precedent to the signing of such definitive documents, such definitive documents are in final form and have been submitted for regulatory approval. We will be obligated to construct our permanent casino and resort in compliance with terms and conditions to be set forth in the GLP Development Agreement, which are expected to be customary and reasonable for large scale multi-phase developments and are expected to include the satisfaction of to-be-specified development and construction milestones.

The terms and conditions of the GLP Lease Agreement and the GLP Development Agreement are subject to ongoing negotiations between us and GLP, and no guarantees can be given that we will enter into the GLP Lease Agreement or the GLP Development Agreement on the terms described herein or at all. We expect to consummate the GLP Lease Agreement and terminate the Oak Street Lease Agreement in the third quarter of 2025.

We believe the net proceeds from this offering, together with the net proceeds from the concurrent private placements, the Subordinated Loans, the IPO Expenses Note, the Post-IPO Capital Commitment and existing cash and cash equivalents and interest thereon, will be sufficient to fund our projected operating expenses until the opening of our permanent casino and resort. However if and until we begin generating a sufficient amount of cash from our operations, if our operating and other expenses are higher than we expect, or if or our ability to generate positive cash flow from our casino and resort is lower than we expect, then we may also need to raise additional funds, including from public or private equity or debt offerings or additional debt and/or equity or equity-linked security issuances made to Bally's and/or its affiliates.

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Additional capital may not be available on reasonable terms, if at all. If we are unable to raise additional capital in sufficient amounts or on terms acceptable to us we may not be able to continue to operate and we may have to significantly delay, scale back or discontinue our operations. If we raise additional funds through the issuance of additional debt or equity securities it could result in dilution to our existing stockholders, and/or fixed payment obligations that could reduce our ability to pay dividends or otherwise fund our other operations. Furthermore, these securities may have rights senior to those of our stock and could contain covenants that would restrict our operations and potentially impair our competitiveness, such as limitations on our ability to incur additional debt, limitations on our ability to operate our casino and resort without consent and other operating restrictions that could adversely impact our ability to conduct our business.

 *Cash Flows Summary* 

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 <br> to March 31, <br> 2025**  | **Period from <br> January 1, <br> 2025 to <br> February 7, <br> 2025**  | **Three <br> Months <br> Ended <br> March 31, <br> 2024**  | **December 31, <br> 2024**  | **December 31, <br> 2023**  |
| Net cash used in operating activities  | $(11031) | $(6136) | $(11765) | $(69518) | $(47927) |
| Net cash used in investing activities  | (22941) | (10969) | (18353) | (135280) | (326428) |
| Net cash provided by financing activities  | 30985 | 21170 | 31915 | 148012 | 444568 |
| Net change in cash and restricted cash  | (2987) | 4065 | 1797 | (56786) | 70213 |
|  Cash and restricted cash, beginning of <br> period  | 18584 | 14519 | 71305 | 71305 | 1092 |
| Cash and restricted cash, end of period  | $15597 | $18584 | $73102 | $14519 | $71305 |

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 *Operating Activities* 

Net cash used in operating activities for the Successor period from February 8 to March 31, 2025 was $11.0 million and net cash used in operating activities for the Predecessor period from January 1 to February 7, 2025 and the three months ended March 31, 2024 were $6.1 million and $11.8 million. Net cash used in operating activities for the year ended December 31, 2024 (Predecessor) was $69.5 million, compared to $47.9 million for the year ended December 31, 2023 (Predecessor). All periods presented were impacted by net loss positions and changes in working capital associated with the Company's expansion.

 *Investing Activities* 

Net cash used in investing activities for the Successor period from February 8 to March 31, 2025 was $22.9 million and net cash used in investing activities for the Predecessor period from January 1 to February 7, 2025 and the three months ended March 31, 2024 were $11.0 million and $18.4 million, respectively. Net cash used in investing activities for the year ended December 31, 2024 (Predecessor) was $135.3 million, compared to $326.4 million for the year ended December 31, 2023 (Predecessor). The Company's cash used in investing activities during the presented periods was mainly attributable to payments of $135.3 million made in 2023 related to the Company's gaming license, coupled with the Company's capital expenditures, which included $100.0 million of payments made towards gaining possession of the land underlying the future permanent casino and resort during the year ended December 31, 2024 (Predecessor) and increased capital expenditures related to the design and development of our permanent casino during the 2025 periods.

 *Financing Activities* 

Net cash provided by financing activities for the Successor period from February 8 to March 31, 2025 was $31.0 million and net cash provided by financing activities for the Predecessor period from January 1 to February 7, 2025 and the three months ended March 31, 2024 were $21.2 million and $31.9 million, respectively. Net cash provided by financing activities for the year ended December 31, 2024 (Predecessor)

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was $148.0 million, compared to $444.6 million for the year ended December 31, 2023 (Predecessor). Cash provided by financing activities during the periods presented is primarily attributable to the financing provided by Bally's Corporation, combined with the Private Placement proceeds during the Successor period from February 8 to March 31, 2025.

#### Contractual Obligations and Commitments
Our principal contractual obligations are limited to our obligations under our services agreement with BMG and the Host Community Agreement. Additionally, under the Illinois Gambling Act, we will be responsible to pay various gaming license fees to the Illinois Gaming Board in connection with our casino operations. We are not committed to any future capital expenditures, including rental commitments, which are solely in the name of Bally's Corporation. See "— *Results of Operations*" for additional information on the allocation of rent expenses from our parent to us from inception to date.

#### Permanent Services Agreement
In January 2023, Bally's Chicago OpCo and certain subsidiaries of Bally's Corporation entered into the Permanent Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Permanent Services Agreement, BMG agreed to provide us and certain subsidiaries of Bally's Corporation with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing upon the opening of our permanent casino and resort. Pursuant to the Permanent Services Agreement, we agreed to pay BMG an annual fee equal to the salaries, burden, overhead and other operating costs for providing such services based on our share of those costs calculated by reference to an appropriate common-size metric plus 6%, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is one year, beginning upon the opening of our permanent casino and resort, and will be automatically renewed for successive one-year terms, unless either party serves on the other a written notice of termination. See "*Transactions with Related Persons — Permanent Services Agreement*."

#### Temporary Services Agreement
In August 2023, Bally's Chicago OpCo entered into the Temporary Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Temporary Services Agreement, BMG agreed to provide us with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing related to our temporary casino. Pursuant to the Temporary Services Agreement, we agreed to pay BMG a monthly fee equal to $5.0 million, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is two years, beginning August 30, 2023, and will be automatically renewed for successive one-year terms for as long as our temporary casino is licensed to continue operations, unless BMG serves on Bally's Chicago OpCo a written notice of termination. The Temporary Services Agreement shall automatically terminate when our temporary casino permanently closes and our permanent casino and resort opens to the public. See "*Transactions with Related Persons — Temporary Services Agreement*."

#### Host Community Agreement
In connection with the entry into the Host Community Agreement with the City of Chicago, we were required to make a one-time payment to the City of Chicago equal to $40.0 million, and are required to make ongoing payments of $4.0 million per year beginning on September 9, 2023, the date that our temporary casino opened to the general public. Additionally, in connection with the Host Community Agreement, Bally's Corporation was required to provide the City of Chicago with a guaranty whereby the Company is required to have and maintain available financial resources in an amount reasonably sufficient to fund all amounts necessary to allow us to meet our obligations under the Host Community Agreement and, to the extent we fail to perform any obligations thereunder, assume full responsibility for and perform our obligations

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in accordance with the terms, covenants and conditions set forth in the Host Community Agreement. The guaranty also required that we indemnify and hold the City of Chicago harmless from and against any and all loss, cost, damage, injury, liability, claim or reasonable and documented expense the City of Chicago may suffer or incur by reason of any nonpayment or nonperformance of any of our obligations.

Further, the Host Community Agreement establishes a minimum capital investment of $1.34 billion on the design, construction and equipping of our temporary casino and our permanent casino and resort. As of March 31, 2025 (Successor), approximately $1.0 billion of this commitment remains. The actual cost of the development may exceed this minimum capital investment amount. In addition, land acquisition costs and financing costs, among other types of costs, are not counted toward meeting this minimum capital investment amount.

Our temporary casino, situated in the former location of the Medinah Temple at 600 N. Wabash Ave, opened on September 9, 2023, and includes approximately 800 gaming positions and six food and beverage venues. As of March 31, 2025 (Successor), we have incurred approximately $70.0 million in costs in connection with the design and development of our temporary casino and have incurred approximately $295.8 million in costs related to the construction and development of our permanent casino and resort. Our permanent casino and resort is expected to be open to the public in September 2026, however, there can be no assurances that the Company will be successful in so doing. Any increased construction costs could materially and adversely affect the return on the Company's investments.

#### Lease Modification Agreement
In connection with the Lease Modification Agreement with Chicago Tribune Company, LLC ("Tribune"), Tribune was contractually required to surrender and vacate the proposed site of our permanent casino and resort no later than July 5, 2024, subject to the $150 million Lease Modification Payment by us to Tribune. The Lease Modification Payment was paid in three installments, $10 million which was paid on April 3, 2023, $90 million which was paid on July 5, 2023 and $50 million which was paid on July 9, 2024, subsequent to Tribune vacating the site.

We are in the process of demolishing the current building located in the proposed site of our permanent casino and resort in order to build our permanent casino and resort. Accordingly, prior rental revenues and operating costs of the proposed site of our permanent casino and resort as it currently exists are in no way representative nor indicative of the anticipated sales revenues and operating costs of our permanent casino and resort, and thus disclosure of such financial measures would be misleading. In reliance on paragraph 2330.9 of the Financial Reporting Manual of the Division of Corporation Finance of the Securities and Exchange Commission and Rule 11-01(c) of Regulation S-X, we have determined that the reporting of historical financial statements and pro forma financial information for the proposed site of our permanent casino and resort under Rule 3-14 of Regulation S-X is not required.

#### GLP Lease Agreement and GLP Development Agreement
On July 11, 2024, Bally's entered into the GLP Term Sheet with GLP for a strategic construction and financing arrangement, including up to $940.0 million of funding for the construction of our permanent casino and resort. In connection therewith, GLP acquired the fee interest in the property on which we plan to develop our permanent casino and resort and from the Oak Street Landlord succeeded to the Oak Street Landlord's interest as landlord under the Oak Street Lease Agreement. We intend to enter into (x) the GLP Lease Agreement to lease such property and (y) the GLP Development Agreement pursuant to which GLP will commit to advance up to $940 million of GLP Development Advances for the payment of hard costs used to construct our permanent casino and resort in exchange for increasing the amount of rent that we pay to GLP under the GLP Lease Agreement. Upon entering into the GLP Lease Agreement and the GLP Development Agreement, the Oak Street Lease Agreement will be terminated. The GLP Lease Agreement will have a 15-year term followed by multiple renewal terms to be agreed between us and GLP, and rent payable under the GLP Lease Agreement will be (a) $20.0 million annually, subject to annual escalations to be set forth therein, plus (b) an annual amount equal to 8.5% of the GLP Development Advances that GLP advances to us. In addition, Bally's agreed in the GLP Term Sheet to enter into the New Bally's Master Lease Agreement with GLP with respect to the real properties underlying Bally's Kansas City, Bally's Shreveport, and Twin River Lincoln.

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The terms and conditions of the GLP Lease Agreement are expected to be substantially the same as the Existing Bally's Master Lease Agreement, dated June 3, 2021, by and between Bally's Management Group, LLC, an affiliate of Bally's, and GLP, except as modified by the terms set forth in the GLP Term Sheet. GLP will have the right to terminate the GLP Lease Agreement upon any event of default under the GLP Lease Agreement. Such events of default are expected to include, without limitation, a failure to pay amounts due after applicable notice and cure periods, certain bankruptcy or insolvency events, a cross-default with the GLP Development Agreement and the failure to comply with a variety of covenants after applicable notice and cure periods, including those related to the development of our permanent casino and resort, repair and maintenance, alterations and insurance. In addition, the GLP Lease Agreement will be amended to add a cross-default to the Bally's Master Lease Agreements upon any refinancing, extension or majority amendment of Bally's existing credit facilities.

There will also be certain restrictions on our ability to assign our interest in the GLP Lease Agreement without having to obtain GLP's prior consent, including requirements for the transferee (or its parent company) to satisfy certain financial metrics and have a certain level of experience in operating or managing casinos.

GLP's obligation to make GLP Development Advances under the GLP Development Agreement will be subject to certain conditions, including the following: (a) we shall have unrestricted access to funds in an amount sufficient at the time of each GLP Development Advance to fund the construction of our permanent casino and resort and (b) all of the definitive documents required by the GLP Term Sheet shall have been signed, or, if such definitive documents cannot be signed without regulatory approval required under applicable law and such regulatory approval is the sole condition precedent to the signing of such definitive documents, such definitive documents are in final form and have been submitted for regulatory approval. We will be obligated to construct our permanent casino and resort in compliance with terms and conditions to be set forth in the GLP Development Agreement, which are expected to be customary and reasonable for large scale multi-phase developments and are expected to include the satisfaction of to-be-specified development and construction milestones.

The GLP Development Agreement will contain customary representations and covenants by us and will contain funding conditions in each case which are customary and reasonable for large scale multi-phase developments, including, without limitation, (a) GLP's reasonable approval of plans and specifications, the project budget (including amendments thereto and reallocations therein except those to be permitted under the GLP Development Agreement), the project schedule, the underlying construction and architect contracts, and all change orders (subject to exceptions to be set forth in the GLP Development Agreement), (b) GLP's receipt of appropriate lien waivers, (c) budget balancing requirements, (d) retainage requirements, (e) the identification of a GLP representative as "owners representative" under the construction contract, and (f) other customary conditions, all to be set forth in the GLP Development Agreement. The GLP Development Agreement will also contain defaults and remedies which are customary and reasonable for large scale multi-phase developments, including, without limitation, a cross-default with the GLP Lease Agreement. We will not be permitted to assign, finance, transfer, pledge or encumber our interest in the GLP Development Agreement without GLP's prior written consent, whether or not any such assignment, financing, transfer, pledge or encumbrance is permitted with respect to the GLP Lease Agreement, other than to a permitted leasehold mortgagee under the GLP Lease Agreement.

The terms and conditions of the GLP Lease Agreement and the GLP Development Agreement are subject to ongoing negotiations between us and GLP, and no guarantees can be given that we will enter into the GLP Lease Agreement or the GLP Development Agreement on the terms described herein or at all. We expect to consummate the GLP Lease Agreement and terminate the Oak Street Lease Agreement in the third quarter of 2025.

#### Casino Fees
Under the Illinois Gambling Act, the Company will be responsible to pay a reconciliation fee payment three years after the date operations commenced (in a temporary or permanent facility) in an amount equal to 75% of the adjusted gross receipt ("AGR") for the most lucrative 12-month period of operations, minus the amount equal to the initial payment per gaming position paid.

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#### Off-Balance Sheet Arrangements
We did not have during the periods presented, and we do not currently have, any off-balance sheet arrangements, as defined in the rules and regulations of the SEC.

#### Critical Accounting Estimates
The preparation of our consolidated financial statements in accordance with US GAAP requires us to make estimates and apply judgments that affect reported amounts. These estimates and judgements are based on past events and/or expectations of future outcomes. Actual results may differ from our estimates. We discuss our significant accounting policies used in preparing the financial statements in Note 2 of our consolidated financial statements. The following is a summary of our critical accounting estimates and how they are applied in the preparation of our consolidated financial statements.

 *Valuation of Intangible Assets* 

Intangible assets consist primarily of a gaming license, which has been valued through application of push down accounting in connection with the Merger.

The gaming license is valued using the Greenfield Method under the income approach. This method estimates isolated income that properly attributable to a license based on modeling a hypothetical start-up company going into business without any other assets than the gaming license being valued and building a new casino with similar utility to the existing casino. Using this method, the valuation of the gaming license is dependent upon significant estimates such as projected revenues and cash flows, estimated construction costs, duration of that construction, expansion expenses and appropriate discounting. Gaming licenses accounted for as asset acquisitions are valued at cost.

For our finite-lived intangible asset, we establish a useful life upon initial recognition based on the period over which the asset is expected to contribute to the future cash flows of the Company and periodically evaluates the remaining useful lives to determine whether events and circumstances warrant a revision to the remaining amortization period. Finite-lived intangible assets are amortized over their remaining useful lives in a pattern in which the economic benefits of the intangible asset are consumed, which is generally on a straight-line basis.

 *Income Taxes* 

We prepare our income tax provision in accordance with Accounting Standards Codification ("ASC") 740, *Income Taxes.* Under the asset and liability method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statements carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards.

Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that the rate change is enacted. A valuation allowance is required when it is "more likely than not" that all or a portion of the deferred taxes will not be realized. We assessed our deferred tax liabilities arising from taxable temporary differences and concluded such liabilities are not a sufficient source of income for the realization of deferred tax assets, including indefinite life taxable temporary differences which offset, subject to limitation, deferred tax assets with unlimited carryovers. Accordingly, the Company's valuation allowance of $94.2 million reflects an increase of $72.4 million recorded during the year ended December 31, 2024 (Predecessor).

#### Qualitative and Quantitative Disclosures about Market Risk
We did not have during the periods presented, and we do not currently have, any market risk sensitive instruments, as defined in the rules and regulations of the SEC.

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#### JOBS Act and Smaller Reporting Company Status
The Jumpstart Our Business Startups Act of 2012, or JOBS, permits an "emerging growth company" such as us to take advantage of an extended transition to comply with new or revised accounting standards applicable to public companies until those standards would otherwise apply to private companies. We have irrevocably elected not to use this extended transition period. As a result, our consolidated financial statements are comparable to the financial statements of companies that comply with new or revised accounting pronouncements as of public company effective dates.

We intend to rely on other exemptions provided by the JOBS Act, including without limitation, not being required to comply with the auditor attestation requirements of Section 404(b) of Sarbanes-Oxley.

We will remain an emerging growth company until the earliest of (i) the last day of the fiscal year following the fifth anniversary of the consummation of this offering, (ii) the last day of the fiscal year in which we have total annual gross revenue of at least $1.235 billion, (iii) the last day of the fiscal year in which we are deemed to be a "large accelerated filer" as defined in Rule 12b-2 under the Exchange Act, which would occur if, among other factors, the market value of our stock held by non-affiliates exceeded $700.0 million as of the last business day of the second fiscal quarter of such year (subject to certain conditions), or (iv) the date on which we have issued more than $1.0 billion in non-convertible debt securities during the prior three-year period.

We are also a smaller reporting company as defined in the Exchange Act. We may continue to be a smaller reporting company even after we are no longer an emerging growth company. We may take advantage of certain of the scaled disclosures available to smaller reporting companies and will be able to take advantage of these scaled disclosures for so long as our voting and non-voting shares of stock held by non-affiliates is less than $250.0 million measured on the last business day of our second fiscal quarter, or our annual revenue is less than $100.0 million during the most recently completed fiscal year and our voting and non-voting shares of stock held by non-affiliates is less than $700.0 million measured on the last business day of our second fiscal quarter.

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#### BUSINESS

#### Our Mission
Our mission is to design, build and operate a world-class entertainment destination resort, befitting Chicago's status as a world-class city.

#### Our Company
We are a gaming, hospitality and entertainment company with the singular focus of building and operating a world-class entertainment destination resort in Chicago, Illinois. We intend to provide both Chicago residents and business and leisure travelers visiting Chicago with physical and interactive entertainment and gaming experiences.

We intend to build a destination casino, hotel and entertainment venue that will showcase "The Best of Chicago" arts and culture, food and sports, and curated dining and entertainment experiences. Our permanent casino and resort in Chicago will be located on the 30-acre property which previously hosted the Chicago Tribune Publishing Center, at the intersection of Chicago Avenue and Halsted Street in downtown Chicago, and will look to transform this currently underutilized site into a major economic driver for the city. Our permanent casino and resort will be in close proximity to a wide range of hotels, theaters, bars, restaurants, major shopping districts and the McCormick Place Convention Center, the proximity to which will help drive traffic to our permanent casino and resort, primarily due to our differentiated gaming attractions in comparison to other offerings in this geographic location.

In developing the entertainment destination resort, we intend to adhere to Bally's community-first policy, which is a fundamental and defining element of who we are as a company. We believe that in every community in which Bally's operates, it has built strong, lasting partnerships with local residents and businesses. Chicago will be no different. With this project, we are committed to ensuring that our permanent casino and resort generates significant economic stimulus and creates a wealth of employment opportunities for the greater Chicago community.

Among other features and amenities, once finalized, our permanent casino and resort is being designed to include approximately:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 3,400 slot machines;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 173 table games;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 10 F&B venues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a hotel tower with 500 rooms and a rooftop bar;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a 3,000-person mixed use entertainment and event center;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 3,300 parking spaces; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • outdoor green space, including an expansive public riverwalk with a water taxi stop.

On May 5, 2022, the City of Chicago selected us as the preferred bidder in Chicago's RFP process to construct and operate a world-class casino resort in downtown Chicago. We worked cooperatively with city officials and community leaders throughout the RFP process to develop a project that embraced Chicago as a global gateway city, incorporating its vibrant cultural scene and highly diversified economy. Chicago selected us on the basis that they believe our plan provides the most economic value to Chicago and its taxpayers, including an upfront payment of $40.0 million and annual payments to the City totaling $4.0 million.

The gaming taxes on our gaming revenue will be paid to the state of Illinois and the City of Chicago, with the City of Chicago taxes applied to pay a portion of the City's obligations toward its fire and police union pensions. Additionally, our permanent casino and resort is projected to create approximately 12,250 design, development and construction jobs and approximately 3,000 permanent jobs upon the opening of our permanent casino and resort.

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#### Bally's Corporation
Our ultimate parent, Bally's Corporation, is a global gaming, hospitality and entertainment company with a portfolio of casinos and resorts and online gaming businesses. Bally's Corporation provides its customers with physical and interactive entertainment and gaming experiences, including traditional casino offerings, iGaming, online bingo, sportsbook and free to play games ("F2P").

As of March 31, 2025, Bally's Corporation owns and manages 19 casinos in 11 states across the United States, one golf course in New York, one horse racetrack in Colorado, and Aspers Casino in the United Kingdom. Its land-based casino operations include approximately 17,300 slot machines, 600 table games and 4,165 hotel rooms, along with various restaurants, entertainment venues and other amenities. Certain of its properties are leased under multiple lease and master lease arrangements with GLP Capital, L.P. ("GLP"), a subsidiary of Gaming and Leisure Properties, Inc. ("GLPI"), a publicly traded gaming-focused real estate investment trust ("REIT"). It also owns Bally Bet, a first-in-class sports betting platform, Bally Casino, a growing iCasino platform, Bally's Interactive International division (formerly Gamesys Group), a leading global interactive gaming operator, and a significant economic stake in Intralot S.A. (ATSE: INLOT), a global lottery management and services business. Its revenues are primarily generated by these gaming and entertainment offerings. Bally's Corporation owns and operates its proprietary software and technology stack designed to allow it to provide consumers with differentiated offerings and exclusive content.

On February 7, 2025, Bally's Corporation completed its previously announced transactions under the Agreement and Plan of Merger (as amended, the "Merger Agreement"), pursuant to which The Casino Queen & Entertainment Inc. ("Casino Queen"), a corporation majority-owned by funds managed by Standard General L.P., Bally's Corporation's largest common stockholder, merged with Bally's Corporation (the "Merger"). Pursuant to the agreement, Bally's stockholders received cash merger consideration of $18.25 per share, unless such stockholders elected the rollover election to forego the cash consideration in order to remain invested in the combined company. In connection with the foregoing transactions, Bally's combined with Casino Queen, a regional casino operator and owner of a significant minority stake in global lottery operator Intralot S.A.

The Bally's Corporation Merger with Casino Queen was accounted for as a transaction between entities under common control due to the control of the Company and Casino Queen by their parent and its affiliates before and after the Merger. The Company has elected to push down their parent's basis in its net assets into its unaudited condensed consolidated financial statements, and as a result, unless the context otherwise requires, the "Company," for periods prior to the Closing, refers to Bally's (or the "Predecessor"), and for the periods after the Closing, refers to the combined company of Bally's and Casino Queen (or the "Successor").

#### Our Location
We have leased a 30-acre property on the banks of the Chicago River, which previously hosted the Chicago Tribune Publishing Center. The proposed site for our permanent casino and resort is at the intersection of Chicago Avenue and Halsted Street in downtown Chicago, which we believe will be an optimal location for our permanent casino and resort. We will look to transform this currently underutilized site into a major economic driver for the city. The proposed site for our permanent casino and resort is also near major shopping and cultural attractions along Michigan Avenue, as well as a wide selection of hotels and restaurants at various price points and that are popular among local residents and tourists.

The proposed site is less than five minutes away from a major highway exit, making it easily accessible by car. We also intend to build a new water taxi stop and a new pedestrian bridge across the Chicago River to make the proposed site even more accessible to Chicago residents and tourists in the downtown area. Our permanent casino and resort will be the only casino in the City of Chicago. The next closest casino is 16 miles outside of the city and not easily accessible via public transportation.

Once fully developed and operational, it will take a commuter approximately:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 15 minutes on average to reach our permanent casino and resort from Chicago Loop via public transportation;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 10 minutes on average to reach our permanent casino and resort from Magnificent Mile via public transportation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 45 minutes on average to reach our permanent casino and resort from Chicago O'Hare International Airport via public transportation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 50 minutes on average to reach our permanent casino and resort from Midway Airport via public transportation.

In addition, our permanent casino and resort will have approximately 2,000 feet of contiguous river walk, public parks and docks. Additionally, it will include riverfront restaurants and other amenities, including locations for scenic views.

![[MISSING IMAGE: mp_permresort-4clr.jpg]](mp_permresort-4clr.jpg)

 *For illustrative purposes, subject to change, see "Risk Factors — Development and Construction Risks"* 

#### Design & Construction
Demolition for construction of our permanent casino, performance center, resort, F&B offerings and hotel began on July 5, 2024, and our permanent casino and resort is expected to open to the public in

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September 2026. Our plan is to build in phases with demolition, site prep, parking and access to be followed by the construction of the permanent casino, performance center, and hotel tower, and would target that key elements of the project to be ready and prepared to serve patrons by the third quarter of 2026. However, there can be no assurances that we will be successful in doing so. Additionally, based upon our joint assessment with GLPI at the time that we entered into the GLP Term Sheet (as defined herein), we expect to incur expenses amounting to at least approximately $1.4 billion in the design, development and construction of our permanent casino and resort. However, this estimate is subject to change based on numerous factors outside of our control, which could cause the actual construction costs to increase. Any increased construction costs could materially and adversely affect the return on our investments. For additional discussion of these factors, please see "*Risk Factors — Development and Construction Risks.*"

![[MISSING IMAGE: pht_resort1-4c.jpg]](pht_resort1-4c.jpg)

![[MISSING IMAGE: pht_resort2-4c.jpg]](pht_resort2-4c.jpg)

 *Permanent casino and resort renderings (November 2024) Illustrative design, subject to change, see "Risk Factors — Development and Construction Risks"* 

In connection with the development and construction of our permanent casino and resort, we intend to contract or achieve:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 46% or more of the funds earmarked for construction and development will be disbursed to businesses with a certification as Minority or women-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 50% or more total hours spent on construction and development by City of Chicago residents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • LEED Gold certification from Green Building Council; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 125 points under the Chicago Sustainable Development Policy.

In addition, we are in discussion with the Illinois Gaming Board and Midway International Airport to install slot machines at Midway International Airport.

In November 2022, we entered into the Oak Street Lease Agreement to lease the proposed site on which we plan to develop our permanent casino and resort. The Oak Street Lease Agreement commenced on November 18, 2022 and has a 99-year term.

The Oak Street Landlord has certain material approval rights under the Oak Street Lease Agreement, including over certain transfers, alterations and zoning decisions. The failure to obtain the Oak Street Landlord's consent to any of the foregoing could have a material adverse effect on our business, financial position or results of operations, and the undertaking of any such action without the Oak Street Landlord's consent could result in an event of default, which would give the Oak Street Landlord the right to terminate the Oak Street Lease Agreement.

The Oak Street Landlord also has the right to terminate the Oak Street Lease Agreement upon any event of default. Such events of default include, without limitation, a failure to pay amounts due after applicable notice and cure periods, certain bankruptcy or insolvency events, and the failure to comply with a variety of covenants after applicable notice and cure periods, including those related to the development of our permanent casino and resort, repair and maintenance, alterations and insurance. There are also certain restrictions on our ability to assign our interest in the Oak Street Lease Agreement without having to obtain the Oak Street Landlord's prior consent, including requirements for the transferee (or its parent company or other controlling entity) to satisfy certain financial metrics and have a certain level of experience in operating or managing casinos. In some cases, a transferee's parent company or other controlling entity would need to deliver to the Oak Street Landlord a guaranty of the transferee's obligations as a condition to any assignment.

The proposed site for our permanent casino and resort was previously subleased to and occupied by Tribune. On March 31, 2023, we entered into the Lease Modification Agreement with Tribune. Pursuant to the Lease Modification Agreement, Tribune is contractually required to surrender and vacate the proposed site of our permanent casino and resort no later than July 5, 2024, subject to the $150 million Lease Modification Payment by us to Tribune. The Lease Modification Payment was paid in three installments, $10 million which was paid on April 3, 2023, $90 million which was paid on July 5, 2023 and $50 million which was paid on July 9, 2024, subsequent to Tribune vacating the site.

On July 11, 2024, Bally's entered into the GLP Term Sheet with GLP for a strategic construction and financing arrangement, including up to $940.0 million of funding for the construction of our permanent casino and resort. In connection therewith, GLP acquired the fee interest in the proposed site on which we plan to develop our permanent casino and resort from the Oak Street Landlord and succeeded to the Oak Street Landlord's interest as landlord under the Oak Street Lease Agreement. We intend to enter into (x) the GLP Lease Agreement to lease such property and (y) the GLP Development Agreement pursuant to which GLP will commit to advance up to $940 million of GLP Development Advances for the payment of hard costs used to construct our permanent casino and resort in exchange for increasing the amount of rent that we pay to GLP under the GLP Lease Agreement. Upon entering into the GLP Lease Agreement and the GLP Development Agreement, the Oak Street Lease Agreement will be terminated. The GLP Lease Agreement will have a 15-year term followed by multiple renewal terms to be agreed between us and GLP, and rent payable under the GLP Lease Agreement will be (a) $20.0 million annually, subject to annual escalations to be set forth therein, plus (b) an annual amount equal to 8.5% of the GLP Development Advances that GLP advances to us. In addition, Bally's agreed in the GLP Term Sheet to enter into the New Bally's Master Lease Agreement with GLP with respect to the real properties underlying Bally's Kansas City, Bally's Shreveport, and Twin River Lincoln.

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The terms and conditions of the GLP Lease Agreement are expected to be substantially the same as the Existing Bally's Master Lease Agreement, dated June 3, 2021, by and between Bally's Management Group, LLC, an affiliate of Bally's, and GLP, except as modified by the terms set forth in the GLP Term Sheet. GLP will have the right to terminate the GLP Lease Agreement upon any event of default under the GLP Lease Agreement. Such events of default are expected to include, without limitation, a failure to pay amounts due after applicable notice and cure periods, certain bankruptcy or insolvency events, a cross-default with the GLP Development Agreement and the failure to comply with a variety of covenants after applicable notice and cure periods, including those related to the development of our permanent casino and resort, repair and maintenance, alterations and insurance. In addition, the GLP Lease Agreement will be amended to add a cross-default to the Bally's Master Lease Agreements upon any refinancing, extension or majority amendment of Bally's existing credit facilities.

There will also be certain restrictions on our ability to assign our interest in the GLP Lease Agreement without having to obtain GLP's prior consent, including requirements for the transferee (or its parent company) to satisfy certain financial metrics and have a certain level of experience in operating or managing casinos.

GLP's obligation to make GLP Development Advances under the GLP Development Agreement will be subject to certain conditions, including the following: (a) we shall have unrestricted access to funds in an amount sufficient at the time of each GLP Development Advance to fund the construction of our permanent casino and resort and (b) all of the definitive documents required by the GLP Term Sheet shall have been signed, or, if such definitive documents cannot be signed without regulatory approval required under applicable law and such regulatory approval is the sole condition precedent to the signing of such definitive documents, such definitive documents are in final form and have been submitted for regulatory approval. We will be obligated to construct our permanent casino and resort in compliance with terms and conditions to be set forth in the GLP Development Agreement, which are expected to be customary and reasonable for large scale multi-phase developments and are expected to include the satisfaction of to-be-specified development and construction milestones.

The GLP Development Agreement will contain customary representations and covenants by us and will contain funding conditions in each case which are customary and reasonable for large scale multi-phase developments, including, without limitation, (a) GLP's reasonable approval of plans and specifications, the project budget (including amendments thereto and reallocations therein except those to be permitted under the GLP Development Agreement), the project schedule, the underlying construction and architect contracts, and all change orders (subject to exceptions to be set forth in the GLP Development Agreement), (b) GLP's receipt of appropriate lien waivers, (c) budget balancing requirements, (d) retainage requirements, (e) the identification of a GLP representative as "owners representative" under the construction contract, and (f) other customary conditions, all to be set forth in the GLP Development Agreement. The GLP Development Agreement will also contain defaults and remedies which are customary and reasonable for large scale multi-phase developments, including, without limitation, a cross-default with the GLP Lease Agreement. We will not be permitted to assign, finance, transfer, pledge or encumber our interest in the GLP Development Agreement without GLP's prior written consent, whether or not any such assignment, financing, transfer, pledge or encumbrance is permitted with respect to the GLP Lease Agreement, other than to a permitted leasehold mortgagee under the GLP Lease Agreement.

The terms and conditions of the GLP Lease Agreement and the GLP Development Agreement are subject to ongoing negotiations between us and GLP, and no guarantees can be given that we will enter into the GLP Lease Agreement or the GLP Development Agreement on the terms described herein or at all. We expect to consummate the GLP Lease Agreement and terminate the Oak Street Lease Agreement in the third quarter of 2025.

#### Performance of Comparable Casinos
For comparative context, we have included WPUPD and AGR data, slot machine counts, and table game counts as of and for the year ended December 31, 2024 for select gaming properties. This information has been derived from public filings of the respective casino operators. The properties included are the MGM National Harbor Casino and Encore Boston Harbor Casino, which are casino resorts in a campus environment that operate in or near similar major metropolitan areas, as well as Hard Rock Northern Indiana

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Casino, Rivers Casino, Ameristar East Chicago, Grand Victoria Casino, Harrah's Joliet Casino & Hotel, Hollywood Casino Aurora, Hollywood Casino Joliet, and Horseshoe Hammond, which are casinos located near the Chicago metropolitan area and in Northern Indiana. We have identified these properties as potentially comparable to our proposed permanent casino and resort based on certain factors, including location in metropolitan areas with similar demographic profiles, comparable economic characteristics of the surrounding regions, and proximity to the City of Chicago.

Investors should be aware that these comparisons have limitations and may not be directly applicable to our proposed operations due to various factors, including but not limited to differences in local market conditions, variations in regulatory environments, property-specific operational strategies, and unique competitive landscapes in each market. The information provided is intended solely to offer context and does not constitute a projection or forecast of our future performance.

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Comparable Properties for 2024<sup>(12)</sup>**  | **Comparable Properties for 2024<sup>(12)</sup>**  | **Comparable Properties for 2024<sup>(12)</sup>**  | **Comparable Properties for 2024<sup>(12)</sup>**  |
| **($ in MM, except WPUPD metrics)**  | **MGM <br> National <br> Harbor**  | **Encore <br> Boston**  | **Hard Rock <br> Northern <br> Indiana**  | **Rivers <br> Casino <br> Illinois**  |
| Slot Machines  | 2293 | 2633 | 1750 | 1516 |
| Slots WPUPD  | $610 | $440 | $494 | $580 |
| Table Games  | 161 | 180 | 77 | 120 |
| Table Games WPUPD  | $5582 | $4519 | $4277 | $4457 |
| **Total Gaming AGR<sup>(13)</sup>**  | $**839** | $**720** | $**436** | $**516** |

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(13) Gaming AGR does not include retail sportsbook.

#### Illinois and Northern Indiana Slots

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| | | | | |
|:---|:---|:---|:---|:---|
| | | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  |
| | **# Slots**  | **Admissions**  | **AGR**  | **WPU**  |
| Ameristar East Chicago  | 1075 | N/A | $142 | $363 |
| Grand Victoria Casino  | 746 | 934 | $111 | $408 |
|  ***Hard Rock Northern Indiana***  | **1750** | **N/A** | $**316** | $**494** |
| Harrah's Joliet Casino & Hotel  | 754 | 687 | $106 | $387 |
| Hollywood Casino Aurora  | 837 | 853 | $78 | $255 |
| Hollywood Casino Joliet  | 918 | 662 | $79 | $237 |
| Horseshoe Hammond  | 1594 | N/A | $203 | $349 |
|  ***Rivers Casino Des Plaines***  | **1516** | **3069** | $**321** | $**580** |
| **Average** | **1149** | **1241** | $**170** | $**384** |
| **Median** | **997** | **853** | $**127** | $**375** |
|  ***<u>Top Performers – Averages</u>*** |  |  |  |  |
| **Top Performer Average**  | **1633** | **3069** | $**319** | $**537** |

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#### Illinois and Northern Indiana Table Games

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| |  | | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  | **2024<sup>(12)</sup>**  |
| | **# Tables**  | **# Tables**  | **Admissions**  | **AGR**  | **WPU**  |
| Ameristar East Chicago  |  | 39 | N/A | $29 | $2052 |
| Grand Victoria Casino  |  | 45 | 934 | $28 | $1682 |
|  ***Hard Rock Northern Indiana***  |  | **77** | **N/A** | $**120** | $**4277** |
| Harrah's Joliet Casino & Hotel  |  | 21 | 687 | $18 | $2394 |
| Hollywood Casino Aurora  |  | 41 | 853 | $21 | $1431 |
| Hollywood Casino Joliet  |  | 14 | 662 | $11 | $2190 |
| Horseshoe Hammond  |  | 85 | N/A | $49 | $1567 |
|  ***Rivers Casino Des Plaines***  |  | **120** | **3069** | $**195** | $**4457** |
| **Average** |  | **55** | **1241** | $**59** | $**2506** |
| **Median** |  | **43** | **853** | $**29** | $**2121** |
|  ***<u>Top Performers – Averages</u>*** |  |  |  |  |  |
| **Top Performer Average**  |  | **98** | **3069** | $**158** | $**4367** |

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(12) Based on publicly available information. All figures are as of and for the year ended December 31, 2024.

These illustrative comparisons are only for purposes of illustrating the publicly reported WPUPD per slot machine and table game, and the associated AGR for nearby casino properties in Illinois and Northern Indiana. These illustrative comparisons are not projections, goals or targets but reflect the actual reported results of these casino properties as reported by the Illinois and Indiana state gaming commissions for the relevant periods.

The illustrative comparisons set forth above were not prepared with a view toward compliance with published guidelines of the SEC or the guidelines established by the American Institute of Certified Public Accountants for preparation or presentation of prospective financial information. Such illustrative examples have been prepared by, and is the responsibility of, our management. Neither the Company's independent auditors, nor any other independent accountants, have compiled, examined, or performed any procedures with respect to the illustrative example information contained herein, nor have they expressed any opinion or any other form of assurance on such information or its achievability, and assume no responsibility for, and disclaim any association with, the prospective financial information.

This prospectus does not include a reconciliation of estimated Total AGR to estimated GAAP revenue because we are unable, without making unreasonable efforts, to provide a meaningful or reasonably accurate calculation or estimation of certain reconciling items which could be significant to our results.

#### Hospitality Industry in Chicago
The hospitality industry in Chicago is showing strong signs of recovery and growth, driven by a combination of increasing tourism, business travel and a dynamic local culture. Occupancy rates are steadily climbing as travelers return to the city for its world-class dining, vibrant arts scene and high-profile events like conventions and festivals. Hotels are adapting to evolving guest expectations by modernizing amenities, prioritizing sustainability, and enhancing the overall guest experience. The city's strong marketing efforts and investment in infrastructure, such as O'Hare's expansion, have also boosted its appeal as a global destination. With these improvements, Chicago's hospitality sector has positioned itself as a leader in urban tourism and accommodation.

In 2024, the Chicago hospitality industry exceeded the expectations, booking over 2,005 total meetings and events, representing 2.65 million hotel room nights, delivering an economic impact of over $4.8 billion for Chicago. This was driven primarily by a steady influx of visitors exploring Chicago's vibrant neighborhoods, iconic landmarks and world-class cultural offerings. The City saw 55 million visitors — over 3 million more than 2023 — and filled 11.6 million hotel rooms.

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 *2024 Hotel Occupancy Rates*![[MISSING IMAGE: tb_hottelaccu-bw.jpg]](tb_hottelaccu-bw.jpg)

 *2024 Hotel Rooms Occupied (Millions)*![[MISSING IMAGE: tb_hottelrooms-bw.jpg]](tb_hottelrooms-bw.jpg)

 *2024 Hotel Revenue and Taxes*![[MISSING IMAGE: tb_hottelrevenue-bw.jpg]](tb_hottelrevenue-bw.jpg)

#### Temporary Casino
While we work to construct our permanent casino and resort on the banks of the Chicago River, we built a temporary casino in downtown Chicago. However, as the name implies, our temporary casino is expected to close once we open our permanent casino and resort, as our license to operate our temporary casino would cease in order to open our permanent casino and resort in the third quarter of 2026.

Our temporary casino is situated in the former location of the Medinah Temple, which acted as a community and social center in Chicago from its construction in 1912. Our temporary casino began operations on September 9, 2023. Our temporary casino includes approximately 1,000 gaming positions and two F&B venues.

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![[MISSING IMAGE: mp_ballysmedihah-4c.jpg]](mp_ballysmedihah-4c.jpg)

Our new work for our temporary casino respects and maintains the existing landmarked items identified by the City of Chicago in the Medinah Temple, including the exterior façade. While we performed minor improvements on the façade, such work was focused on the replacement of signage in the same locations utilized by previous tenants. Within the Medinah Temple, we preserved the stained glass windows, stage proscenium, column capitals and third floor ceiling, including the four domes. As of March 31, 2025 (Successor), we have incurred approximately $70.0 million in costs in connection with the design and development of our temporary casino.

#### Timeline of Key Milestones <sup>(1)</sup>

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| | |
|:---|:---|
| **Date**  | **Key Milestone**  |
| **September 9, 2023**  | **Grand opening of our temporary casino** |
| July 5, 2024  | Tribune surrenders and vacates proposed site of our permanent casino and resort |
| July 5, 2024  | Decommission and demolition of building on site of our permanent casino and resort |
| Q1 2025  | Commencement of construction of our permanent casino and resort |
| **Q3 2026**  | **Grand opening of our permanent casino and resort<sup>(2)</sup>** |

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(1) This timeline reflects our current business strategy. However, our ability to implement our business strategy is subject to numerous risks and uncertainties. We face many risks inherent in our business generally. You should carefully consider all of the information set forth in this prospectus and, in particular, the information under the heading "*Risk Factors.*" These risks include various construction and development risks in connection with our permanent casino and resort. See "*Risk Factors — Development and Construction Risks*."

(2) The Host Community Agreement with the City of Chicago provides for significant liquidated damages in the event that we do not meet the milestones specified as to our temporary casino and our permanent casino and resort. See "— *Our Relationship with Chicago — Host Community Agreement with the City of Chicago*" for more information on these milestones. Also see "*Risk Factors — Development and Construction Risks*" for more information on various construction and development risks in connection with our permanent casino and resort.

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#### Competitive Strengths

#### Fully integrated destination resort focused on the attractive mainstream market segment
Our permanent casino and resort is focused on the mainstream market segment. We believe this segment provides attractive long-term growth opportunities and the mainstream market gaming segment has relatively high margins in comparison to other gaming segments.

Our permanent casino and resort is being designed to feature a hotel tower including 500 rooms and a rooftop bar. Our dining and beverage options are also designed for broad market appeal and include a range of restaurants, cafes, bars and lounges. Our location, in the heart of the City of Chicago, offers an immersive entertainment environment in street and riverscape surroundings inspired by iconic shopping in the Magnificent Mile district. Our permanent casino and resort will also feature a new landscaped riverwalk with activation elements such as artwork, walking paths and a dog park. It will also include a new park along the river, terraced steps and outdoor seating for restaurants, cafes, bars and lounges. The park will be accessible to the public during the hours typical of Chicago public parks. We believe that our combination of entertainment and leisure activities, differentiated gaming attractions in comparison to other offerings in this geographic location and outdoor space, including being the only casino in the City of Chicago, delivered in an easily accessible location, will provide a customer experience that is hard to replicate without having to visit multiple destinations.

#### Strategic location with strong and improving accessibility
The following map illustrates the centralized location of our permanent casino and resort in Chicago:

![[MISSING IMAGE: mp_permanresort-4clr.jpg]](mp_permanresort-4clr.jpg)

Our permanent casino and resort will be strategically located in the heart of the City of Chicago, as the only casino located directly adjacent to the Chicago River, with easy access to the blue transit line as

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well as to multiple bus stops. The City of Chicago is the third most populous city in the United States, with 2.7 million residents in 2023 according to the United States Census Bureau. According to Forbes and Business Insider, tourism to the City of Chicago reached approximately 55 million visitors prior to the COVID-19 pandemic and is expected to fully rebound by the end of 2024.

We believe we can also leverage the traffic flow from nearby hotels, theaters, bars, restaurants, shopping districts and McCormick Place Convention Center to drive significant traffic to our permanent casino and resort, primarily due to our differentiated gaming and entertainment attractions in comparison to other offerings in this geographic location. Our close proximity to the Chicago River, which is a top tourist attraction in Chicago, will allow us to drive marketing promotions to tourists and drive further traffic to our permanent casino and resort. We intend to build a new water taxi stop and a new pedestrian bridge across the Chicago River to capitalize on traffic flow and make the proposed site even more accessible to Chicago residents and tourists in the downtown area. We also expect to be a natural and popular first stop for a large number of visitors to Chicago due to our close proximity to the River West, Fulton River District, River North and West Loop entertainment districts.

#### Backed by an established operator with a leading and diversified national gaming footprint
We are backed by Bally's Corporation, an established operator in our casino and resort industry that is capable of providing expertise, know-how and support across the entire gaming spectrum, ranging from generation and advertising technology to the collection, processing and extrapolation of data and odds, to visualization solutions, risk management and platform services.

The deep understanding of our public company parent of the gaming industry, customer needs and preferences, regulatory processes and the evolving competitive landscape offers us a significant competitive advantage over our competitors. Upon the closing of this offering, we will continue to benefit from our relationship with Bally's Corporation through the scale of Bally's operations, including the centralization of shared services and support functions such as legal, information technology, human resources, supply chain logistics, warehousing, strategic sourcing and transportation. We will also continue to benefit from Bally's Corporation's extensive customer and sales network, as well as its well-developed and recognized customer loyalty programs, which we will continue to leverage to further drive visitation.

After its merger with Casino Queen, Bally's Corporation's casino offerings stretch across eleven states across the United States. We believe the breadth of their offerings and reach gives us a competitive advantage in launching operations in a new city or state, as we are able to leverage their considerable resources and know-how to deliver the best offerings to potential customers.

#### Powerful network effects accelerate our value proposition
Under the Bally's brand, we are able to benefit from powerful network effects, which further accelerate our value proposition. As a national participant in the gaming industry, Bally's Corporation has casinos resorts spread across numerous major cities and has hosted tens of millions of customers since all of its casino resorts and online gaming operations commenced operations. We believe that, by operating under the Bally's brand, we will be able to attract existing and new customers to our new casino and resort, as we will not be required to gain their trust upon launching our operation.

#### Experienced and Dedicated Management Team
Our management team has extensive experience in the gaming and hospitality industries. Management team members have prior tenures at other large-scale casino and entertainment companies, such as PENN Entertainment, Delaware North Companies, International Game Technology and Northstar Lottery Group. Our management team has an average of more than 11 years of experience in the gaming and hospitality industries. In addition, as of March 31, 2025 (Successor), Bally's had approximately 10,000 employees who are dedicated to Bally's national and international operations to ensure exceptional customer experiences. We will also receive certain centralized corporate and management services from Bally's Corporation, including shared service staff who will devote a portion of their time to our operations. We intend to continue to capitalize on the deep industry expertise, management skills and strong execution capabilities of our

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management team to successfully formulate and implement our strategies, and continue to streamline our operations by utilizing the services provided by our affiliates.

#### Our Business and Growth Strategies

#### Continue to focus on the mainstream market segment
We intend to focus on mainstream market gaming due to its attractive growth opportunities and higher margin profile. We are designing our non-gaming attractions to complement the mainstream market focus of our permanent casino and resort by delivering experiences that appeal to mainstream market players. We aim to leverage our differentiated entertainment, retail, F&B and hotel amenities to drive visitation, longer stays and greater spending by our patrons. Under our current plan, our permanent casino and resort is being designed to include approximately 3,400 slot machines and 173 table games. In addition, we currently envision outdoor green space, including an expansive public riverwalk with a water taxi stop. Other non-gaming attractions expected to be part of our permanent casino and resort include a hotel tower with 500 rooms, a rooftop bar, a 3,000-person mixed use entertainment and event center, as well as retail and F&B outlets. We expect our current plan for our permanent casino and resort to diversify our offerings and create long-term shareholder value.

#### Continue to drive visitation and revenue growth through innovative non-gaming attractions
We intend to enhance and diversify our differentiated non-gaming amenities and service offerings with the goal to drive further visitation to our casino and resort by both residents of Chicago and tourists visiting Chicago, and deliver long-term growth and high margins. We believe our permanent casino and resort will be different from existing resorts and casinos in Illinois and neighboring states because of our strategic location along the Chicago River, as well as our innovative and interactive entertainment attractions, which are intended to appeal to both individuals and groups interested in gaming and those not interested in gaming alike. We intend to leverage Bally's Corporation's existing attractions to provide superior entertainment experiences. For example, we intend to host premier concerts and events over time to increase our brand recognition locally, which we believe we can do using our nationwide access to premier talent. We also intend to enhance existing attractions and update them over time, and to optimize our mix of retail and F&B offerings that appeal to our target customers.

#### Continue to pursue strategic marketing initiatives and differentiate the "Bally's" brand
We plan to continue to build the "Bally's" brand to increase awareness among potential customers, particularly in Chicago and the Midwest. We intend to continue to pursue innovative promotions, including engaging influencers and celebrities to promote our casino and report's themes and entertainment facilities, and to host special events. We also plan to enhance our advertising activities, including through a variety of social media, print, television, online, outdoor, onsite and other means. In addition, we intend to leverage our relationship with Bally's Corporation to promote our casino and resort through complementary and cost-effective cross-marketing and sales campaigns.

#### Prudently manage our capital structure
We commenced operations in June 2022, and we intend to develop a capital structure to match and support the on-going ramp-up of our operations. We intend to strengthen our balance sheet by focusing on optimizing our leverage, maintaining a competitive cost of capital and improving balance sheet flexibility. We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, to purchase 10,000 LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest.

Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to Bally's Chicago, Inc. to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes.

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In turn, we believe we will be sufficiently capitalized through the opening of our permanent casino and resort, and intend to prudently manage our capital structure as we continue to grow our operations.

#### Our Relationship with Bally's Corporation
We intend to benefit from Bally's Corporation's significant experience and knowledge in the U.S. gaming market. In January 2023, Bally's Chicago OpCo and certain subsidiaries of Bally's Corporation entered into the Permanent Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Permanent Services Agreement, BMG agreed to provide us and certain subsidiaries of Bally's Corporation with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing upon the opening of our permanent casino and resort. Pursuant to the Permanent Services Agreement, we agreed to pay BMG an annual fee equal to the salaries, burden, overhead and other operating costs for providing such services based on our share of those costs calculated by reference to an appropriate common-size metric plus 6%, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is one year, beginning upon the opening of our permanent casino and resort, and will be automatically renewed for successive one-year terms, unless either party serves on the other a written notice of termination. We believe the support provided by Bally's Corporation increases our competitive advantage and will contribute to the success of our business. See "*Transactions with Related Persons — Permanent Services Agreement.*"

In addition, in August 2023, Bally's Chicago OpCo entered into the Temporary Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Temporary Services Agreement, BMG agreed to provide us with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing related to our temporary casino. Pursuant to the Temporary Services Agreement, we agreed to pay BMG a monthly fee equal to $5.0 million, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is two years, beginning August 30, 2023, and will be automatically renewed for successive one-year terms for as long as our temporary casino is licensed to continue operations, unless BMG serves on Bally's Chicago OpCo a written notice of termination. The Temporary Services Agreement shall automatically terminate when our temporary casino permanently closes and our permanent casino and resort opens to the public. See "*Transactions with Related Persons — Temporary Services Agreement*."

We and Bally's Chicago HoldCo, our direct parent and the entity that holds 2,141 of our Class A-4 Interests and all of our Class B Interests, as well as all other current and future direct unrestricted subsidiaries of Bally's Corporation under its credit facilities and bond indentures, will guarantee Bally's Chicago OpCo's obligations under the GLP Lease Agreement and GLP Development Agreement; *provided*, however, that at such time as Bally's Chicago OpCo becomes a restricted subsidiary under Bally's Corporation's credit facilities and bond indentures, (i) Bally's Corporation (or its Parent Company (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) will be required to guarantee the GLP Lease Agreement and GLP Development Agreement and (ii) following the delivery of such guarantee, the guarantees of the GLP Lease Agreement and GLP Development Agreement provided by Bally's Chicago HoldCo and such other unrestricted subsidiaries of Bally's Corporation shall terminate.

In connection with Bally's Chicago HoldCo's commitment to guarantee the GLP Lease Agreement and GLP Development Agreement, and in partial consideration for certain investments by Bally's Corporation and its subsidiaries into Bally's Chicago OpCo, we and Bally's Chicago OpCo intend to guarantee all obligations, including, without limitation, indebtedness and lease obligations of Bally's Corporation and its subsidiaries upon Bally's Corporation's (or its Parent Company's (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) guaranteeing the GLP Lease Agreement and the GLP Development Agreement or upon request from Bally's Corporation; *provided* that, at any time after such guarantee by Bally's Corporation (or its Parent Company) or such request from Bally's Corporation, upon request of Bally's Chicago OpCo, Bally's

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Corporation will guarantee Bally's Chicago OpCo's obligations under any lease obligations outstanding at such time, including any obligations under the Oak Street Lease Agreement or, if entered into, the GLP Lease Agreement and the GLP Development Agreement, to the maximum extent permitted under the instruments governing Bally's Corporation's indebtedness (assuming full borrowing of all outstanding commitments under Bally's Corporation's revolving credit facilities outstanding at such time). Furthermore, in March 2025, we and Bally's Chicago OpCo entered into the Guarantee Agreement with Bally's Corporation, pursuant to which, at any time in the future, upon request from Bally's Corporation, we and Bally's Chicago OpCo will guarantee, and cause each of our wholly-owned subsidiaries to guarantee, any additional obligations, including, without limitation, indebtedness and lease obligations that Bally's Corporation or its subsidiaries enter into at any time in the future. See "*Transactions with Related Persons — Guarantee of Bally's Corporation's Obligations*."

In March 2025, we and Bally's Chicago HoldCo entered into the Stockholders Agreement, pursuant to which for so long as Bally's Chicago HoldCo beneficially owns at least 50% of the aggregate number of our stock outstanding, certain actions by us or any of our subsidiaries, including Bally's Chicago OpCo, will require the prior written consent of Bally's Chicago HoldCo. The actions that will require prior written consent include: (i) change in control transactions of our company or any of our subsidiaries, including Bally's Chicago OpCo, (ii) acquiring or disposing of assets or any business enterprise or division thereof for consideration in excess of $50.0 million in any single transaction or series of transactions, (iii) increasing or decreasing the size of our board of directors, (iv) initiating any liquidation, dissolution, bankruptcy, or other insolvency proceeding involving us or any of our subsidiaries, including Bally's Chicago OpCo, and (v) any transfer, issue, sale, or disposition by us of any shares of stock, other equity securities, equity-linked securities, or securities that are convertible into equity securities of us or our subsidiaries to any person or entity that is a non-strategic financial investor in a private placement transaction or series of transactions.

#### Our Relationship with Chicago
We are designing, developing and constructing a world-class entertainment destination resort in partnership with the City of Chicago. In connection with this partnership, we have entered into various agreements and development programs as set forth below.

#### Host Community Agreement with the City of Chicago
On June 9, 2022, we signed the Host Community Agreement with the City of Chicago to develop our destination casino and resort in downtown Chicago. The Host Community Agreement provides us with the exclusive right to operate a permanent casino and a temporary casino for up to three years while our permanent casino and resort is constructed.

Pursuant to the Host Community Agreement, our permanent casino and resort is being designed to feature:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 150 permanent gaming tables, including 20 poker tables;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in-person and mobile sports wagering facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a 5-star quality high-end luxury hotel with 100 rooms initially, as well as amenities such as a rooftop bar, a fitness center, subject to expansion to up to 500 rooms within approximately five years of the opening of our permanent casino and resort;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 65,000 square feet of entertainment and event space, including a flexible theater space with approximately 2.4 acres of greenspace that can be used to host outdoor events;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • six restaurants/cafes and a food hall, including a three-meal diner with capacity for approximately 150 seats, a Bally's Sports Bar with capacity for approximately 200 seats, a food hall with capacity for approximately 175 seats, an Asian restaurant with capacity for approximately 50 seats, a steakhouse with capacity for approximately 150 seats, an Italian restaurant with capacity for approximately 200 seats and a grab-and-go coffee bar with capacity for approximately 20 seats;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • four bars and lounges, including a casino bar, a cocktail lounge with capacity for over 50 seats, a VIP lounge with capacity for over 60 seats and a rooftop bar with capacity for over 100 seats (including two hidden speakeasies that patrons can visit);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 3,000 square feet of ancillary retail space, including sundries and souvenir shops;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a garage or parking facility with approximately 3,300 parking spaces, including approximately 2,200 patron spaces, approximately 600 employee spaces and approximately 500 valet spaces;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a visitor center for tourists and business travelers visiting Chicago, including a concierge service operated in coordination with Choose Chicago, a nonprofit organization that specializes in Chicago travel options; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • an approximately 23,000 square foot museum, with exhibits presenting Chicago sports and history and other rotating exhibitions.

In furtherance of these obligations, the Host Community Agreement establishes a minimum capital investment of $1.34 billion on the design, construction and equipping of our temporary casino and our permanent casino and resort. As of March 31, 2025 (Successor), approximately $1.0 billion of this commitment remains. The actual cost of the development may exceed this minimum capital investment amount. In addition, land acquisition costs and financing costs, among other types of costs, are not counted toward meeting this minimum capital investment amount.

Additionally, as part of the design, development and construction of our temporary casino and our permanent casino and resort, the Host Community Agreement requires us to employ approximately:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 2,900 individuals in the construction of our temporary casino;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 3,000 individuals in the construction of our permanent casino and resort; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 2,500 individuals in the construction of the hotel tower.

Once operational, the Host Community Agreement requires us to employ:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 550 individuals in our temporary casino; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • approximately 3,000 individuals in our permanent casino and resort.

In connection with the entry into the Host Community Agreement with the City of Chicago, we were required to make a one-time payment to the City of Chicago equal to $40.0 million, and are required to make ongoing payments of $4.0 million per year beginning on September 9, 2023, the date that our temporary casino opened to the general public. Additionally, in connection with the Host Community Agreement, Bally's Corporation was required to provide the City of Chicago with a guaranty whereby the Company is required to have and maintain available financial resources in an amount reasonably sufficient to fund all amounts necessary to allow us to meet our obligations under the Host Community Agreement and, to the extent we fail to perform any obligations thereunder, assume full responsibility for and perform our obligations in accordance with the terms, covenants and conditions set forth in the Host Community Agreement. The guaranty also required that we indemnify and hold the City of Chicago harmless from and against any and all loss, cost, damage, injury, liability, claim or reasonable and documented expense the City of Chicago may suffer or incur by reason of any nonpayment or nonperformance of any of our obligations.

The Illinois Gambling Act requires the IGB, in determining whether or not to issue the casino owner's license, to have considered diverse ownership goals. The IGB approved the issuance of the license to us on October 26, 2023.

In addition, the Host Community Agreement requires that 40% of seats on our Board be reserved for Minorities or women.

The Host Community Agreement provides that in the event that 75% of the gaming area of our permanent casino and resort is not open to the general public by September 10, 2026 (the "Completion Deadline"), subject to any extensions as a result of Force Majeure Periods (as defined in the Host Community Agreement), we must pay the City of Chicago an amount, calculated on a daily basis, equal to the product of (i) 85% of the projected local tax revenue multiplied by (ii) the number of days since the Completion Deadline, until 75% of the gaming area of our permanent casino and resort opens to the general public; *provided* that any local tax revenue actually received for such period shall not subtracted from any amounts due to the City of Chicago.

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In addition, the Host Community Agreement also provides that in the event that 90%, taken as a whole, of our permanent casino and resort is not completed (as evidenced by the issuance of a temporary certificate of occupancy by the City of Chicago's Department of Buildings) by the Completion Deadline, subject to any extensions as a result of Force Majeure Periods (as defined in the Host Community Agreement), we must pay the City of Chicago an amount, calculated on a daily basis, equal to the product of (i) 10% of the projected local tax revenue multiplied by (ii) the number of days since the Completion Deadline, until 90%, taken as a whole, of our permanent casino and resort is completed (as evidenced by the issuance of a temporary certificate of occupancy by the City of Chicago's Department of Buildings).

If we show we timely commenced and have been diligently pursuing the construction of our permanent casino and resort, the City of Chicago may consent up to two three-month extensions of the Completion Deadline, followed by one two-month extension of the Completion Deadline, for a possible total extension of eight months. The first extension shall be consented to automatically by the City of Chicago and any subsequent consent shall not be unreasonably withheld, conditioned or delayed.

#### Gaming License
In order to operate our casino and resort, we will be required to obtain and hold licenses issued by the Illinois Gaming Board. The Host Community Agreement provides us with the exclusive recommendation for licensing to the Illinois Gaming Board for the City of Chicago casino license. On October 26, 2023, we obtained a four-year owners license from the Illinois Gaming Board. This license will expire on October 25, 2027 and may be renewed for subsequent four-year terms. The license issued to casino operators is referred to as an "owners license" and is issued by the Illinois Gaming Board for a period of up to four years. The owners license may then be renewed for subsequent four-year terms. On October 26, 2023, the Illinois Gaming Board also approved extending the operation of our temporary casino until September 9, 2026. The fee for the issuance or renewal of the owners license is $250,000. The license obligates the recipient to adhere to the standards and requirements set forth in the Illinois Gaming Act and the Illinois Gaming Board Rules. The Illinois Gaming Board has the authority to limit the term of the license at issuance or any renewal and may dictate additional restrictions upon the license.

#### Community Investment Program
We have agreed with the City of Chicago that we will commit to hiring residents of Chicago with various workforce development organizations in both the construction of our temporary casino and our permanent casino and resort, but also with respect to employment once our casinos are operational.

We are committed to the following hiring targets:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • we are required to provide preference to Chicago-based businesses, if possible;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in the hiring of contractors for the construction of our temporary casino and our permanent casino and resort:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 36% of funds need to go towards Minority-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 10% of funds need to go towards women-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in the hiring of workers to build our temporary casino and our permanent casino and resort:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 50% of total hours on our permanent casino and resort must be performed by Chicago residents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 15.5% of construction work must be performed by residents of socially and economically disadvantaged areas;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • in the sourcing of goods and services and other vendor spending in connection with our temporary casino and our permanent casino and resort:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 26% of funds need to go towards Minority-owned businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 10% of funds need to go towards women-owned businesses;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 2% of funds need to go towards disadvantaged businesses, including businesses by owners that have historically been disadvantaged; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a minimum of 3% of funds need to go towards veteran- or service-disabled veteran-owned businesses; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a target goal of 60% Minority hiring in the operation of our casino.

Under the community investment program, we intend on reducing the disparities that exist in the initial procurement process of goods and services by requiring that all contracts and bids in excess of $10,000 be issued via a competitive bidding process. Additionally, we intend to list all employment and procurement opportunities on our website. We intend on hosting an annual diversity vendor fair on the premises of our permanent casino and resort, and intend on hiring a third-party expert in sourcing and contracting vendors to leverage their network of vendors, suppliers and individuals seeking jobs to push notifications, recruit bidders and support us in the process.

We have also agreed with the City of Chicago that we will commit to providing training opportunities for various roles in our casino and resort, including for table game dealers and F&B workers, and work to set up job fairs in order to attract potential applicants to employment opportunities in our casino and resort.

#### Our Community First Programs
As a member of the Bally's organization, we intend to adhere to the Bally's community-first policy, which is a fundamental and defining element of who we are as a company. We intend to build strong, lasting partnerships with local residents and businesses in Chicago.

As part of our community-first policy, we intend to implement programs to provide individuals with gaming addiction with support services, both offsite and onsite, including treatment of compulsive behavior disorders. We also intend to take extraordinary precautions to ensure that minors are prohibited from participating in any of the gaming activities at our casino and resort. Additionally, we intend to take precautions to ensure that our marketing practices do not disproportionately target disadvantaged communities, and will work to provide best-in-class social programs geared towards addressing gambling addiction throughout the Chicago area.

#### Corporate Structure
The below depicts our organizational structure upon the closing of this offering and the concurrent private placements and the consummation of the Transactions, taking into account the initial Class A Interest issuances and both the anticipated purchase of 10,000 LLC Interests and prior issuances of

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 *3,326 LLC Interests. See "Management's Discussion and Analysis of Financial Condition and Results of Operations — Recent Developments" for more information.*![[MISSING IMAGE: fc_corporatestruc-bw.jpg]](fc_corporatestruc-bw.jpg)

#### Marketing
In order to be competitive, we and Bally's Corporation intend on holding various promotions and special events at our casino and resort, including operating a loyalty program for gaming patrons. In addition, we anticipate participating in cross marketing and sales campaigns developed by Bally's Corporation, including across geographic zones and countries. We believe this arrangement will significantly enhance our casino and report's ramp-up period, reduce marketing costs through scale synergies and enhances cross-revenue opportunities.

Additionally, we intend to devote considerable resources to attracting non-gaming customers to our casinos and resort in order to grow our customer base over time by undertaking a variety of advertising and marketing activities.

Bally's Corporation employs a public relations and advertising team that is partially dedicated to our casino and resort and that intends on cultivating media relationships, promoting the Bally's brand and directly liaising with customers within select geographies in the Midwest in order to explore media opportunities in various markets. We plan our advertising activities to be rolled out through a variety of local and regional media platforms, including digital, social media, print, television, online, outdoor, on property (as permitted under Illinois law and any other applicable local laws) as well as collateral and direct mail pieces. We also intend to engage celebrities for marketing activities. We believe that these marketing and incentive programs will increase our brand awareness and drive further visitation to our casino and resort.

#### Competition
The gaming industry is characterized by a high degree of competition among a large number of operators, including land-based casinos, riverboat casinos, dockside casinos, video lotteries, traditional lotteries, VGTs at taverns in certain states, sweepstakes and poker machines not located in casinos, Native American gaming, emerging varieties of iGaming and daily fantasy sports gaming, increased sports betting and other forms of gaming in the United States. In a broader sense, our gaming operations face competition

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from many leisure and entertainment activities, including, for example: shopping, athletic events, television and movies, concerts and travel. Legalized gaming is currently permitted in various forms in different parts of the United States, in several Canadian provinces and on many lands taken into trust for the benefit of certain Native Americans in the United States and First Nations in Canada. We face significant competition in the Chicago market. Such competition may intensify if new gaming operations open or existing competitors expand their operations. For example, Hawthorne Race Course has submitted an application for a gaming license to open a "racino" approximately 10 miles from our permanent casino and resort site. Our Chicago casino and resort will compete directly with other gaming properties in Illinois, as well as in adjacent states such as Indiana and Wisconsin. In some instances, particularly with Native American casinos, our competitors pay substantially lower taxes or no taxes at all. We believe that increased legalized gaming in other states, particularly in areas close to our Chicago casino and resort and the development or expansion of Native American gaming in Illinois, could create additional competition for us and could adversely affect our operations or future development projects. See "*Risk Factors*" for more information on competition.

We consider the following operators our current direct competitors:

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| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Property**  | **Operator**  | **Location**  | **Year of <br> Opening**  | **Existing /<br>Development**  | **# <br> Slots**  | **# <br> Tables**  | **Poker <br> Tables**  | **S.F. <br> Gaming <br> Area**  | **# <br> Hotel <br> Keys**  | **~Miles <br> to <br> Bally's <br> Chicago**  |
| American Place  | Full House Resorts | Waukegan, IL | 2023  | Development | 937 | 43 | No  | 70000 |  | 41 |
| Ameristar Casino East Chicago  | Penn Entertainment / Gaming & Leisure Properties | East Chicago, IN | 1997  | Existing | 1000 | 60 | No  | 56000 | 288 | 25 |
| Blue Chip Casino Hotel Spa  | Boyd Gaming | Michigan City, IN | 1997  | Existing | 1668 | 64 | Yes  | 65000 | 486 | 60 |
| Four Winds New Buffalo  | Four Winds Casinos | New Buffalo, MI | 2007  | Existing | 2477 | 47 | No  | 130000 | 415 | 71 |
| Four Winds Casino South Bend  | Four Winds Casinos | South Bend, IN | 2018  | Existing | 1425 | 12 | Yes  | 175000 |  | 90 |
| Grand Victoria Casino Elgin  | Caesars Entertainment | Elgin, IL | 1994  | Existing | 745 | 45 | Yes  | 29850 |  | 39 |
| Hard Rock Casino Rockford  | Hard Rock International | Rockford, IL | 2021  | Development | 582 | 10 | No  | 20000 |  | 77 |
|  Hard Rock Casino Northern Indiana  | Hard Rock International | Gary, IN | 2021  | Existing | 2000 | 127 | No  | N/A |  | 34 |
| Hard Rock Casino Kenosha  | Hard Rock International | Kenosha, WI | TBD  | Development | 1500 | 50 | TBD  | TBD | 150 | 64 |
| Harrah's Joliet  | Caesars Entertainment | Joliet, IL | 1993  | Existing | 760 | 20 | Yes  | 39000 | 200 | 41 |
| Ho-Chunk Casino Beloit  | Ho-Chunk Nation of Wisconsin | Beloit, IL | ~2024  | Development | 1650 | 44 | TBD  | TBD | 312 | 95 |
| Hollywood Casino Aurora  | Penn Entertainment | Aurora, IL | 1993  | Existing | 836 | 41 | Yes  | 41384 | 100 | 40 |
| Hollywood Casino & Hotel Joliet  | Penn Entertainment | Joliet, IL | 2010  | Existing | 921 | 14 | No  | 50000 |  | 49 |
| Horseshoe Hammond  | Caesars Entertainment | Hammond, IN | 1996  | Existing | 1800 | 60 | Yes  | 350000 |  | 18 |
| Potawatomi Hotel & Casino  | Forest County Potawatomi <br> Community | Milwaukee, WI | 1991  | Existing | 2000 | 118 | Yes  | 150000 | 500 | 89 |
| Rivers Casino Des Plaines  | Churchill Downs <br> Incorporated / Rush Street <br> Gaming  | Des Plaines, IL | 2011  | Existing | 1517 | 120 | Yes  | 78500 |  | 15 |
| Wind Creek Chicago Southland  | Wind Creek Hospitality | East Hazel Crest, IL  | ~2024  | Development | 1400 | 56 | Yes  | 73000 | 252 | 27 |
|  Illinois Distributed Gaming Video Gaming Terminals "VGTs"  | N/A | N/A | N/A  | N/A | 48176 |  | —  |  |  |  |

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Based on publicly available information, including reports of the Illinois Gaming Board and the Indiana Gaming Commission, properties' websites, third-parties' websites and SEC filings.

#### Government Gaming Regulation
The Illinois Gambling Act established the Illinois Gaming Board and authorized up to ten casino licenses. Currently, all ten original licenses are active. In July 2009, Public Act 96-0034 became law, creating the Illinois Video Gaming Act. Since 2009, Video Gaming has rapidly expanded across Illinois. On June 28, 2019, Illinois Governor J.B. Pritzker signed the gaming expansion bill into law which permits sports wagering, including online/mobile, a Chicago casino, five additional casinos, slots and table games at

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racetracks, possible slots at the Chicago airports, an additional VGT at each establishment and in some instances five additional VGTs, and the opportunity for existing casinos to move to land-based operations or purchase additional gaming positions. As of March 31, 2025, there were over 48,000 VGTs spread throughout 8,600 licensed establishments.

The market for gaming, hotel and other entertainment facilities in Chicago is rapidly evolving but remains in its infancy. While Illinois is undergoing expansion since various states started to liberalize gaming (including sports betting), Chicago is still not known as a location for gaming tourism and, therefore, subject to significant competition from both regional and national gaming centers. An underserved and untapped market, the City of Chicago is served by the Rivers Casino in a suburb of Chicago, the northwestern Indiana casinos, a retail sports book at the United Center, a retail sports book opening at Wrigley Field in 2023 and the Waukegan casino.

#### Other Laws and Regulations
Our businesses are subject to various laws, rules, and regulations in addition to gaming regulations. These laws, rules and regulations include restrictions and conditions concerning alcoholic beverages, food service, smoking, environmental matters, employees and employment practices, currency transactions, taxation, zoning and building codes and marketing and advertising. Such laws and regulations could change or could be interpreted differently in the future, or new laws and regulations could be enacted. Material changes to any of the laws, rules, regulations or ordinances to which we are subject, new laws or regulations or material differences in interpretations by courts or governmental authorities could adversely affect our operating results.

The sale of alcoholic beverages is subject to licensing by the Liquor Control Commission and regulation by applicable local regulatory agencies. All licenses are revocable and are not transferable. The agencies involved have full power to limit, condition, suspend or revoke any license, and any disciplinary action could, and revocation would, have a material adverse effect upon our operations.

#### Employees and Human Capital Resources

#### Labor Relations
As of March 31, 2025, we had approximately 670 employees. Most of our employees are based in Illinois. Approximately 430 of our employees are represented by a labor union and are subject to collective bargaining agreements that generally have three-or-five-year terms. We consider our relationships with our employees to be good and have not experienced any interruptions of operations due to labor disagreements.

#### Seasonality
Casino and hotel operations in our markets are subject to seasonal variation. Seasonal weather conditions can frequently adversely affect transportation routes to our properties and may cause flooding and other effects that result in the closure of our properties. As a result, unfavorable seasonal conditions could have a material adverse effect on our operations.

#### Environmental, Social and Corporate Governance
Our approach to sustainability is underpinned by three pillars: (i) player well-being, (ii) people engagement and (iii) building a brighter future.

#### Player Well-Being
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Corporation is a member of the American Gaming Association's "Have A Game Plan" campaign

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 100% of team members undertake Responsible Gambling training annually

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's donated $600,000 to the International Center for Problem Gambling for research into the effectiveness and adaptation of Responsible Gambling tools and Gambling by younger adults

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Corporation is a founding member of the Responsible Gaming Operators group, committed to 12 principles of Responsible Gambling

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Parent company is rolling out a Responsible Gambling Ambassador program in 2023

#### People Engagement
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Advance a distinct culture where capabilities, genders, ethnicity, and ages are respected, and cultivated as a strength

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Create an accessible, diverse, and inclusive work environment with policies, procedures, and systems that support and encourage the principles of diversity, equity, and inclusion

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Engage and include business partners that reflect diversity within the ecosystems in which we operate

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Drive community engagement with the educational entities

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Collaborate with local membership and affinity groups, ethnic chambers and diverse business and civic organizations and their DEI initiatives

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Ensure partnerships exist with organizations that promote "accessibility" and volunteerism or civic responsibility and transition

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Commit to charitable giving that stimulates social and impact investment

#### Building a Brighter Future
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Creation of the Bally's Foundation in North America with $1.8 million to be donated in 2023 to help support local communities

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Bally's Corporation is committed to a near-term science-based target reaffirming its intent to achieve zero net carbon status

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Dedicated to reducing its direct and non-renewable energy usage

#### Facilities
Our principal office is located at 640 N LaSalle, Suite 460, Chicago, Illinois 60654 where we lease approximately 18,233 square feet of office space under a lease agreement that terminates on February 28, 2027. We believe that our facilities are sufficient to meet our current needs and that suitable additional space will be available as and when needed.

In November 2022, we entered into a sublease agreement for approximately 132,600 square feet of space in Chicago, Illinois for the development of our temporary casino. The current term of this lease expires November 30, 2026, with an option to extend for two separate renewal terms of 12 months each.

In November 2022, we also entered into a ground lease agreement for approximately 30-acres in Chicago, Illinois for the development of our permanent casino and resort. The current term of this lease expires 99 years after the lease commencement date and can be extended for 10 separate renewal terms of 20 years each. We have the option to repurchase the land associated with the ground lease at a fixed capitalization rate during years four through eight of the lease term.

#### Legal Proceedings
On January 29, 2025, the American Alliance for Equal Rights, Richard Fisher and Phillip Aronoff filed a complaint against the City of Chicago, certain members of the Illinois Gaming Board, Bally's Chicago OpCo and us, alleging that the Criteria violate federal laws and seeking, among other remedies, permanent injunctions to prevent the Illinois Gaming Board members from enforcing 230 ILCS 10/6(a-5)(9), to allow shareholders to sell their Class A Interests to white males, to mandate the rescission of the Host Community Agreement, and to require the rescission of shares sold under the Criteria. In addition, on January 30, 2025, Mark Glennon filed a complaint against the City of Chicago (including the Mayor and Treasurer in their official capacities), certain members of the Illinois Gaming Board, Bally's Corporation,

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Bally's Chicago OpCo and us, also alleging that the Criteria violate federal laws and seeking, among other remedies, permanent injunctions to prevent the implementation of the HCA's requirements for minority and woman ownership in Bally's Chicago Opco, and to prevent the exclusion of "otherwise qualified individuals" from participating in Bally's ownership, Board, or employment. On January 31, 2025, Glennon filed an emergency motion for preliminary injunction and temporary restraining order, seeking to preclude the closing of the offering while his case proceeds on the merits. On February 6, 2025, the court denied the plaintiffs' request for a temporary restraining order to enjoin this offering. In response to the filing of our amended S-1 on April 22, 2025, which removed the Criteria, plaintiffs in both lawsuits voluntarily dismissed their claims against all defendants (the former with prejudice on June 6, 2025 and the latter without prejudice on April 30, 2025).

We incurred substantial costs defending these lawsuits, and if any person were to bring such a lawsuit against us in the future, we could incur additional substantial costs defending against any additional lawsuits. In addition, the time and attention of our management could be diverted from our business and operations in defense of these lawsuits.

We are not currently a party to any other material legal proceedings.

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#### MANAGEMENT

#### Executive Officers, Directors and Director Nominees
The following table sets forth information regarding our executive officers, directors and director nominees as of the date of this prospectus:

---

| | | |
|:---|:---|:---|
| **Name**  | **Age**  | **Position(s)**  |
|  ***Executive Officers*** |  |  |
| Ameet Patel<sup>(1)</sup> | 58  | President and Director |
| H. C. Charles Diao | 68  | Chief Financial Officer |
| Christopher Jewett | 37  | Chief Development Officer |
| Kim M. Barker<sup>(1)</sup> | 57  | Secretary and Director |
|  ***Non-Employee Board Members*** |  |  |
| Wanda Y. Wilson | 75  | Chairperson of the Board |
| Renee Bradford<sup>(2)</sup> | 75  | Director Nominee |
| Blanton Canady<sup>(2)</sup> | 76  | Director Nominee |
| Ezequiel (Zeke) Flores<sup>(2)</sup> | 46  | Director Nominee |
| Edward Lou<sup>(2)</sup> | 54  | Director Nominee |
| Sharon Thomas Parrott<sup>(2)</sup> | 75  | Director Nominee |

---

(1) Individual has given notice of intention to resign from position as member of our Board effective upon the closing of this offering

(2) Individual has been appointed to serve as a member of our Board effective upon the closing of this offering

#### Executive Officers
***Ameet Patel*** has served as our President since May 2022 and as a member of our Board since November 2024. Mr. Patel has over 20 years of leadership and operating experience in the casino and gaming industry. He has also served as Senior Vice President & Regional General Manager — West of our parent company, Bally's Corporation (NYSE: BALY), since October 2021. From July 2019 to October 2021, he was an independent consultant, focusing on operations of gaming companies. Prior to that, from September 2001 to June 2019, Mr. Patel held various leadership positions at Penn National Gaming, Inc. (NASDAQ: PENN) and its subsidiaries, serving most recently as Senior Vice President Regional Operations. Mr. Patel holds a Bachelor of Commerce from Maharaja Sayajirao University, India, and a Master of Business Administration from Thomas Jefferson University. He is also a certified public accountant. We believe Mr. Patel is qualified to serve on our Board because of his business and leadership experience in the casino and entertainment industry.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ***H. C. Charles Diao*** has served as our Chief Financial Officer since November 2024. Mr. Diao has also served as Senior Vice President, Finance and Corporate Treasurer of our parent company, Bally's Corporation (NYSE: BALY), since June 2023. From April 2017 to June 2021, Mr. Diao served as Senior Vice President of Finance, Corporate Development and Corporate Treasurer of DXC Technology Co (NYSE: DXC), and previously as Vice President and Corporate Treasurer of its predecessor, Computer Sciences Corp., from 2012 to 2017. From 2008 to 2012 and from 2021 to 2023, Mr. Diao was Founder and Managing Director of Diao & Co., LLC, which provides strategic and mergers and acquisition advisory services to corporate clients, and from 2008 to 2012, was Chief Investment Officer of Diao Capital Management LLC, an investment management affiliate that managed alternative investments on behalf of institutional family offices. Until 2008, Mr. Diao was a Senior Managing Director at Bear Stearns & Co. Mr. Diao has served as a member of the board of directors at Synechron Holdings Ltd., a global provider of digital transformation, outsourced software development, and technology consulting services, since April 2022, at Griffon Corporation (NYSE: GFF) since February 2022, and at Turning Point Brands, Inc. (NYSE: TPB) since

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November 2012. He was also previously a member of the board of directors of Media General Inc.(NYSE: MEG) from May 2012 to January 2017. He holds a Bachelor of Science in Engineering from Princeton University and a Master of Business Administration from Harvard Business School.

***Christopher Jewett*** has served as our Chief Development Officer since November 2024. Mr. Jewett has over 12 years of experience in corporate finance, mergers and acquisitions, and business development in the gaming sector. He has also served as Senior Vice President of Corporate Development at our parent company, Bally's Corporation (NYSE: BALY), since December 2020. Prior to joining Bally's, he advanced through roles of increasing responsibility at Delaware North Companies, Inc., a multinational food service and hospitality company, from May 2011 to December 2020, most recently as Director of Finance (Gaming) from October 2020 to December 2020 and previously as Director, Corporate Development (Gaming) from March 2018 to October 2020. Mr. Jewett holds a Bachelor of Science in Business Management and a Master of Business Administration in Finance from Canisius University.

***Kim M. Barker*** has served as our Secretary and as a member of our Board since November 2024. Ms. Barker has also served as Executive Vice President and Chief Legal Officer of our parent company, Bally's Corporation (NYSE:BALY), since December 2022. Prior to joining Bally's, she served as Vice President, Diversity & Inclusion of International Game Technology (NYSE: IGT) from January 2018 to December 2022. Prior to that, Ms. Barker was General Counsel and Vice President, Legal and Regulatory Compliance of Northstar Lottery Group, LLC from February 2011 to January 2018 and General Counsel of the Illinois Student Assistance Commission from February 2007 to February 2011. She currently serves on the board of directors of The Providence Mutual Fire Insurance Company, the American Gaming Association, the International Association of Gaming Advisors and the Community College of Rhode Island Foundation. She is also co-chair of African Americans in Gaming. Ms. Barker holds a Bachelor of Arts in American Studies from Yale University and a Juris Doctor from New York University School of Law. We believe Ms. Barker is qualified to serve on our board of directors because of her business and leadership experience in the casino and entertainment industry.

#### Non-Executive Directors
***Wanda Y. Wilson*** has served as Chairperson of our Board since November 2024. She has also served as an independent director at Bally's Corporation (NYSE: BALY) since May 2019. She presently serves as the Chairman of Bally's Compliance Committee and is a member of the Audit, Compensation and Nominating and Governance Committees. Additionally, she has served on boards of non-public companies as well as several non-profit boards and currently serves on the Board of Advisors at the University of Minnesota Walter Mondale School of Law. Ms. Wilson has nearly 30 years of executive management experience in the public gaming industry. In 2019, Ms. Wilson retired from her role as the Chief Operating Officer, General Counsel and Secretary of the Tennessee Education Lottery Corporation ("TEL"). Ms. Wilson joined the TEL in 2003 as Executive Vice President and General Counsel and was promoted to Chief Operating Officer in 2013. Prior to joining TEL, Ms. Wilson was employed at the Georgia Lottery Corporation, where she served as the Senior Vice President and General Counsel for ten years. Prior to practicing law in the gaming industry, Ms. Wilson served in the legal departments of several federal and local government entities including the Chicago Housing Authority, where she specialized in the management of the authority's FHA bond portfolio. Ms. Wilson has also worked in public finance as an investment banker with EF Hutton and the Northern Trust Bank. Ms. Wilson has received several awards for her contributions to the legal profession and the public gaming industry, including the *Lifetime Achievement Award* from the Public Gaming Research Institute, the *Powers Award for Performance Excellence* from the North American Association of State and Provincial Lotteries and the *Individual Star Diversity Award of Excellence* from Corporate Counsel Women of Color. She was also named one of the 50 most powerful African Americans in Tennessee by Business Tennessee. Ms. Wilson holds a Bachelor of Science from University of Illinois at Urbana-Champaign and a Juris Doctor from the University of Minnesota Law School. We believe Ms. Wilson is qualified to serve on our Board due to her extensive leadership, executive, managerial, and business experience in the casino and entertainment industry.

#### Director Nominees
***Renee Bradford*** is currently a director nominee and will become a member of our Board at the closing of this offering. Ms. Bradford is the founder and president of C'est Si Bon Catering Ltd., a boutique catering

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and event firm which opened in Hyde Park near the University of Chicago campus almost 35 years ago. Ms. Bradford has also been instrumental in assisting other small business owners in developing financial and business plans, enabling them to successfully navigate commercial loan and government grant processes. Prior to entering the world of entrepreneurship, Ms. Bradford worked in sales, marketing, and product management at Quaker Oats, Illinois Bell, Schering Plough, and Interstate Material Corporation. Ms. Bradford is a longtime resident of the Bronzeville neighborhood and is active in civic and community organizations. Ms. Bradford holds a Bachelor of Science in Psychology from the University of Wisconsin, a Master of Arts in Community Mental Health from Northeastern Illinois University, a Master of Business Administration in Marketing and Finance from Columbia University, and a Certificate in Entrepreneurship from Goldman Sachs 10,000 Small Business Program. We believe Ms. Bradford is qualified to serve on our Board due to her operational background and her knowledge of strategy, finance, and management.

***Blanton Canady*** is currently a director nominee and will become a member of our Board at the closing of this offering. Mr. Canady is a Joint Venture partner with the Hudson Group at O'Hare International Airport. He was the owner-operator of several highly successful McDonalds restaurants until retirement in 2020. During his tenure as a McDonald's franchisee, Mr. Canady became the first African American President of the McDonald's Owners of Chicago and Northwest Indiana Prior to his association with McDonalds, Mr. Canady enjoyed a successful marketing and financial management career with several corporations including Illinois Bell, Xerox, and American Hospital Corporation. Mr. Canady is a Joint Venture Partner at Chicago's O'Hare and Midway International Airports, and also has an ownership interest with Concessions at Los Angeles and Seattle International Airports with Concord Collective Partners. Mr. Canady is active in civic and charitable ventures and has served on several boards, including the Midwest Association of Sickle Cell Anemia, Northern Trust Advisory Board, Near South Side Planning Board, and the Mayor's Committee for a Clean Chicago. He was named one of ten Outstanding Business and Professional Honorees by Blackbook's Edwin C. Berry National Business and Awards and is currently listed as a History Maker for Business. Mr. Canady holds a Bachelor of Science in Marketing and Finance from the University of Illinois and a Master of Business Administration in Marketing and Finance from the University of Chicago. We believe Mr. Canady is qualified to serve on our Board due to his operational background and his knowledge of strategy, finance, and management.

***Ezequiel (Zeke) Flores*** is currently a director nominee and will become a member of our Board at the closing of this offering. Mr. Flores is Founder and CEO of Flying Concessions, an industry leading airport retail, food, and beverage concessionaire. Mr. Flores served on gubernatorial transition teams for Illinois Governor Pritzker in 2019 and Illinois Governor Rauner in 2015. Mr. Flores began his career at the accounting firm Arthur Andersen. He later joined Sara Lee and was a key manager in the successful spin-off of Hanesbrand, Inc. He later founded Flores Retail Corporation which focused on public-private partnerships. Mr. Flores is an operating partner of Centre Partners and a board member for Sabrosura, a portfolio company focused on the large and growing Latino foods category. He has also served on Boards of the Archdiocese of Chicago Catholic Schools, Museum of Science and Industry, DePaul University, and the Illinois State Board of Investment. Mr. Flores has been recognized by numerous institutes and publications and received the 2016 Latino Leaders Maestro Award for Entrepreneurship. He is currently a member of the Latino Corporate Directors Association and the Economic Club of Chicago. Mr. Flores holds a Bachelor of Science in Accounting from DePaul University and a Certificate in Corporate Governance from Northwestern University and completed the Stanford University Latino Entrepreneurship Initiative's Scaling Program. We believe Mr. Flores is qualified to serve on our Board due to his knowledge of accounting and finance and extensive business experience.

***Edward Lou*** is currently a director nominee and will become a member of our Board at the closing of this offering. Mr. Lou has over 30 years of experience as an internet entrepreneur and software investor. He is a Venture Partner at Mercury Fund and Corazon Capital. He is also co-founder of CodaPet, a network of veterinarians that provide end-of-life veterinary care at home. He is a co-founder of Shiftgig, the mobile app that connects hourly labor with business shifts. Mr. Lou is also co-founder and board director of One Goal, a non-profit that improves college acceptance and persistence by empowering urban high school students through a teacher-led three-year fellowship. Mr. Lou has received numerous awards for his business and philanthropic endeavors. He was recognized as one of Crain's Chicago Business' 40 Under 40 in 2010, as Chicago United's Business Leader of Color in 2011, as a Forbes Up and Comer in 2012, as Techweek100 in 2015, as Crain's Chicago Business' Tech 50 in 2016, as E&Y's Entrepreneur of the Year Midwest finalist

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in 2016, and as an Edmund Hillary Fellow in 2022. Mr. Lou holds a Bachelor of Science in Mechanical Engineering and a Master of Business Administration in Finance from Washington University in Saint Louis. We believe Mr. Lou is qualified to serve on our Board due to his extensive business and leadership experience.

***Sharon Thomas Parrott*** is currently a director nominee and will become a member of our Board at the closing of this offering. Ms. Parrott is a retired Senior Vice President of External Relations and Global Responsibility for Chicago-based Adtalem Global Education (formerly DeVry Education Group) where she directed government and international relations, internal audit, corporate compliance, global communications, investor relations, and community outreach. She began her career as a Chicago Public Schools teacher and held faculty and administrative positions at several Chicago area colleges and universities. Ms. Parrott currently serves on the Boards of Trustees for Rasmussen University and Ross University Schools of Medicine and Veterinary Medicine. She formerly served on the boards of One Goal, a college access and success network and The College Board. She was named as 100 Women Making A Difference in Chicago by Crain's Chicago Business. Ms. Parrott holds a Bachelor of Arts and a Master of Arts in History from the University of Illinois. We believe Ms. Parrott is qualified to serve on our Board due to her understanding of the demographics in which we operate and the diversity in background and experience she provides to our Board.

#### Board Composition and Election of Directors
Upon the closing of this offering, our Board will consist of six directors. Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering also provides that our directors will be elected at each annual meeting of the stockholders to serve one-year terms. In addition, the Host Community Agreement requires that 40% of seats on our Board be reserved for Minorities or women.

The number of directors constituting our Board is permitted to be established only by a resolution adopted by a majority of our whole Board, and only our Board is authorized to fill vacant directorships, including newly created directorships. When considering whether directors have the experience, qualifications, attributes or skills, taken as a whole, to enable our Board to satisfy its oversight responsibilities effectively in light of our business and structure, the Board focuses primarily on each person's background and experience as reflected in the information discussed in each of the directors' individual biographies set forth above. We believe that our directors provide an appropriate mix of experience and skills relevant to the size and nature of our business.

#### Director Independence
Because our shares of stock are not, and following this offering will not be, listed on a national securities exchange, we are not required to maintain a board consisting of a majority of independent directors.

There are no family relationships among any of our directors, director nominees or executive officers.

#### Compensation committee interlocks and insider participation
None of our executive officers currently serve, or in the past fiscal year have served, as a member of the board of directors or compensation committee of any entity that has one or more executive officers serving on our board of directors.

#### Code of business conduct and ethics
Bally's Corporation's Code of Business Conduct and Ethics applies to our directors, officers, and employees, including our principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions.

#### Limitations on Officers' and Directors' Liability and Indemnification Agreements
Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering limits our directors' and officers' liability to the fullest extent permitted under the Delaware General

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Corporation Law. Consequently, our directors and officers will not be personally liable to us or holders of our stock for monetary damages for any breach of their respective fiduciary duties, except liability for:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • any breach of the director's or officer's duty of loyalty to us or holders of our stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • any act or omission by a director or officer not in good faith or that involves intentional misconduct or a knowing violation of law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • with respect to a director, unlawful payments of dividends or unlawful stock repurchases or redemptions as provided in Section 174 of the Delaware General Corporation Law;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • any transaction from which the director or officer derived an improper personal benefit; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • an officer in any action by or in the right of the Company.

If Delaware law is amended to authorize corporate action further eliminating or limiting the personal liability of directors or officers, then the liability of our directors and officers will be eliminated or limited to the fullest extent permitted by Delaware law, as so amended. Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering does not eliminate a director's or officer's duty of care and, in appropriate circumstances, equitable remedies, such as injunctive or other forms of non-monetary relief, remain available under Delaware law. This provision also does not affect a director's or officer's responsibilities under any other laws, such as the federal securities laws or other state or federal laws. Under our second amended and restated certificate of incorporation and second amended and restated bylaws, we will also be empowered to enter into indemnification agreements with our directors, officers, employees and other agents and to purchase insurance on behalf of any person whom we are required or permitted to indemnify.

In addition, our second amended and restated bylaws to be in effect prior to the closing of this offering, require us to indemnify and hold harmless (except in limited circumstances), to the fullest extent permitted by the DGCL as it presently exists or may hereafter be amended, any director or officer of the Company (a "covered person") who was or is made or is threatened to be made a party to or is otherwise involved in any action, suit or proceeding, whether civil, criminal, administrative or investigative (a "Proceeding") by reason of the fact that he or she, or a person for whom he or she is the legal representative, is or was a director or officer of the Company or, while serving as a director or officer of the Company, is or was serving at the request of the Company as a director, officer, employee, trustee, member, manager or agent of another corporation or of a partnership, limited liability company, joint venture, trust, enterprise or non-profit entity, including service with respect to employee benefit plans, against all liability and loss suffered and expenses (including, without limitation, attorneys' fees, judgments, fines, ERISA excise taxes or penalties and amounts paid in settlement) actually and reasonably incurred by such person in connection with any such Proceeding. Furthermore, our second amended and restated bylaws require us to the fullest extent not prohibited by applicable law pay the expenses (including attorneys' fees) incurred by any covered person, in defending any Proceeding in advance of its final disposition; provided, however, that such payment of expenses in advance of the final disposition of the Proceeding shall be made only upon receipt of an undertaking by the person to repay all amounts advanced if it should be ultimately determined by a final judicial decision of a court of competent jurisdiction from which there is no further right to appeal that the person is not entitled to be indemnified. In addition, we will enter into indemnification agreements with each of our current directors, officers and certain employees before the closing of this offering. These agreements provide for the indemnification and advancement of expenses of our directors, officers and certain employees for all reasonable expenses and liabilities incurred in connection with any action or proceeding brought against them by reason of the fact that they are or were our agents. We believe that these provisions in our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering and second amended and restated bylaws to be in effect prior to the closing of this offering and indemnification agreements are necessary to attract and retain qualified persons as directors and officers. Furthermore, we have obtained director and officer liability insurance to cover liabilities our directors and officers may incur in connection with their services to us. This description of the limitation of liability and indemnification provisions of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, our second amended and restated bylaws to be in effect prior to the closing of this offering and our indemnification agreements is qualified in its entirety by reference to these documents, each of which is attached as an exhibit to this registration statement.

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The limitation of liability and indemnification and advancement of expenses provisions in our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering and second amended and restated bylaws to be in effect prior to the closing of this offering may discourage holders of our stock from bringing a lawsuit against directors for breach of their fiduciary duties. They may also reduce the likelihood of derivative litigation against directors and officers, even though an action, if successful, might benefit us and our stockholders. Holders of our stock may be harmed to the extent we pay the costs of settlement and damage awards against directors and officers pursuant to these indemnification provisions. Insofar as indemnification for liabilities arising under the Securities Act may be permitted to our directors, officers and controlling persons pursuant to the foregoing provisions, or otherwise, we have been advised that, in the opinion of the SEC, such indemnification is against public policy as expressed in the Securities Act, and is, therefore, unenforceable. There is no pending litigation or proceeding naming any of our directors or officers as to which indemnification is being sought, nor are we aware of any pending or threatened litigation that may result in claims for indemnification by any director or officer.

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#### SUBORDINATED LOANS
In connection with this offering and the private placement, we intend to enter into an amended and restated subordinated loan agreement with Bally's Chicago HoldCo pursuant to which Bally's Chicago HoldCo, as lender, will make Subordinated Loans to us, as borrower, in various tranches and in varying amounts based on the total number of shares sold in this offering and the private placement. None of the new investors purchasing Class A Interests in this offering and the private placement will be a party to the amended and restated subordinated loan agreement, or a borrower or lender under the Subordinated Loans. We intend to enter into such amended and restated subordinated loan agreement for the purpose of providing funding to support an investment in our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests by prospective public shareholders by reducing the purchase price required to be funded by such prospective investors. The following is a summary of the material terms of such subordinated debt. The summary is qualified in its entirety by reference to the full text of the amended and restated subordinated loan agreement pursuant to which the debt is being incurred.

***General***. In connection with this offering and the private placement, we intend to enter into an amended and restated subordinated loan agreement with Bally's Chicago HoldCo pursuant to which we intend to incur $ aggregate amount of Subordinated Loans. For each Class A-1 Interest sold in this offering and the private placement, we will incur $24,750 of Subordinated Loans from Bally's Chicago HoldCo. For each Class A-2 Interest sold in this offering and the private placement, we will incur $22,500 of Subordinated Loans from Bally's Chicago HoldCo. For each Class A-3 Interest sold in this offering and the private placement, we will incur $20,000 of Subordinated Loans from Bally's Chicago HoldCo. We will not incur any Subordinated Loans or other debt in connection with the issuance of the Class A-4 Interests or the Class B Interests. The Subordinated Loans will be non-recourse to the holders of our Class A Interests; however, the value of the Class A Interests (other than the Class A-4 Interests) at any given time will be linked to the portion of the Subordinated Loans as of such time.

Based upon an aggregate offering size of $195.1 million, which is the amount set forth on the cover page of this prospectus, and an aggregate size of $ million of the private placement, we expect to incur the following amounts of Subordinated Loans:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $ million of Class A-1 Subordinated Loans, based on $0.125 million of Class A-1 Interests sold in this offering and $ million Class A-1 Interests sold in the private placement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $ million of Class A-2 Subordinated Loans, based on $2.5 million of Class A-2 Interests sold in this offering and $ million Class A-2 Interests sold in the private placement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • $ million of Class A-3 Subordinated Loans, based on $5 million of Class A-3 Interests sold in this offering and $ million Class A-3 Interests sold in the private placement.

Our obligation to make payments of principal and interest on the Subordinated Loans is subordinate and junior in right of payment to all of our senior indebtedness and other general creditors and certain other types of indebtedness specified in the amended and restated subordinated loan agreement.

The Subordinated Loans will have no maturity date. In the event of a sale or dissolution of Bally's Chicago OpCo's, after payment or provision for payment of Bally's Chicago OpCo's debt and liabilities, including any amounts due under Bally's Chicago OpCo's senior indebtedness, each LLC Interest will be entitled to receive a proportionate interest in the net assets of Bally's Chicago OpCo. In turn, the interests in the net assets of Bally's Chicago OpCo received by Bally's Chicago, Inc. will be used to pay Bally's Chicago, Inc.'s debts and liabilities, including any amounts under any senior indebtedness and the Subordinated Loans owed by us at the time of such sale. Each Class A Interest will be entitled to receive a proportionate interest in the net assets remaining for distribution to holders of Class A Interests. Class B Interests hold no economic interest in Bally's Chicago, Inc.

***Interest.*** The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly. Principal and interest payments on the Subordinated Loans will be paid by us by withholding discretionary distributions that would otherwise be made by us to the investors with the corresponding Class A Interests, and applying such distributions to reduce amounts outstanding under the applicable Subordinated Loans. In connection with each such distribution until the Subordinated Loans are repaid in

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full, we will withhold an amount equal to 100.0% of each such future distribution, which will be applied first to any outstanding and unpaid interest remaining on the Subordinated Loans and thereafter to any outstanding and unpaid principal remaining on the Subordinated Loans. Any interest payments that are not able to be paid in cash on a quarterly basis will be added to the principal balance of the Subordinated Loans. Upon full repayment of the corresponding Subordinated Loans, holders of our Class A Interests will receive 100% of any discretionary distributions payable to such holders with respect to their Class A Interests.

In the event discretionary distributions are not sufficient to repay the balance on the Subordinated Loans prior to a sale or dissolution of the Company and/or our wholly-owned subsidiary, Bally's Chicago OpCo, any proceeds received on account of the sale of the investor's shares will be applied first to any outstanding and unpaid interest remaining on the Subordinated Loans and thereafter to any outstanding and unpaid principal remaining on the Subordinated Loans.

***Repayment.*** We may, at our option, repay the Subordinated Loans, in whole or in part, upon ten days' notice to Bally's at a redemption price equal to the principal amount thereof, plus accrued and unpaid interest thereon.

***Covenants.*** The amended and restated subordinated loan agreement will contain customary covenants that, among other things, will limit our ability to merge, consolidate or sell all or any substantial part of our consolidated assets and, subject to certain conditions, pay dividends. In addition, the Subordinated Loans will provide that we may not consolidate with or merge into any other person or entity, or convey or transfer our properties and assets substantially as an entirety to any person or entity, unless certain conditions specified in the amended and restated subordinated loan agreement are satisfied.

***Events of Default.*** An event of default under the subordinated loan agreements will occur, and the payment of principal of the subordinated debt may be accelerated, only upon the occurrence and continuation of certain events of insolvency of the Company that are specified in the subordinated loan agreements (a "Subordinated Debt Event of Default"). In the case of a Subordinated Debt Event of Default, unless the principal of the subordinated debt already shall have become due and payable, Bally's may declare the principal amount of the subordinated debt to be due and payable immediately.

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#### EXECUTIVE COMPENSATION
Our named executive officers for fiscal year 2024 are:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Ameet Patel, President and Director;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • H.C. Charles Diao, Chief Financial Officer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Kim M. Barker, Secretary and Director.

We were incorporated in May 2022 to operate as a subsidiary of Bally's Corporation for purposes of building and operating an entertainment destination resort in Chicago, Illinois. As described in "Management — Executive Officers, Directors and Director Nominees," Mr. Patel also serves as Senior Vice President & Regional General Manager — West of Bally's Corporation, Mr. Diao also serves as Senior Vice President, Finance and Corporate Treasurer of Bally's Corporation and Ms. Barker serves as Executive Vice President and Chief Legal Officer of Bally's Corporation, each of whom respectively received compensation during fiscal 2024 in that capacity. Although each named executive officer's services to us comprises only a portion of the total services such executive provides to Bally's Corporation and its subsidiaries, we have included all compensation paid by Bally's Corporation and its subsidiaries to our named executive officers during the applicable fiscal year(s) in the following table rather than that portion attributable to such executive's services to us during such year(s).

#### Summary Compensation Table
The following table sets forth information concerning the compensation of our named executive officers for the years ended December 31, 2024 and December 31, 2023, as applicable.

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Name and Principal Position**  | **Year**  | **Salary <br> ($)<sup>(1)</sup>**  | **Stock <br> Awards <br> ($)<sup>(2)</sup>**  | **Non-Equity <br> Incentive Plan <br> Compensation <br> ($)<sup>(3)</sup>**  | **All Other <br> Compensation <br> ($)<sup>(4)</sup>**  | **Total**  |
|  Ameet Patel <br> *President and Director*  | 2024 | 500000 | 32344 |  | 62033 | 594377 |
|  Ameet Patel <br> *President and Director*  | 2023 | 462740 | 60239 | 312627 | 33214 | 867820 |
|  H.C. Charles Diao <br> *Chief Financial Officer*  | 2024 | 500000 | 118356 |  | 23720 | 642076 |
|  Kim M. Barker <br> *Secretary and Director*  | 2024 | 550000 | 87661 |  | 19004 | 656665 |

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(1) Amount reflects the actual base salary paid to the executive in respect of the applicable fiscal year, taking into account any base salary increases.

(2) Amount reflects the grant date fair value of performance stock units ("PSUs"), granted during the applicable fiscal year with respect to Bally's Corporation common stock as computed under ASC 718. With respect to the PSUs, the grant date fair value is calculated based on the probable outcome of the performance result (i.e., target level of performance) for the applicable performance period. The fair value of the PSUs was determined using the share price of Bally's Corporation common stock on the date that the applicable performance targets were set for the applicable performance period. The amount does not necessarily reflect the actual amount that was paid to, or may be realized by, the NEO for the fiscal year reflected. Share-based compensation expense is recognized based on the target number of shares of common stock that may be earned pursuant to the PSU award and Bally's Corporation stock price on the date of grant, and expense is subsequently adjusted based on actual and forecasted performance compared to planned targets.

(3) Amount reflects the annual performance bonus earned with respect to the applicable fiscal year under the Bally's Corporation annual bonus program, as described below. The annual performance bonus earned with respect to fiscal year 2024 has not yet been determined but is expected to be determined in March 2025.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

(4) For 2024, amounts reflect: (i) For Mr. Patel, (A) contributions for the group term life insurance premiums and AD&D policy in the amount of $930, (B) supplemental executive disability benefits in the amount of $810, (C) a Bally's Corporation-paid matching contribution to Mr. Patel's 401(k) plan account of $11,500, (D) a tax gross-up in the amount of $11,070 associated with the provision to Mr. Patel of certain health benefits by Bally's Corporation, and (E) a retroactive salary payment to Mr. Patel of $37,723 to reflect his retroactive salary increase to $500,000 effective as of September 2023; (ii) For Mr. Diao, (A) contributions for the group term life insurance premiums and AD&D policy in the amount of $907, (B) supplemental executive disability benefits in the amount of $810, (C) a Bally's Corporation-paid matching contribution to Mr. Diao's 401(k) plan account of $11,500, and (D) a tax gross-up in the amount of $10,503 associated with the provision to Mr. Diao of certain health benefits by Bally's Corporation; and (iii) for Ms. Barker, (A) contributions for the group term life insurance premiums and AD&D policy in the amount of $1,395, (B) supplemental executive disability benefits in the amount of $810, (C) a Bally's Corporation-paid matching contribution to Ms. Barker's 401(k) plan account of $10,085, and (D) a tax gross-up in the amount of $6,714 associated with the provision to Ms. Barker of certain health benefits by Bally's Corporation.

#### Base Salary
Our named executive officers receive a base salary from Bally's Management Group, LLC to compensate them for services rendered to Bally's Corporation and its subsidiaries, including Bally's Chicago. The base salary payable to our named executive officers is intended to provide a fixed component of compensation reflecting the executive's skill set, experience, role and responsibilities.

For 2024, Messrs. Patel and Diao each received a base salary of $500,000 and Ms. Barker received a base salary of $550,000.

The actual salaries paid to our named executive officers for 2024 is set forth above in the Summary Compensation Table in the column entitled "Salary," and have not been prorated to reflect the applicable portion of the executives' services attributable to Bally's Chicago.

#### 2024 Bonus
Our named executive officers are eligible to earn an annual performance-based bonus in respect of 2024, with Messrs. Patel and Diao having a target bonus opportunity equal to 75% of his annual base salary and Ms. Barker having a target bonus opportunity of 100% of her base salary.

Payouts under the Bally's Corporation annual bonus program for 2024 were based on pre-determined adjusted EBITDAR goals. Bally's Corporation has not yet determined actual achievement of the EBITDAR goals for 2024, though it is expected to determine performance achievement as well as annual cash bonus payouts in March 2025.

#### Equity Compensation
In connection with Mr. Patel's appointment by Bally's Corporation as Senior Vice President and General Manager — West, on October 25, 2021, Bally's Corporation granted Mr. Patel 9,062 target PSUs with respect to its common stock under the Bally's Corporation 2021 Equity Incentive Plan. The PSUs are eligible to be earned and vest based on the achievement of certain performance goals over three separate one-year performance periods ending December 31, 2022, December 31, 2023 and December 31, 2024, in each case subject to Mr. Patel's continued service with Bally's Corporation through the January 1 following the end of the applicable performance period, and are settled in Bally's Corporation common stock.

In addition, Mr. Patel received a grant of time-based restricted stock units, or RSUs, from Bally's Corporation on October 25, 2021, which award vests in three equal annual installments on each of the first three anniversaries of the vesting commencement date of December 31, 2021, subject to continued service through the applicable vesting dates, and which are settled in Bally's Corporation common stock.

In 2023, Mr. Diao was granted 28,125 RSUs with respect to Bally's Corporation common stock vesting in three installments on each on each March 1, of 2024, 2025 and 2026, subject to continued service through the applicable vesting dates, subject to continued employment, as well as PSUs with respect to Bally's

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Corporation common stock eligible to be earned and vest based on the achievement of certain performance goals over three separate one-year performance periods. For 2024, Mr. Diao was granted PSUs with respect to a target of 11,051 PSUs eligible to be earned for the 2024 performance period.

In 2023, Ms. Barker was granted 24,554 time-vesting RSUs with respect to Bally's Corporation common stock which are scheduled to vest in three equal installments on each March 1, of 2024, 2025 and 2026, subject to continued service through the applicable vesting dates, as well as PSUs with respect to Bally's Corporation common stock eligible to be earned and vest based on the achievement of certain performance goals over three separate one-year performance periods. In 2024, Ms. Barker was granted PSUs with respect to a target of 8,185 PSUs eligible to be earned for the 2024 performance period.

With respect to the RSUs granted to our named executive officers, upon termination of employment due to death or disability, the portion of the executive's RSUs that would have vested on the next applicable vesting date will accelerate and vest. In the event of a "change in control" and the acquiring or surviving entity provides a replacement award in connection with a change in control, the vesting of the executive's RSUs will only accelerate upon the "involuntary termination" of employment (each as defined in the applicable Bally's Corporation equity plan or award agreement) within two years following the change in control. RSUs will automatically vest in full upon a change in control if the acquiring or surviving entity does not provide a replacement award.

Upon a termination of employment due to death, any PSUs earned for previously completed performance periods will vest at the "target" performance levels, unvested PSUs attributable to the current performance period will vest at the target level on a pro-rata basis (based upon the number of days of service during the applicable performance period), and any unvested PSUs for future performance periods will be forfeited. In the event of a termination of employment by the Company without "cause" or due to the executive's disability, or a termination for "good reason," all PSUs (including for prior, current and future performance periods) will vest based on actual performance. In the event of a change in control, the PSUs will vest based on actual performance.

The PSUs attributable to each performance period will have their own grant date (determined each year based on the date on which the Bally's Corporation Compensation Committee establishes the applicable performance goals for such period, which serves as the date on which such PSUs will be effectively granted for accounting purposes). As a result, the values of the PSUs reflected in the "Stock awards" column of the Summary Compensation Table for 2024 reflects the grant date fair value for only fiscal year 2024 and were not prorated to reflect solely the portion of the executive's services attributable to Bally's Chicago.

#### Employee Benefits
Our named executive officers are eligible to participate in Bally's Corporation's health and welfare plans, including medical, dental and vision benefits, long-term disability insurance and life insurance. Bally's Corporation also sponsors a 401(k) retirement plan for its employees, including our named executive officers, who satisfy certain eligibility requirements. For the 2024 fiscal year, Bally's Corporation made matching contributions of $11,500 in respect of Messrs. Patel's and Diao's 401(k) plan accounts and $10,085 in respect of Ms. Barker's 401(k) plan account.

In addition, certain key employees of Bally's Corporation (including our named executive officers) are eligible to receive supplemental executive welfare plan benefits. Our named executive officers are also eligible to receive tax-gross ups in respect of health benefits provided to the executive by Bally's Corporation.

In addition, Mr. Patel received a retroactive salary payment of $37,723 in 2024 to reflect his retroactive salary increase to $500,000 effective as of September 2023, which was pursuant to the Patel Employment Agreement (as described below).

The amount of such benefits paid by Bally's Corporation on behalf of our named executive officers is set forth above in the Summary Compensation Table in the column entitled "All Other Compensation."

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#### Outstanding Equity Awards at Fiscal Year-End
The following table summarizes the number of shares of Bally's Corporation common stock underlying outstanding equity incentive plan awards for each named executive officer as of December 31, 2024. Although our named executive officers received a portion of his or her awards in connection with his or her service with Bally's Corporation, all such awards are included in the table below rather than the portion attributable to the executive's service with us. All awards reflected in the table below are with respect to Bally's Corporation common stock.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Stock Awards**  | **Stock Awards**  | **Stock Awards**  | **Stock Awards**  | **Stock Awards**  |
| **Name**  | **Number of <br> Shares or <br> Units of <br> Stock That <br> Have Not <br> Vested (#)**  | **Market <br> Value of <br> Shares or <br> Units of <br> Stock That <br> Have Not <br> Vested <br> ($)<sup>(1)</sup>**  | **Equity <br> Incentive <br> Plan <br> Awards: <br> Number of <br> Unearned <br> Shares, Units <br> or Other <br> Rights That <br> Have Not <br> Vested (#)**  | **Equity <br> Incentive Plan <br> Awards: <br> Market or <br> Payout Value of <br> Unearned <br> Shares, Units or <br> Other Rights <br> That Have Not <br> Vested <br> ($)<sup>(1)</sup>**  |
| Ameet Patel  |  |  | &nbsp;&nbsp;3020<sup>(2</sup>) | 54028 |
| H.C. Charles Diao  | 22070<sup>(3</sup>) | 394832 | &nbsp;&nbsp;11051<sup>(2</sup>) | 197702 |
| Kim M. Barker  | 16369<sup>(3</sup>) | 292842 | &nbsp;&nbsp;8185<sup>(2</sup>) | 146430 |

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(1) The value shown was calculated by multiplying the number of shares shown in the table by the closing price of Bally's Corporation common stock on December 31, 2024, or $17.89.

(2) Represents target PSUs granted to the executive which are attributable to the 2024 performance period.

(3) The RSUs vest in three equal installments on each March 1, of 2024, 2025 and 2026, subject to continued employment through the applicable vesting dates.

#### Employment Agreements

#### Patel Employment Agreement
Effective as of October 1, 2023, Mr. Patel entered into an employment agreement with Bally's Management Group, LLC providing for his continued employment as Senior Vice President & Regional General Manager — West (the "Patel Employment Agreement"). The Patel Employment Agreement provides for a term through December 31, 2024.

Pursuant to the Patel Employment Agreement, Mr. Patel is entitled to an annual base salary of $500,000 and is eligible to earn an annual cash performance-based bonus with a target bonus opportunity of 75% of his annual base salary.

In the event Mr. Patel's employment is terminated by his employer without "justifiable cause" (as defined in the Patel Employment Agreement), he will be entitled to receive, subject to his execution and non-revocation of a separation and general release agreement, (i) any earned but unpaid annual bonus for the year prior to the year of termination, (ii) six months continued base salary, payable in accordance with ordinary payroll practices, and (iii) an annual bonus with respect to the fiscal year in which his termination occurs, based on actual achievement of any applicable performance goals and prorated for the number of days the executive was employed during that fiscal year, payable at the same time bonuses are payable to other senior executives generally (a "Pro-Rata Bonus"); provided, that if such termination occurs within six months of a change-in-control (as defined in the Patel Employment Agreement), Mr. Patel will receive the foregoing benefits other than he will instead receive continued base salary payments for the greater of (a) twelve months and (b) the amount of time remaining during the term.

In the event Mr. Patel's employment terminates by reason of his death or disability, he or his estate will be entitled to receive a Pro-Rata Bonus.

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The Patel Employment Agreement provides that Mr. Patel will be subject to perpetual non-disparagement obligations.

We expect to enter into an amendment to the Patel Employment Agreement with Mr. Patel including, among other things, an extension of the term of the Patel Employment Agreement.

#### Diao Employment Agreement
Effective as of May 8, 2023, Mr. Diao entered into an employment agreement with Bally's Management Group, LLC providing for his employment as Senior Vice President, Finance and Treasurer (the "Diao Employment Agreement"). The Diao Employment Agreement provides for a term through December 31, 2026, subject to automatic successive one-year renewals unless either party provides at least 60 days' written notice of non-extension to the other party.

Pursuant to the Diao Employment Agreement, Mr. Diao is entitled to an annual base salary of $500,000 and is eligible to earn an annual cash performance-based bonus with a target bonus opportunity of 75% of his annual base salary.

In the event Mr. Diao's employment is terminated by his employer without "justifiable cause" (as defined in the Diao Employment Agreement), he will be entitled to receive, subject to his execution and non-revocation of a separation and general release agreement, (i) any earned but unpaid annual bonus for the year prior to the year of termination, (ii) twelve months continued base salary, payable in accordance with ordinary payroll practices, (iii) a Pro-Rata Bonus and (iv) a monthly payment equivalent to the approximate monthly COBRA premium which may be used to purchase continuation coverage benefits; provided, that if such termination occurs within twelve months of a change-in-control (as defined in the Diao Employment Agreement), Mr. Diao will receive the foregoing benefits other than he will instead receive continued base salary payments for the greater of (a) twenty-four months and (b) the amount of time remaining during the term.

In the event Mr. Diao's employment terminates by reason of his death or disability, he or his estate will be entitled to receive a Pro-Rata Bonus.

The Diao Employment Agreement provides that Mr. Diao will be subject to perpetual non-disparagement obligations.

#### Barker Employment Agreement
The employment agreement entered into with Ms. Barker by Bally's Management Group, LLC (f/k/a Twin River Management Group, Inc.**)** was effective as of December 7, 2022 and provides for a term that runs until December 31, 2024, an annual base salary equal to $550,000, which will be reviewed annually, and eligibility to receive a target annual cash bonus equal to 100% of her base salary.

Upon a termination of employment by her employer without "justifiable cause" or by Ms. Barker for "good reason," (each as defined in the Barker Employment Agreement), Ms. Barker will be entitled to receive: (i) any earned but unpaid annual bonus for the year prior to the year of termination, (ii) a Pro-Rata Bonus, and (iii) continued payment of annual base salary for a period of 12 months In addition, during the applicable severance period, Ms. Barker will receive a monthly payment equivalent to the approximate monthly COBRA premium which may be used to purchase continuation coverage benefits.

In the event Ms. Barker's employment terminates by reason of her death or disability, she or her estate will be entitled to receive a Pro-Rata Bonus.

The Barker Employment Agreement provides that Ms. Barker will be subject to 12-month post-termination non-compete and non-solicit of customers and employees covenants.

We expect to enter into an amendment to the Barker Employment Agreement with Ms. Barker including, among other things, an extension of the term of the Barker Employment Agreement.

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#### Director Compensation

#### 2024 Director Compensation Table

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| | | |
|:---|:---|:---|
| **Name**  | **Fees Earned or <br> Paid in Cash ($)**  | **Total ($)**  |
| Wanda Wilson<sup>(1)</sup>  | 26667 | 26667 |

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(1) Ms. Wilson commenced serving on our board of directors effective November 1, 2024. Ms. Wilson, who also serves as a director of Bally's Corporation, holds 7,686 shares of restricted stock with respect to Bally's Corporation.

Effective as of this offering, each of our non-employee directors will be eligible to receive an annual cash retainer for their service of $80,000 (other than Ms. Wilson, who became eligible to receive an annual cash retainer of $160,000 in connection with the commencement of her service in 2024).

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#### TRANSACTIONS WITH RELATED PERSONS
The following is a description of transactions since our incorporation in May 2022, to which we have been a party, in which the amount involved exceeds $120,000, and in which any of our directors, executive officers or holders of more than 5% of our capital stock, or an affiliate or immediate family member thereof, had or will have a direct or indirect material interest, other than compensation, termination and change in control agreements, which are described under "*Executive Compensation*." We believe that all of the transactions described below were made on terms no less favorable to us than could have been obtained from unaffiliated third parties.

#### Permanent Services Agreement
In January 2023, Bally's Chicago OpCo and certain subsidiaries of Bally's Corporation entered into the Permanent Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Permanent Services Agreement, BMG agreed to provide us and certain subsidiaries of Bally's Corporation with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing upon the opening of our permanent casino and resort. Pursuant to the Permanent Services Agreement, we agreed to pay BMG an annual fee equal to the salaries, burden, overhead and other operating costs for providing such services based on our share of those costs calculated by reference to an appropriate common-size metric plus 6%, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is one year, beginning upon the opening of our permanent casino and resort, and will be automatically renewed for successive one-year terms, unless either party serves on the other a written notice of termination.

#### Temporary Services Agreement
In August 2023, Bally's Chicago OpCo entered into the Temporary Services Agreement with BMG, a subsidiary of Bally's Corporation. Pursuant to the Temporary Services Agreement, BMG agreed to provide us with general business support services, including services relating to external reporting obligations, internal audit, regulatory filings, design and construction, business development, human resources, tax, accounting, treasury and capital related, risk management, legal, finance and marketing related to our temporary casino. Pursuant to the Temporary Services Agreement, we agreed to pay BMG a monthly fee equal to $5.0 million, which fee may be reviewed and adjusted by the parties from time to time to reflect current market rates for such services and as required by the Code. The initial term of the agreement is two years, beginning August 30, 2023, and will be automatically renewed for successive one-year terms for as long as our temporary casino is licensed to continue operations, unless BMG serves on Bally's Chicago OpCo a written notice of termination. The Temporary Services Agreement shall automatically terminate when our temporary casino permanently closes and our permanent casino and resort opens to the public. For the Successor period from February 8 to March 31, 2025, the Predecessor period from January 1 to February 7, 2025, and the year ended December 31, 2024 (Predecessor), the fee paid to BMG in accordance with the Temporary Services Agreement was $8.9 million, $6.1 million, and $60.0 million, respectively.

#### Guarantee of Bally's Corporation's Obligations
We and Bally's Chicago HoldCo, our direct parent and the entity that holds 2,141 of our Class A-4 Interests and all of our Class B Interests, as well as all other current and future direct unrestricted subsidiaries of Bally's Corporation under its credit facilities and bond indentures, will guarantee Bally's Chicago OpCo's obligations under the GLP Lease Agreement and GLP Development Agreement; provided, however, that at such time as Bally's Chicago OpCo becomes a restricted subsidiary under Bally's Corporation's credit facilities and bond indentures, (i) Bally's Corporation (or its Parent Company (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) will be required to guarantee the GLP Lease Agreement and GLP Development Agreement and (ii) following the delivery of such guarantee, the guarantees of the GLP Lease Agreement and GLP Development Agreement provided by Bally's Chicago HoldCo and such other unrestricted subsidiaries of Bally's Corporation shall terminate.

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In connection with Bally's Chicago HoldCo's commitment to guarantee the GLP Lease Agreement and GLP Development Agreement, and in partial consideration for certain investments by Bally's Corporation and its subsidiaries into Bally's Chicago OpCo, we and Bally's Chicago OpCo intend to guarantee all obligations, including, without limitation, indebtedness and lease obligations of Bally's Corporation and its subsidiaries upon Bally's Corporation's (or its Parent Company's (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) guaranteeing the GLP Lease Agreement and the GLP Development Agreement or upon request from Bally's Corporation; provided that, at any time after such guarantee by Bally's Corporation (or its Parent Company) or such request from Bally's Corporation, upon request of Bally's Chicago OpCo, Bally's Corporation will guarantee Bally's Chicago OpCo's obligations under any lease obligations outstanding at such time, including any obligations under the Oak Street Lease Agreement or, if entered into, the GLP Lease Agreement and the GLP Development Agreement, to the maximum extent permitted under the instruments governing Bally's Corporation's indebtedness (assuming full borrowing of all outstanding commitments under Bally's Corporation's revolving credit facilities outstanding at such time).

Furthermore, in March 2025, we and Bally's Chicago OpCo entered into the Guarantee Agreement with Bally's Corporation, pursuant to which, at any time in the future, upon request from Bally's Corporation, we and Bally's Chicago OpCo will guarantee, and cause each of our wholly-owned subsidiaries to guarantee, any additional obligations, including, without limitation, indebtedness and lease obligations that Bally's Corporation or its subsidiaries enter into at any time in the future.

#### Pre-IPO Intercompany Notes
We are currently dependent on Bally's for a majority of our working capital and financing requirements. As of March 31, 2025 (Successor), we and Bally's Chicago OpCo owe $642.4 million in Pre-IPO Intercompany Notes to Bally's and various of its subsidiaries. The Pre-IPO Intercompany Notes have borne and bear interest at a rate equal to 0.0% per annum and are scheduled to mature on December 31, 2025, but all portions that remain outstanding are expected to be extinguished upon the closing of this offering.

#### Pre-IPO Capital Contribution
Prior to the closing of this offering, Bally's Chicago HoldCo will assign to Bally's Chicago Inc. $ of Pre-IPO Intercompany Notes owed to it by Bally's Chicago, Inc. and $ of Pre-IPO Intercompany Notes owed to it by Bally's Chicago OpCo as the Pre-IPO Capital Contribution. The amount of the Pre-IPO Capital Contribution will equal the aggregate amount of Subordinated Loans that we will enter into based on the amount of the various classes of Class A Interests sold in this offering and the concurrent private placements.

#### IPO Expenses Note
In connection with the closing of this offering, we intend to pay the placement agent fees and offering and private placement expenses payable by us with the proceeds we receive from Class A investors in this offering and the concurrent private placements. In turn, we intend to issue Bally's Chicago OpCo the IPO Expenses Notes in an amount equal to $, which is equal to the placement agent fees and offering and private placement expenses payable by us, to cover the difference in the amount we will owe Bally's Chicago OpCo in connection with the purchase of the LLC Interests. Bally's Chicago OpCo intends to assign the IPO Expenses Note to Bally's Chicago HoldCo in exchange for the cancellation of certain indebtedness owed by Bally's Chicago OpCo to Bally's Chicago HoldCo. The IPO Expenses Note will bear interest at a rate equal to 11.0% per annum and will mature on .

#### Intercompany Notes Cancellation
We intend to use all of the net proceeds from this offering, together with the proceeds from the concurrent private placements, the Subordinated Loans and the IPO Expenses Note, to purchase 10,000 LLC Interests directly from Bally's Chicago OpCo at a price per unit equal to the stated value of $25,000 per Class A Interest, which is equal to the amount paid by investors in this offering plus the corresponding amount of Subordinated Loans attributable to each Class A Interest. The 10,000 LLC Interests we purchase, together with the 3,326 LLC Interests we currently hold, will represent 30.8% of the economic interest in

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Bally's Chicago OpCo and the Class A Interests to be held by Bally's Chicago HoldCo and the public stockholders upon the closing of this offering will represent 30.8% of the voting power and 100.0% of the economic interest in Bally's Chicago, Inc.

Bally's Chicago OpCo intends to use the proceeds it receives from the sale of LLC Interests to us to repay $250.0 million outstanding aggregate amount under the Pre-IPO Intercompany Notes.

#### Indemnification Agreements
Our second amended and restated bylaws to be in effect prior to the closing of this offering provides that we will indemnify and advance expenses to our directors and officers to the fullest extent permitted under the Delaware General Corporation Law. In addition, we will enter into separate indemnification agreements with each of our directors and executive officers. For more information regarding these agreements, see "*Management — Limitations on Officers' and Directors' Liability and Indemnification Agreements*."

#### Subordinated Loans
In connection with this offering, we intend to enter into an amended and restated subordinated loan agreement with Bally's Chicago HoldCo pursuant to which Bally's Chicago HoldCo, as lender, will make subordinated loans to us, as borrower, in various tranches and in varying amounts based on the total number of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests sold in this offering. None of the new investors purchasing Class A Interests in this offering will be a party to the amended and restated subordinated loan agreement, or a borrower or lender under the Subordinated Loans. For each Class A-1 Interest sold in this offering and the concurrent private placements, we will incur $24,750 of Class A-1 Subordinated Loans. For each Class A-2 Interest sold in this offering and the concurrent private placements, we will incur $22,500 of Class A-2 Subordinated Loans. For each Class A-3 Interest sold in this offering and the concurrent private placements, we will incur $20,000 of Class A-3 Subordinated Loans. We will not incur any Subordinated Loans or other debt in connection with the issuance of the Class A-4 Interests or the Class B Interests. Pursuant to the terms of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering, so long as there are Subordinated Loans outstanding that are attributable to each of our various Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, any cash available for distribution that would otherwise be paid to holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, as applicable, will be required to be used for the repayment of principal and accrued interest on the corresponding Subordinated Loans owed by us. The Subordinated Loans will bear interest at a rate equal to 11.0% per annum, compounding quarterly. The Subordinated Loans will be non-recourse to the holders of our Class A Interests. See "*Subordinated Loans*."

#### Stockholders Agreement
In March 2025, we and Bally's Chicago HoldCo entered into the Stockholders Agreement, pursuant to which for so long as Bally's Chicago HoldCo beneficially owns at least 50% of the aggregate number of our stock outstanding, certain actions by us or any of our subsidiaries, including Bally's Chicago OpCo, will require the prior written consent of Bally's Chicago HoldCo. The actions that will require prior written consent include: (i) change in control transactions of our company or any of our subsidiaries, including Bally's Chicago OpCo, (ii) acquiring or disposing of assets or any business enterprise or division thereof for consideration in excess of $50.0 million in any single transaction or series of transactions, (iii) increasing or decreasing the size of our board of directors, (iv) initiating any liquidation, dissolution, bankruptcy, or other insolvency proceeding involving us or any of our subsidiaries, including Bally's Chicago OpCo, and (v) any transfer, issue, sale, or disposition by us of any shares of stock, other equity securities, equity-linked securities, or securities that are convertible into equity securities of us or our subsidiaries to any person or entity that is a non-strategic financial investor in a private placement transaction or series of transactions.

#### Support Letter
In January 2025, we obtained a letter of support from Bally's Corporation, pursuant to which Bally's Corporation commits to fund all of our operating, investing, and financing activities through at least

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December 31, 2026 and further commits not to make any decision or action that would reasonably be expected to negatively affect our ability to continue as a going concern through at least December 31, 2026.

#### Existing Subordinated Loans
In March 2025, we entered into a subordinated loan agreement with Bally's Chicago HoldCo, pursuant to which Bally's Chicago HoldCo made subordinated term loans (the "Existing Subordinated Loans") to us totaling $16.5 million at an annual interest rate of 11.0%, compounded quarterly, with no maturity date. The Existing Subordinated Loans were funded through the Bally's Chicago HoldCo's transfer of 659 Class A-4 shares to us.

#### Procedures for Related Party Transactions
All future material affiliated transactions and loans will be made or entered into on terms that are no less favorable to us than those that can be obtained from unaffiliated third parties. In addition, all future material affiliated transactions and loans, and any forgiveness of loans, must be approved by our Board.

#### Bally's Chicago OpCo Amended and Restated Limited Liability Company Agreement
As Bally's Chicago, Inc. holds LLC Interests in Bally's Chicago OpCo and will continue to be the sole managing member of Bally's Chicago OpCo after this offering and the concurrent private placements, Bally's Chicago, Inc. will have the obligation to absorb losses and receive benefits from Bally's Chicago OpCo, and consolidate the financial results of Bally's Chicago OpCo and, through Bally's Chicago OpCo and its operating entity subsidiaries, conduct our business.

Pursuant to the amended and restated limited liability company agreement of Bally's Chicago OpCo, Bally's Chicago, Inc. has the right to determine when distributions will be made to holders of LLC Interests and the amount of any such distributions, taken into consideration any applicable limitations and restrictions. See "*Dividend Policy*." If a distribution is authorized, such distribution will be made to the holders of LLC Interests pro rata in accordance with the percentages of their respective LLC Interests held.

The holders of LLC Interests, including Bally's Chicago, Inc., will incur U.S. federal, state and local income taxes on their allocable share of any taxable income of Bally's Chicago OpCo. Net profits and net losses of Bally's Chicago OpCo will generally be allocated to its holders (including Bally's Chicago, Inc.) pro rata in accordance with the percentages of their respective LLC Interests, except as otherwise required by law. The amended and restated limited liability company agreement of Bally's Chicago OpCo provides for cash distributions, which we refer to as "tax distributions," to the holders of LLC Interests. Generally, these tax distributions will be computed based on our estimate of the net taxable income of Bally's Chicago OpCo allocated to the holder of LLC Interests that receives the greatest proportionate allocation of income multiplied by an assumed tax rate equal to the highest effective marginal combined U.S. federal, state and local income tax rate prescribed for a corporation residing in Illinois. Tax distributions will be pro rata as among the LLC Interests.

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#### PRINCIPAL STOCKHOLDERS
The following table sets forth information regarding the beneficial ownership of our shares of stock as of March 31, 2025, by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • each of our directors and director nominees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • each of our named executive officers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • each person, or group of affiliated persons, who is known by us to beneficially own more than 5% of our shares of stock; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • all of our executive officers, directors and director nominees as a group.

Beneficial ownership is determined in accordance with the rules of the SEC. These rules generally attribute beneficial ownership of securities to persons who possess sole or shared voting power or investment power with respect to those securities and include our shares of stock issuable upon the exercise of options that are immediately exercisable or exercisable within 60 days after March 31, 2025. Except as otherwise indicated in the footnotes to the table below, all of the shares of stock reflected in the table are our shares of stock and all persons listed below have sole voting and investment power with respect to the shares of stock beneficially owned by them, subject to applicable community property laws. The information is not necessarily indicative of beneficial ownership for any other purpose.

The percentage of beneficial ownership prior to this offering in the table below is based on 3,326 Class A Interests and 30,000 Class B Interests outstanding as of March 31, 2025.

Beneficial ownership representing less than 1% is denoted with an asterisk (\*). Unless otherwise indicated below, the address for each beneficial owner listed is c/o Bally's Chicago, Inc., 100 Westminster Street, Providence, RI 02903.

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| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Number of shares <br> of stock beneficially <br> owned before the <br> offering and <br> the concurrent <br> private placements**  | **Number of shares <br> of stock beneficially <br> owned before the <br> offering and <br> the concurrent <br> private placements**  | **Percentage of shares <br> of stock beneficially <br> owned before the <br> offering and <br> the concurrent <br> private placements**  | **Percentage of shares <br> of stock beneficially <br> owned before the <br> offering and <br> the concurrent <br> private placements**  | **Number of shares <br> of stock beneficially <br> owned after the <br> offering and <br> the concurrent <br> private placements**  | **Number of shares <br> of stock beneficially <br> owned after the <br> offering and <br> the concurrent <br> private placements**  | **Percentage of <br> shares of stock <br> beneficially owned <br> after the offering <br> and the concurrent <br> private placements**  | **Percentage of <br> shares of stock <br> beneficially owned <br> after the offering <br> and the concurrent <br> private placements**  | **Percentage of <br> total voting <br> power after the <br> offering and <br> the concurrent <br> private placements**  |
| **Name of beneficial owner**  | **Class A <br> Interests**  | **Class B <br> Interests**  | **Class A <br> Interests**  | **Class B <br> Interests**  | **Class A <br> Interests**  | **Class B <br> Interests**  | **Class A <br> Interests**  | **Class B <br> Interests**  |  |
|  **Executive Officers, Directors and Director Nominees**  |  |  |  |  |  |  |  |  |  |
| Ameet Patel  |  |  | —% | —% |  |  | —% | —% | —% |
| H. C. Charles Diao  | 9.00 |  | 0.27% | —% | 9.00 |  | 0.07% | —% | 0.02% |
| Christopher Jewett  |  |  | —% | —% |  |  | —% | —% | —% |
| Kim M. Barker  |  |  | —% | —% |  |  | —% | —% | —% |
| Wanda Y. Wilson  | 1.00 |  | 0.03% | —% | 1.00 |  | 0.01% | —% | 0.00% |
| Renee Bradford  | 1.00 |  | 0.03% | —% | 1.00 |  | 0.01% | —% | 0.00% |
| Blanton Canady  | 30.00 |  | 0.90% | —% | 30.00 |  | 0.22% | —% | 0.07% |
| Ezequiel (Zeke) Flores  | 3.00 |  | 0.09% | —% | 3.00 |  | 0.02% | —% | 0.01% |
| Edward Lou  | 4.00 |  | 0.12% | —% | 4.00 |  | 0.03% | —% | 0.01% |
| Sharon Thomas Parrott  | 1.00 |  | 0.03% | —% | 1.00 |  | 0.01% | —% | 0.00% |
|  All executive officers, directors and director nominees (10 persons)<sup>(1)</sup>  | 49.00 |  | 1.47% | —% | 49.00 |  | 0.37% | —% | 0.11% |
| **5% Stockholders of Bally's** |  |  |  |  |  |  |  |  |  |
| Bally's Corporation<sup>(2)</sup>  | 2141.00 | 30000.00 | 64.37% | 100.00% | 2141 | 30000.00 | 16.1% | 100.00% | 74.20% |

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(1) Includes 49 Class A Interests and zero Class B Interests held by all our current directors and executive officers as a group.

(2) Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, Bally's Chicago HoldCo, a wholly-owned subsidiary of Bally's Corporation, as the sole holder of our Class B Interests and the holder of 2,141 Class A-4 Interests, will hold 74.2% of the voting power and 16.1% of the economic power of our stock.

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#### DESCRIPTION OF CAPITAL STOCK

#### General
Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering authorizes share of capital stock, $0.001 par value per share, consisting of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • shares of Class A-1 Interests, shares of Class A-2 Interests, shares of Class A-3 Interests, and shares of Class A-4 Interests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 30,000 shares of Class B Interests.

As of March 31, 2025, our Class A Interests are held by 268 stockholders of record and all of our Class B Interests is held by one stockholder of record, Bally's Chicago HoldCo.

The following description of our capital stock and provisions of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering and second amended and restated bylaws to be in effect prior to the closing of this offering is a summary and is qualified in its entirety by reference to the full copies of these documents, which have been filed with the SEC as exhibits to our registration statement, of which this prospectus forms a part. Currently, there is no established public trading market for any class or series of our stock.

#### Ownership Interests
No vote of the holders of our stock, except as otherwise provided in the Stockholders Agreement, shall be necessary to issue any shares of any class or series of stock authorized by the second amended and restated certificate of incorporation to be in effect prior to the closing of this offering. The rights, preferences and privileges of the holders of any class or series of our stock are subject to and may be adversely affected by the rights of the holders of shares of any class or series of our stock that we may authorize in the future.

Unless otherwise specified, our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering provides for the following powers, preferences and relative participating, optional and other special rights, and the qualifications, limitations or restrictions thereof with respect to our shares of stock that we may issue from time to time.

#### Voting Rights
Each Class A Interest is entitled to one vote on all matters submitted to a vote of stockholders. Each Class B Interest is entitled to one vote on all matters submitted to a vote of stockholders.

Each class of our stock will vote together as a single class with all other classes of stock, unless otherwise required by law. Under DGCL Section 242(b)(2), Delaware law would require holders of a class of stock to vote separately as a single class if we were to seek to (i) increase or decrease the aggregate number of authorized shares of such class (unless the certificate of incorporation provides otherwise), (ii) increase or decrease the par value of the shares of such class, or (iii) alter or change the powers, preferences or special rights of one class of stock in a manner that affected such shares adversely. However, in accordance with Delaware law, with respect to any increase or decrease in the aggregate number of authorized shares of a class of stock, our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering will provide that the number of authorized shares of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, Class A-4 Interests or Class B Interests may be increased or decreased (but not below the number of shares thereof then outstanding) without a separate class vote of any holders of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, Class A-4 Interests or Class B Interests, irrespective of the provisions of Section 242(b)(2) of the DGCL. Delaware law also requires holders of a series of stock to vote separately as a single class if we were to seek to amend our certificate of incorporation in a manner that alters or changes the powers, preferences or special rights of one or more series of stock in a manner that affected such shares adversely, but shall not so affect the entire class.

We have not provided for cumulative voting for the election of directors in our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering.

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#### Dividends
 *Class A Interests* 

We will be permitted, but not required, to pay dividends on our Class A Interests. For more information, see "*Prospectus Summary — Distributions and Repayment of Subordinated Loans*."

 *Class B Interests* 

Holders of our Class B Interests are not entitled to participate in any dividends declared by our Board.

#### Liquidation
In the event of a sale, liquidation, dissolution or winding up of Bally's Chicago OpCo, including a change of control, after payment or provision for payment of Bally's Chicago OpCo's debt and liabilities, including any amounts due under Bally's Chicago OpCo's senior indebtedness, each LLC Interest will be entitled to receive a proportionate interest in the net assets of Bally's Chicago OpCo. In turn, the interests in the net assets of Bally's Chicago OpCo received by Bally's Chicago, Inc. will be used to pay Bally's Chicago, Inc.'s debts and liabilities, including any amounts under any senior indebtedness and the Subordinated Loans owed by us at the time of such liquidation. Each Class A Interest will be entitled to receive a proportionate interest in the net assets remaining for distribution to holders of Class A Interests. Class B Interests hold no economic interest in Bally's Chicago, Inc.

#### Transfer Restrictions
Our Class A Interests will not be freely tradeable and will be subject to transfer restrictions. See "*Shares Eligible for Future Sale*" for additional information.

#### Right of First Refusal
Following five years after the closing of this offering, we and Bally's Corporation will have a right of first refusal if any holder of Class A Interests receives a bona fide offer from any person or entity to purchase such holder's Class A Interests that the holder desires to accept to transfer all or any portion of any Class A Interests that it owns. See "*Shares Eligible for Future Sale — Right of First Refusal*" for additional information.

#### Drag-Along Rights
In the event that Bally's Corporation (or any successor entity) proposes and/or we (as applicable) propose to sell us or all or substantially all of our assets to a third party purchaser, or agrees to any other transaction that would result in Bally's Corporation no longer directly or indirectly controlling a majority of our outstanding shares, holders of our stock may be required to participate in such sale. See "*Shares Eligible for Future Sale — Drag-Along Rights*" for additional information.

#### Tag-Along Rights
If any holder of Class B Interests proposes to transfer any of its Class B Interests to any person, each holder of Class A Interests will be permitted to participate in such sale. See "*Shares Eligible for Future Sale — Tag-Along Rights*" for additional information.

#### No Affiliation with City of Chicago
Officials, employees, or family members of an official or employee of the City of Chicago are not permitted to, directly or indirectly, hold any of our stock.

#### Anti-Takeover Provisions

#### Bally's Corporation Elevated Ownership Stake
Following the closing of this offering and the concurrent private placements, Bally's Corporation will indirectly continue to hold substantially all of the voting power of our outstanding stock. As a result, Bally's

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Corporation will continue to be able to control all matters submitted to holders of our stock for approval. This control could discourage others from initiating any potential merger, takeover or other change of control transaction that other stockholders might view as beneficial.

#### Second Amended and Restated Certificate of Incorporation and Second Amended and Restated Bylaws to be in effect upon the Closing of this Offering
The number of directors constituting our Board is permitted to be established only by a resolution adopted by a majority of our whole Board, and only our Board is authorized to fill vacant directorships, including newly created directorships.

Our Board will consist of six directors. Following the closing of this offering and the concurrent private placements and the consummation of the Transactions, Bally's Chicago HoldCo, a wholly-owned subsidiary of Bally's Corporation, will be the sole holder of our Class B Interests and the holder of 2,141 of our Class A-4 Interests. Because the holders of our stock do not have cumulative voting rights, until such time as Bally's Chicago HoldCo owns less than a majority of our Class B Interests, Bally's Chicago HoldCo will elect a majority or more of the members of our Board. Our second amended and restated bylaws include advance notice procedures and other content requirements applicable to holders of our stock for proposals to be brought before a meeting of stockholders, including proposed nominations of persons for election to our Board.

Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering will provide that any action required or permitted to be taken by our stockholders may be taken without a meeting, without prior notice and without a vote, if a consent or consents, setting forth the action so taken, are (1) signed by the holders of outstanding shares of stock of the Company representing not less than the minimum number of votes that would be necessary to authorize or take such action at a meeting at which all shares of stock of the Company then issued and outstanding entitled to vote thereon were present and voted and (2) delivered to the Company in accordance with applicable law.

Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering will require stockholders holding at least sixty-six and two-thirds percent (66<sup>2</sup>∕3%) of the voting power of all holders of our stock entitled to vote thereon to remove a director, and such removal may be with or without cause. Our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering will also require stockholders holding at least sixty-six and two-thirds percent (66<sup>2</sup>∕3%) of the voting power of all holders of our stock entitled to vote thereon to amend, repeal or adopt provisions inconsistent with certain provisions of our second amended and restated certificate of incorporation to be in effect prior to the closing of this offering and for our stockholders to amend our second amended and restated bylaws to be in effect prior to the closing of this offering.

The combination of the lack of cumulative voting rights and supermajority voting requirements makes it more difficult for holders of our stock other than Bally's Chicago HoldCo (for so long as it holds sufficient voting rights) to replace our Board as well as for another party to obtain control of us by replacing our Board. Because our Board has the power to retain and discharge our officers, these provisions could also make it more difficult for holders of our stock other than Bally's Chicago HoldCo (for so long as it holds sufficient voting rights) or another party to effect a change in management.

These provisions may have the effect of deterring hostile takeovers or delaying changes in our control or management. These provisions are intended to enhance the likelihood of continued stability in the composition of our Board and its policies and to discourage certain types of transactions that may involve an actual or threatened acquisition of us. These provisions are designed to reduce our vulnerability to an unsolicited acquisition proposal. The provisions also are intended to discourage certain tactics that may be used in proxy fights. However, such provisions could have the effect of discouraging others from making tender offers for our stock and, as a consequence, they also may inhibit fluctuations in the market price of our stock that could result from actual or rumored takeover attempts. Such provisions may also have the effect of preventing changes in our management.

#### Section 203 of the Delaware General Corporation Law
We elect not to be governed by Section 203 of the DGCL and the restrictions and limitations set forth therein.

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#### Delaware as Sole and Exclusive Forum

#### Limitation of Liability and Indemnification of Executive Officers and Directors
 *For an in-depth discussion of liability and indemnification, please see "Management — Limitations on Officers' and Directors' Liability and Indemnification Agreements."* 

#### Transfer Agent and Registrar
BitGo Trust will act as our registrar and transfer agent for our Class A Interests. Our Class A Interests will be held in book-entry form only on our books and records, and any transfers of our Class A Interests must be made through an account with BitGo Trust.

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#### DESCRIPTION OF CERTAIN INDEBTEDNESS

#### Guarantee of Bally's Corporation's Obligations
We and Bally's Chicago HoldCo, our direct parent and the entity that holds 2,141 of our Class A-4 Interests and all of our Class B Interests, as well as all other current and future direct unrestricted subsidiaries of Bally's Corporation under its credit facilities and bond indentures, will guarantee Bally's Chicago OpCo's obligations under the GLP Lease Agreement and GLP Development Agreement; *provided*, however, that at such time as Bally's Chicago OpCo becomes a restricted subsidiary under Bally's Corporation's credit facilities and bond indentures, (i) Bally's Corporation (or its Parent Company (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) will be required to guarantee the GLP Lease Agreement and GLP Development Agreement and (ii) following the delivery of such guarantee, the guarantees of the GLP Lease Agreement and GLP Development Agreement provided by Bally's Chicago HoldCo and such other unrestricted subsidiaries of Bally's Corporation shall terminate.

In connection with Bally's Chicago HoldCo's commitment to guarantee the GLP Lease Agreement and GLP Development Agreement, and in partial consideration for certain investments by Bally's Corporation and its subsidiaries into Bally's Chicago OpCo, we and Bally's Chicago OpCo intend to guarantee all obligations, including, without limitation, indebtedness and lease obligations of Bally's Corporation and its subsidiaries upon Bally's Corporation's (or its Parent Company's (as defined in Bally's Corporation's existing master lease agreement with GLP), if any, following a Control Transaction (as defined in the GLP Term Sheet)) guaranteeing the GLP Lease Agreement and the GLP Development Agreement or upon request from Bally's Corporation; provided that, at any time after such guarantee by Bally's Corporation (or its Parent Company) or such request from Bally's Corporation, upon request of Bally's Chicago OpCo, Bally's Corporation will guarantee Bally's Chicago OpCo's obligations under any lease obligations outstanding at such time, including any obligations under the Oak Street Lease Agreement or, if entered into, the GLP Lease Agreement and the GLP Development Agreement, to the maximum extent permitted under the instruments governing Bally's Corporation's indebtedness (assuming full borrowing of all outstanding commitments under Bally's Corporation's revolving credit facilities outstanding at such time).

Furthermore, in March 2025, we and Bally's Chicago OpCo entered into the Guarantee Agreement with Bally's Corporation, pursuant to which, at any time in the future, upon request from Bally's Corporation, we and Bally's Chicago OpCo will guarantee, and cause each of our wholly-owned subsidiaries to guarantee, any additional obligations, including, without limitation, indebtedness and lease obligations that Bally's Corporation or its subsidiaries enter into at any time in the future. See "*Transactions with Related Persons — Guarantee of Bally's Corporation's Obligations.*"

#### Pre-IPO Intercompany Notes
We are currently dependent on Bally's for a majority of our working capital and financing requirements. As of March 31, 2025 (Successor), we and Bally's Chicago OpCo owe $642.4 million in Pre-IPO Intercompany Notes to Bally's and various of its subsidiaries. The Pre-IPO Intercompany Notes have borne and bear interest at a rate equal to 0.0% per annum and are scheduled to mature on December 31, 2025, but all portions that remain outstanding are expected to be extinguished upon the closing of this offering.

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#### PLAN OF DISTRIBUTION
Under the terms and subject to the conditions contained in a placement agent agreement dated the date of this prospectus, we have engaged Loop Capital Markets LLC ("Loop") to act as lead placement agent and Innovation Capital, LLC and to serve as co-placement agent to solicit offers to purchase the Class A Interest on a best efforts basis. The placement agents are not purchasing or selling any Class A Interests, nor are they required to arrange for the purchase and sale of any specific number or dollar amount of securities, other than to use their "reasonable best efforts" to arrange for the sale of the securities by us. Therefore, we may not sell the entire amount of Class A Interests being offered. We will enter into a securities purchase agreement directly with the investors, at the investor's option, who purchase our Class A Interests in this offering. The placement agents may engage one or more subagents or selected dealers in connection with this offering.

The placement agents initially propose to solicit offers to purchase our Class A-1 Interests for sale at the price of $250 per share, our Class A-2 Interests for sale at the price of $2,500 per share, our Class A-3 Interests for sale at the price of $5,000 per share and our Class A-4 Interests for sale at the price of $25,000 per share, in each case on a best efforts basis.

Upon the closing of this offering, we will pay the placement agents a cash transaction fee equal to 5.75% of the aggregate gross cash proceeds to us from the sale of the securities in this offering (the "Placement Fee"). The Placement Fee, in addition to any fees, discounts or commissions that may be earned by Loop from participating in any concurrent private placement that is separate from this offering, will not exceed $4 million (the "Cap"), provided that for each additional underwriter, placement agent or financial advisor that participates in this offering, the Cap will be increased by $500,000. Bally's has also entered into an advisory engagement letter with Loop, as amended on March 6, 2025, pursuant to which Bally's has agreed to pay $1.25 million to Loop as an advisory fee in connection with this offering and further reimburse Loop for certain of their fees and expenses in an amount up to $300,000.

We have also agreed to reimburse the placement agents for all reasonable and documented out-of-pocket expenses as incurred in connection with this offering, including but not limited to travel and communication expenses, printing expenses, roadshow expenses, due diligence expenses, courier charges and the reasonable fees and disbursements for Loop's legal counsel, and also the reasonable fees and disbursements of any other consultants or third party services engaged by Loop; provided, that the aggregate amount of reimbursable expenses shall not exceed $300,000 as set forth in the placement agent agreement.

We will also incur other expenses relating to this offering, which expenses are estimated to be approximately $ and include legal, accounting and printing costs and various other fees associated with registration of our Class A Interests.

Loop affiliated entities and persons have also committed to purchase from us $1.2 million worth of Class A Interests in a private placement that will close simultaneously with the closing of this offering. Such Class A Interests will be considered underwriting compensation in connection with this offering. Such Class A Interests will be subject to lock-up restrictions, as required by FINRA Rule 5110(e)(1) and may not be sold during the offering, or sold, transferred, assigned, pledged, or hypothecated, or be the subject of any hedging, short sale, derivative, put, or call transaction that would result in the effective economic disposition of such securities by any person for a period of 180 days from the date of effectiveness of the registration statement of which this prospectus forms a part or commencement of sales of the offering, except as provided in FINRA Rule 5110(e)(2).

The Company has retained Citizens Capital Markets, Inc. and as financial advisors in connection with this offering. These financial advisors will receive customary fees for their services and may be reimbursed for certain expenses incurred in connection with the offering.

Prior to this offering, there has been no public or private market for our Class A Interests or our Class B Interests. Neither our Class A Interests nor our Class B Interests will be listed on any national securities exchange or on any other stock exchange, regulated trading facility or automated dealer quotation system in the United States or internationally. Our Class A Interests are subject to restrictions on transferability and redemption provisions, which will materially impact the ability of holders of our Class A Interests to transfer their shares. Additionally, there is no trading market for our Class A Interests and,

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due to transferability restrictions, an active market for our Class A Interests will not likely develop in the future. As such, our Class A Interests will have limited liquidity and holders of our Class A Interests may not be able to monetize their full investment in our Class A Interests, if at all.

We made a number of assumptions to determine the price of our Class A Interests. Among the factors considered in determining the initial public offering prices of our Class A Interests, in addition to prevailing market conditions, are our estimates of our business potential and earnings prospects, an assessment of our management and the consideration of the above factors in relation to market valuation of companies in related businesses.

We and the placement agents may market our Class A Interests through roadshow presentations. We also plan to market our Class A Interests through media interviews in print and electronic media, including email, and other methods in compliance with applicable laws and regulations, including securities laws. We plan to permit investors who wish to do so to review this prospectus online at the internet address https://ballyschicagoinvest.com. We are not incorporating by reference in this prospectus the website.

In order to purchase our Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, or Class A-4 Interests, you must open an account with BitGo Trust Company, Inc. ("BitGo Trust"), a wholly owned subsidiary of BitGo, Inc. ("BitGo"). See below for additional information about opening an account with BitGo Trust.

In order to comply with the applicable securities laws of Illinois, Florida, New York and Texas, the securities will be offered or sold in Illinois, Florida, New York and Texas only if they have been registered or qualified for sale or an exemption from such registration is available with which we have complied. In addition, and without limiting the foregoing, we will be subject to applicable provisions, rules, and regulations under the Exchange Act with regard to securities transactions during the period of time when this registration statement is effective.

The placement agents are deemed to be underwriters within the meaning of Section 2(a)(11) of the Securities Act, and any fees received by them will be deemed to be underwriting discounts or commissions under the Securities Act. As underwriters, the placement agents are required to comply with the requirements of the Securities Act and the Exchange Act, including, without limitation, Rule 415(a)(4) under the Securities Act and Rule 10b-5 and Regulation M under the Exchange Act. Under these rules and regulations, the placement agents:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • may not engage in any stabilization activity in connection with our securities; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • may not bid for or purchase any of our securities or attempt to induce any person to purchase any of our securities, other than as permitted under the Exchange Act, until it has completed its participation in the distribution.

#### Right of First Refusal
We will provide Loop with a right of first refusal to act as lead book-running manager for any and all future public and private equity offerings and as a book-running manager for any and all future public and private debt offerings by the Company or any successor to or any subsidiary of the Company, for a period of twelve (12) months following the earlier of the closing of this offering or termination of the engagement letter between us and Loop. In accordance with FINRA Rule 5110(g)(6)(A), such right of first refusal shall not have a duration of more than three (3) years from the date on which this registration statement is declared effective by the SEC.

#### Offering Process
The process being used for our initial public offering of Class A Interests differs from methods that have been traditionally used in most other underwritten initial public offerings in the United States. In particular, the Class A Interests are being offered at a predetermined price and orders may only be entered through the WealthBlock platform. We plan to conduct this offering in two stages — Qualification and Allocation. Investors that do not submit orders through the prescribed process will not be eligible for an allocation of shares in our offering.

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#### The Qualification Process
Our objective is to ensure that only investors for whom an investment in the Class A Interests is suitable may participate in this offering. Before you can submit a conditional offer to purchase our Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, or Class A-4 Interests, which we refer to as an "investment commitment" or "reservation" you will be required to open an account with BitGo Trust.

You will be required to apply for an account with BitGo Trust through the WealthBlock web-based platform, which you can access at https://ballyschicagoinvest.com. Through the WealthBlock platform, you will be able to review the offering materials, undergo screening for demographic eligibility, undergo a suitability assessment, and provide personal information required to complete a custody account opening with BitGo Trust.

Upon review of the information that you provide in the account opening questionnaire, if we and BitGo Trust determine that an account may be opened without further information, then your account will be opened, and instructions will be provided on how to make an investment commitment and fund your account. Before establishing an account and making an investment commitment for our Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, or Class A-4 Interests, you should:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • read this prospectus, including all the risk factors, very carefully; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • understand that our initial public offering price is predetermined and that there will be no liquid trading market for our Class A Interests, which will impact your ability to monetize your investment.

We caution you that our Class A Interests may not be a suitable investment for you even if you qualify to open an account and participate in this offering. There is no minimum funding requirement to open a BitGo Trust account or submit investment commitments. You are not obligated to purchase shares at the time you submit an investment commitment. However, once we accept your investment commitment for our Class A Interests, you will become obligated to purchase the amount of the investment commitment accepted. Before we will accept your investment commitment for our Class A Interests in this offering, you must have sufficient funds in your account to cover the purchase price for such shares. You will not be required to deposit funds into your BitGo Trust account sufficient to cover the purchase price of the Class A Interests you reserved until after the registration statement is declared effective by the SEC. Finally, even if you open an account with BitGo Trust, submit an investment commitment for our Class A Interests and have sufficient funds deposited in your account to cover the entire purchase price for such shares, you still may not receive your complete allocation of shares in our offering for a number of reasons described below.

Once a BitGo Trust account is opened, you will be required to complete your investment commitment on the WealthBlock platform by (1) selecting which class(es) of securities to purchase, and the amounts of each; (2) e-sign the subscription agreement; (3) select your payment method; and (4) submit the investment commitment for processing. After being submitted, the investment commitment is registered with a status of "pending funding" until funds are received in escrow. When funds are received and available, BitGo Trust will automatically notify WealthBlock that that the investment commitment is funded and pending a closing.

Any funds that you may deposit in your BitGo Trust account, whether before or after the time you submit an investment commitment, will not be withdrawn by BitGo Trust until such time, if at all, as your investment commitment has been closed. Investment commitments that are never funded can be cancelled at any time. Investment commitments that are funded but not closed upon can be refunded and cancelled by requesting an electronic transfer of funds or a check from BitGo Trust.

Funds in your BitGo Trust account will not be designated for use in a particular offering at the time of deposit and any of your deposited funds may be used to purchase securities other than those offered pursuant to this registration statement. However, at the time we close on any investment commitments placed by you for a Class A-1 Interest, Class A-2 Interest, Class A-3 Interests, or Class A-4 Interests, all available funds will first be applied towards the purchase of the reserved securities.

Neither we nor the placement agents have undertaken any efforts to qualify this offering for offers to investors in any jurisdiction outside the United States. Investors must have a mailing address in Illinois,

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Florida, New York or Texas (other than a P.O. Box) and a U.S. social security number and/or a U.S. tax identification number to be eligible to participate in this offering.

#### Reconfirmations of Investment Commitments
We will require that potential investors reconfirm their investment commitments that they have submitted in this offering if any of the following events shall occur:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • more than 15 days have elapsed since the potential investor submitted his or her investment commitment in this offering; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • there has been a material change to the prospectus available to the potential investor at the time of such potential investor's original investment commitment.

If a reconfirmation of investment commitments is required, we will send an electronic notice, at the email address on file with WealthBlock, notifying such potential investors that they must affirmatively reconfirm their investment commitment by visiting their account page on the BitGo Trust website to reconfirm the investment commitment, or by otherwise contacting the lead placement agent, Loop Capital Markets LLC. If a potential investor does not reconfirm his or her investment commitment when requested, we will disregard such investment commitment in this offering, and such investment commitments will be deemed to have been withdrawn.

#### The Closing Process
This offering will terminate upon the earlier to occur of (i) 30 days after the registration statement of which this prospectus forms a part becomes effective with the SEC or (ii) the date on which all Class A Interests offered hereby have been sold. You will have the ability to withdraw any investment commitment you make until such time that we close on the investment commitment. Such closing will occur when and if we conduct a closing via the WealthBlock platform. As noted above, if you are requested to reconfirm your investment commitment and fail to do so, your investment commitment will be deemed to have been withdrawn.

As noted above, you may deposit funds in your BitGo Trust account after the time you submit a investment commitment, but we will only close on funded investment commitments at the time of closing, and BitGo Trust will not withdraw any funds from your account until such time as any portion of your investment commitment has been closed upon. You may cancel your investment commitment at any time prior to closing. This offering will not be considered sold until all investment commitments have been closed upon. WealthBlock will provide an electronic notice of effectiveness to you, at the email address on file with WealthBlock, at least three days prior closing on investment commitments, which will be your final notice to withdraw your investment commitment. The notice will further inform you that investment commitments for Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, or Class A-4 Interests will only be considered to the extent you have sufficient funds in your account to cover the purchase price for such shares. If your investment commitment is closed upon, that sale shall be consummated, you will be unable to cancel your investment commitment and funds will be withdrawn from your account.

Promptly after we and the placement agents request the SEC to declare this registration statement effective, WealthBlock will provide an electronic notice to you, at the email address on file with WealthBlock, that such request for effectiveness has been made. Once the registration statement is effective, WealthBlock will send you a second electronic notice, at the email address on file with WealthBlock, informing you that the registration statement is effective and that we may close on your funded investment commitment in as little as three days. In the event investment commitments are placed subsequent to the SEC declaring this registration statement effective, you will receive a final electronic notice, at the email address on file with WealthBlock, informing you of your ability to withdraw your investment commitment or fund your account in amounts sufficient to cover your investment commitments and that we may close on your funded investment commitment in as little as twenty-four hours. WealthBlock will stop allowing investment commitments to be made at least twenty-four hours prior to when we intend to close on funded investment commitments. Until investment commitments are closed upon, you may still withdraw your investment commitments. However, once your funded investment commitment has been closed upon, you may no longer

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withdraw your investment commitments. At this point, investment commitments will be deemed accepted orders and WealthBlock will send you a confirmation of the transaction, at the email address on file with WealthBlock.

Settlement for sales of Class A Interests will occur when funded investment commitments are closed upon. At such time, BitGo Trust will withdraw the sufficient funds from your account and we will deliver the Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, or Class A-4 Interests to your BitGo Trust account.

We caution you not to submit an investment commitment in this offering unless you are willing to take the risk that our Class A Interests price could decline significantly and you could lose your entire investment in our Class A Interests. Subsequent trades of Class A Interests will be significantly limited and burdensome to complete and will also entail significant transaction costs, which could reduce or eliminate your return on investment.

#### The Allocation Process
In the event that the number of shares represented by investment commitments during the initial offering period exceeds the number of shares we are offering, the offered shares will need to be allocated across the group of potential investors who have submitted investment commitments, at our sole discretion. The manner in which we determine allocations will be in our sole discretion, subject to compliance with applicable laws, rules, and regulations.

#### Limited Secondary Trading
This prospectus is not an offer to sell our Class A Interests and it is not a solicitation of an offer to buy our Class A Interests in any jurisdiction where an offer or sale thereof is not permitted. As of the date of this prospectus, we plan to exclusively offer our Class A Interests described in this prospectus for sale only in the states of Illinois, Florida, New York and Texas.

We will not sell our Class A Interests to customers in any jurisdiction outside of Illinois, Florida, New York and Texas. As of the date of this prospectus, we expect that, concurrent with the effectiveness of this registration statement, we will be qualified to sell Class A Interests in this offering under Blue Sky laws in Illinois, Florida, New York and Texas.

In addition, after the closing of this offering, you may not sell your Class A Interests (a secondary sale) to any person without first complying with the transferability restrictions described in "*Shares Eligible for Future Sale — Secondary Market and Restrictions on Transferability and Redemption of Class A Interests*."

#### Directed Share Program
We have reserved up to 300 Class A Interests, or approximately 3.0% of our Class A Interests, for sale to our director nominees on the same terms as the Class A Interests being purchased by investors in this offering. These persons must commit to purchase at the same time as the investors in this offering. The number of Class A Interests available for sale in this offering will be reduced to the extent these persons purchase the reserved Class A Interests.

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#### CONCURRENT PRIVATE PLACEMENTS
The private placement investors have entered into agreements with us pursuant to which they have agreed to purchase Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests, respectively, in the concurrent private placements at a price per share equal to the initial public offering. The concurrent private placements are being made pursuant to Rule 506(c) under Regulation D promulgated under the Securities Act. Each private placement investor has represented to us in writing that such private placement investor qualified as an "Accredited Investor" as such term is defined by Regulation D promulgated under the Securities Act, and has provided us with additional documentation to assist us in verifying such private placement investor's status as an Accredited Investor. Our agreements with the private placement investors are contingent upon, and are scheduled to close immediately subsequent to, the closing of this offering as well as the satisfaction of certain conditions to closing.

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#### SHARES ELIGIBLE FOR FUTURE SALE
Prior to this offering, there was no public market for our Class A Interests, and, due to transferability restrictions, an active market for our Class A Interests will not likely develop in the future.

Upon the closing of this offering and the concurrent private placements and the consummation of the Transactions, we will have outstanding (i) an aggregate of 13,326 Class A Interests and (ii) an aggregate of 30,000 Class B Interests. Of these shares, the Class A Interests sold in this offering, subject to the restrictions described below, will be freely tradable without restriction or further registration under the Securities Act, except for any Class A Interests purchased by our "affiliates" as that term is defined in Rule 144 under the Securities Act, whose sales would be subject to the Rule 144 resale restrictions described below, other than the holding period requirement.

The remaining 30,000 Class B Interests will be "restricted securities," as that term is defined in Rule 144 under the Securities Act. These restricted securities, in addition to the restriction described below, are eligible for public sale only if they are registered under the Securities Act or if they qualify for an exemption from registration under Rules 144 or 701 under the Securities Act, which are summarized below.

In addition, neither our Class A Interests nor our Class B Interests will be listed on any national securities exchange or on any other stock exchange, regulated trading facility or automated dealer quotation system in the United States or internationally. Our Class A Interests are also subject to restrictions on transferability and redemption provisions, as described below, which will materially impact the ability of holders of our Class A Interests to transfer their shares.

#### Secondary Market and Restrictions on Transferability and Redemption of Class A Interests
Our Class A Interests will not be listed on any national securities exchange or on any other stock exchange, regulated trading facility or automated dealer quotation system in the United States or internationally.

#### Transfers of Class A Interests With Our Consent
We will use our best efforts to maintain a list of individuals or entities that indicate interest in purchasing our Class A Interests and submit a qualification application to us (the "Interested Parties"). The qualification application, among other things, will require the applicant to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • consent to a background check

Holders of our Class A Interests who desire to sell or transfer all or any portion of any of their Class A Interests (each such holder individually, the "Offering Holder" and each such Class A Interest to be sold, an "Offered Interest") will be required to submit an application for sale (the "Intention to Sell Notice") to us.

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The Intention to Sell Notice must include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the amount of Offered Interests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the minimum price per Offered Interest that the Offering Holder would accept; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • whether the Offering Holder has received an offer from a third party and, if so, the price offered by such third party.

Following the submission of the Intention to Sell Notice, the Interested Parties may submit offers to the Offering Holder to purchase the Offered Interests. The Offering Holder will then choose the offer that it desires to accept (the "Transfer Offer") and notify the Transfer Offer's offeror (the "Prospective Purchaser") of its intention to accept the Transfer Offer.

We, in our sole discretion, may require the Prospective Purchaser to submit a qualification application, even if such Prospective Purchase has submitted a previous qualification application, before approving, in our sole discretion, the transfer of the Offered Interests. Our Class A Interests cannot be transferred to employee benefit plans, IRAs or Plans (as defined herein).

#### Transfers of Class A-1 Interests, Class A-2 Interests and Class A-3 Interests
In the event that a holder of Class A-1 Interests, Class A-2 Interests and/or Class A-3 Interests wishes to sell, dispose or otherwise transfer such holder's Interests, such holder may only sell, dispose or otherwise transfer such Interests after the Subordinated Loans attributable to such Interests have been paid in full and such Interests are converted to Class A-4 Interests. In the event that a holder of Class A-1 Interests, Class A-2 Interests or A-3 Interests desires to transfer their Class A-1 Interests, Class A-2 Interests or Class A-3 Interests and the Subordinated Loan attributable to such holder's shares have not been paid in full (either through cash available through distribution or otherwise), such holder or the transferee, may elect to pay the remaining balance of the Subordinated Loans attributable to such shares of stock and convert such shares of stock into Class A-4 Interests before effectuating such sale, disposition or transfer.

#### Permitted Transfers of Class A Interests Without Our Consent
Notwithstanding the foregoing, holders of our Class A Interests may transfer their Class A Interest without our consent (each a "Permitted Transferee"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • to any individual or entity who, directly or indirectly (including through one or more intermediaries), controls, is controlled by or is under common control with, such person or entity, including any partner, member, stockholder or other equity holder of such person or entity or manager, director, officer or employee of such person or entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • as bona fide gifts to any individual or entity that is the legal representative, heir, beneficiary or a member of the immediate family of such holder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • by operation of law pursuant to a court order, decree or judgment to any person or entity; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • to the Company.

#### Optional Redemption in Case of Transfers in Violation of Transfer Restrictions
Any purported transfer of Class A Interests in violation of the restrictions above shall be null and void ab initio. If, notwithstanding the above restrictions, a person, voluntarily or involuntarily (including by way of a foreclosure), purportedly becomes or attempts to become, the purported owner of Class A Interests, in violation of the above restrictions, the Company may redeem such Class A Interests for $0.001 per share. In the event that the Company exercises its right to redeem such Class A Interests, the Company shall also be required to redeem, out of funds legally available therefor, an amount of Class B Interests that is three times the number of Class A Interests being redeemed for $0.001 per share from certain stockholders as determined by the Board.

#### Drag-Along Rights
In the event that Bally's Corporation (or any successor entity) proposes and/or we (as applicable) propose to sell us all or substantially all of our assets to a third party purchaser, or agrees to any other

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transaction that would result in Bally's Corporation no longer directly or indirectly controlling a majority of our outstanding shares (each a "Drag-Along Sale"), Bally's Corporation will have the right, after delivering the Drag-Along Notice, to require each other holder of our stock to participate in such Drag-Along Sale, on substantially the same terms and conditions as Bally's Corporation (the "Drag-Along Right").

If Bally's Corporation exercises its Drag-Along Right, the other holders of our stock will be required to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • sell their shares if the transaction is structured as an equity sale;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • vote in favor of the proposed transaction if the transaction is structured as an asset sale, merger, reorganization or recapitalization or otherwise requires a stockholder vote for approval; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • not object to the proposed transaction and waive any dissenters' appraisal or similar rights they may have in connection with the proposed transaction.

If Bally's Corporation wants to exercise its Drag-Along Right, it must do so by delivering notice to the other holders of our stock within 10 days after execution of the definitive documents for the proposed transaction, and no later than 20 business days before the closing of the proposed transaction. The notice must describe the terms of the proposed Drag-Along Sale in reasonable detail.

#### Tag-Along Rights
If any holder of Class B Interests (the "Selling Holder") proposes to transfer any of its Class B Interests (the "Tag-Along Interest") to any person, each holder of Class A Interests (each, a "Tag-Along Holder") will be permitted to participate in such sale (a "Tag-Along Sale") on the terms and conditions set forth below (the "Tag- Along Right"), except for transfers made in connection with the Drag-Along Rights.

If a Selling Holder proposes to transfer any Tag-Along Interests, they must give notice to us and each other Tag-Along Holder, describing the terms of the proposed Tag-Along Sale. Upon receipt of such notice:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The Tag-Along Holders will then have 10 business days to decide if they want to participate in the Tag-Along Sale by selling some of their Class A Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The Selling Holder and each Tag-Along Holder that elects to participate in the Tag-Along Sale shall deliver a notice to us and such Tag-Along Holder will have the right to transfer their *pro rata* portion of the Tag-Along Interests, based on the number of Class A Interests owned by each such holder and the aggregate amount of Class A Interests and Class B Interests outstanding at such time.

A Tag-Along Holder can choose to sell less than their entire *pro rata* portion of the Tag-Along Interests in the Tag-Along Sale, and any such Tag-Along Interests not sold by a Tag-Along Holder can be sold by the Selling Holder.

#### Transfers of Class A Interests by Death
In the event of the death of a holder of our Class A Interests, we will have the right to elect to repurchase the Class A Interests held by such holder, which we may exercise by delivering a notice (the "Repurchase Notice") to the estate of the deceased or incapacitated holder within 60 days after the date on which we were notified of such death. We will then have 90 days from the date on which we deliver the Repurchase Notice to purchase the Class A Interests of such holder, at a price equal to eight times our latest four fiscal quarters EBITDA divided by the amount of total Interests then outstanding, which price shall be set forth in the Repurchase Notice. We define *EBITDA* as earnings or loss before interest, taxes, depreciation and amortization, non-cash stock-based compensation, gain or loss on asset disposals or impairment, and certain other unusual or non-cash income and expense items such as gains or losses on settlement of liabilities and exchanges, and changes in the fair value of derivatives, if applicable. In the event that we exercise our right to repurchase such Class A Interests, we will at the same time also be required to redeem, out of funds legally available therefor, an amount of Class B Interests that is three times the number of Class A Interests being redeemed for $0.001 per share.

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#### Right of First Refusal
Commencing on the fifth anniversary of the closing of this offering, we and Bally's Corporation will have a right of first refusal (the "Right of First Refusal") to purchase Offered Interests at a price equal to the Transfer Offer's price set forth in the Transfer Offer Notice. Within five (5) business days of receiving an offer to purchase any Offered Interests and prior to accepting such offer, the holder thereof must deliver a notice (the "Transfer Offer Notice") to us specifying in reasonable detail the terms of the offer, including the number of Offered Interests to be transferred and the offer price for the Offered Interests. We will have 20 days from the date the Transfer Offer Notice is delivered to us to decide if we want to purchase any of the Offered Interests. If we do not choose to purchase all of the Offered Interests, the holder thereof must deliver the Transfer Offer Notice to Bally's Corporation specifying in reasonable detail the terms of the offer, including the number of the remaining Offered Interests to be transferred and the offer price for the Offered Interests. Bally's Corporation will have 20 days from the date the Transfer Offer Notice is delivered to it to decide if it wants to purchase any of the remaining Offered Interests at the offer price set forth in the Transfer Offer Notice.

If we and Bally's Corporation decide to not exercise the Right of First Refusal partially or in full, the remaining Offered Interests may be transferred to the Prospective Purchaser at the offer price set forth in the Transfer Offer Notice.

The Right of First Refusal will not apply to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • transfers to a Permitted Transferee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • transfers made in connection with the Drag-Along Right;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • transfers made in connection with the Tag-Along Right; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • transfers made in connection with the Right of First Refusal after we and Bally's Corporation decline to exercise the Right of First Refusal in full.

#### No Affiliation with the City of Chicago
Officials, employees, or family members of an official or employee of the City of Chicago are not permitted to, directly or indirectly, hold any of our Interests.

#### Rule 144

#### Affiliate Resales of Restricted Securities
In general, beginning 90 days after the effective date of the registration statement of which this prospectus is a part, a person who is an affiliate of ours, or who was an affiliate at any time during the 90 days before a sale, who has beneficially owned our Class A Interests for at least 180 days would be, subject to the restrictions described above, entitled to sell in "broker's transactions" or certain "riskless principal transactions" or to market makers, a number of Class A Interests within any three-month period that does not exceed the greater of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • 1% of the number of Class A Interests then outstanding; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the average weekly trading volume in our Class A Interests during the four calendar weeks preceding the filing of a notice on Form 144 with respect to such sale.

Affiliate resales under Rule 144 are also subject to the availability of current public information about us. In addition, if the number of Class A Interests being sold under Rule 144 by an affiliate during any three-month period exceeds 5,000 Class A Interests or has an aggregate sale price in excess of $50,000, the seller must file a notice on Form 144 with the SEC concurrently with either the placing of a sale order with the broker or the execution directly with a market maker.

#### Non-Affiliate Resales of Restricted Securities
Under Rule 144, a person who is not an affiliate of ours at the time of sale, and has not been an affiliate at any time during the 90 days preceding a sale, and who has beneficially owned Class A Interests

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for at least six months but less than a year, is entitled to sell such shares subject only to the availability of current public information about us. If such person has held our Class A Interests for at least one year, such person can resell without regard to any Rule 144 restrictions, including the 90-day public company requirement and the current public information requirement.

Non-affiliate resales are not subject to the manner of sale, volume limitation or notice filing provisions of Rule 144.

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#### MATERIAL U.S. FEDERAL INCOME TAX CONSEQUENCES
The following discussion describes the material U.S. federal income tax consequences to U.S. Holders and Non-U.S. Holders (each as defined herein and collectively, "Holders") of the purchase, ownership and disposition of our Class A Interests issued pursuant to this offering, but does not purport to be a complete analysis of all potential tax effects. The effects of other U.S. federal tax laws, such as estate and gift tax laws, and any applicable state, local or non-U.S. tax laws are not discussed. This discussion is based on the Code, Treasury Regulations promulgated thereunder, judicial decisions and published rulings and administrative pronouncements of the U.S. Internal Revenue Service (the "IRS"), in each case in effect as of the date hereof. These authorities may change or be subject to differing interpretations. Any such change or differing interpretation may be applied retroactively in a manner that could adversely affect a Holder. We have not sought and will not seek any rulings from the IRS regarding the matters discussed below. There can be no assurance that the IRS or a court will not take a contrary position to that discussed below regarding the tax consequences of the purchase, ownership and disposition of our Class A Interests.

This discussion is limited to Holders that hold our Class A Interests as "capital assets" within the meaning of Section 1221 of the Code (generally, property held for investment). This discussion does not address all U.S. federal income tax consequences relevant to a Holder's particular circumstances, including the impact of the Medicare contribution tax on net investment income and any alternative minimum tax. In addition, it does not address consequences relevant to Holders subject to special rules, including, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • persons holding our Class A Interests as part of a hedge, straddle or other risk reduction strategy or as part of a conversion transaction or other integrated investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • banks, insurance companies and other financial institutions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • brokers, dealers or traders in securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • "controlled foreign corporations," "passive foreign investment companies," and corporations that accumulate earnings to avoid US federal income tax;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • partnerships or other entities or arrangements treated as partnerships for U.S. federal income tax purposes (and investors therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • tax-exempt organizations or governmental organizations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • persons deemed to sell our Class A Interests under the constructive sale provisions of the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • persons who hold or receive our Class A Interests pursuant to the exercise of any employee stock option or otherwise as compensation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • tax-qualified retirement plans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • "qualified foreign pension funds" as defined in Section 897(l)(2) of the Code and entities all of the interests of which are held by qualified foreign pension funds; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • persons subject to special tax accounting rules as a result of any item of gross income with respect to the stock being taken into account in an applicable financial statement.

If an entity or arrangement treated as a partnership for U.S. federal income tax purposes holds our Class A Interests, the tax treatment of a partner in the partnership will depend on the status of the partner, the activities of the partnership and certain determinations made at the partner level. Accordingly, partnerships holding our Class A Interests and the partners in such partnerships should consult their tax advisors regarding the U.S. federal income tax consequences to them.

 **THIS DISCUSSION IS FOR INFORMATIONAL PURPOSES ONLY. INVESTORS SHOULD CONSULT THEIR TAX ADVISORS WITH RESPECT TO THE APPLICATION OF THE U.S. FEDERAL INCOME TAX LAWS TO THEIR PARTICULAR SITUATIONS AS WELL AS ANY TAX CONSEQUENCES OF THE PURCHASE, OWNERSHIP AND DISPOSITION OF OUR CLASS A INTERESTS ARISING UNDER THE U.S. FEDERAL ESTATE OR GIFT TAX LAWS OR UNDER THE LAWS OF ANY STATE, LOCAL OR NON-U.S. TAXING JURISDICTION OR UNDER ANY APPLICABLE INCOME TAX TREATY.** 

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#### U.S. Holders
For purposes of this discussion, a "U.S. Holder" is any beneficial owner of our Class A Interests that, for U.S. federal income tax purposes, is or is treated as any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • an individual who is a citizen or resident of the United States;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a corporation created or organized under the laws of the United States, any state thereof or the District of Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • an estate, the income of which is subject to U.S. federal income tax regardless of its source; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • a trust that (1) is subject to the primary supervision of a U.S. court and the control of one or more "United States persons" (within the meaning of Section 7701(a)(30) of the Code) or (2) has a valid election in effect to be treated as a United States person for U.S. federal income tax purposes.

#### Distributions
Distributions of cash or property on our Class A Interests will constitute dividends for U.S. federal income tax purposes to the extent paid from our current or accumulated earnings and profits, as determined under U.S. federal income tax principles. Amounts not treated as dividends for U.S. federal income tax purposes will constitute a return of capital and first be applied against and reduce a U.S. Holder's adjusted tax basis in its applicable series of Class A Interests, but not below zero. Any excess will be treated as capital gain and will be treated as described below under "— Sale or Other Taxable Disposition."

Dividends received by a corporate U.S. Holder may be eligible for a dividends-received deduction, subject to applicable limitations, provided that certain holding period and other requirements are satisfied. Dividends received by certain non-corporate U.S. Holders (including individuals) are generally taxed at the lower applicable long-term capital gains rates, provided certain holding period and other requirements are satisfied.

Dividends that exceed certain thresholds in relation to a corporate U.S. Holder's tax basis in the applicable series of Class A Interests could be characterized as "extraordinary dividends" under the Code. If a corporate U.S. Holder that has held the applicable series of Class A Interests for two years or less before the dividend announcement date receives an extraordinary dividend, the U.S. Holder generally will be required to reduce its tax basis (but not below zero) in the applicable series of Class A Interests with respect to which the dividend was made by the non-taxed portion of the dividend. If the amount of the reduction exceeds the U.S. Holder's tax basis in the applicable series of Class A Interests, the excess is treated as gain from the sale or exchange of the applicable series of Class A Interests. Non-corporate U.S. Holders that receive an extraordinary dividend will be required to treat any losses on the sale of applicable series of Class A Interests as long-term capital losses to the extent of the extraordinary dividends such U.S. Holder receives that qualify for taxation at the preferential rates discussed above.

#### Deemed Distributions on Class A Interests
Section 305 of the Code provides that if a corporation distributes property to some shareholders and other shareholders have an increase in their proportionate interests in the assets or earnings and profits of the corporation, such other shareholders may be deemed to receive a distribution that could be a taxable dividend. In this case, because we and Bally's expect to treat the Subordinated Loans as "stock" for U.S. federal income tax purposes, "property" distributions will likely be considered to be made to "some shareholders" of Bally's Chicago, Inc. as payments are made on the Subordinated Loans, and equivalent cash ("property") distributions will be made with respect to the Class A-4 Interests. In addition, as payments are made on the Subordinated Loans, particularly those that repay the original principal amount of such Subordinated Loans, the proportionate interests of holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests in the assets or earnings and profits of Bally's Chicago, Inc. may be viewed as increasing. Accordingly, it is possible that such increase could be treated as a deemed distribution under Section 305 of the Code or otherwise as taxable income to such holders under other theories. However, under the Treasury Regulations relating to Section 305 of the Code and other IRS administrative guidance, certain financing arrangements in the form of preferred stock investments that fund a corporation and then are systematically eliminated through property distributions until they are fully retired, and are designed to facilitate the

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ownership of a business with an effect of increasing another stockholder's proportionate interests in the assets or earnings and profits of a corporation over such period, do not result in a deemed distribution to such other stockholder. The applicability of these authorities to the holders of our Class A-1 Interests, Class A-2 Interests and Class A-3 Interests in this situation is uncertain. Although the matter is not free from doubt, we intend to take the position, and this discussion assumes, that U.S. Holders of applicable series of Class A Interests would not be treated as receiving a deemed distribution from us or otherwise realizing income as a result of repayment of the Subordinated Loans corresponding to such shares. However, there can be no assurance that the IRS will not take a contrary position, for example, treating the proportionate interest in our earnings and profits owned by U.S. Holders of the applicable series of Class A Interests as having increased upon repayment of the Subordinated Loans corresponding to such shares, and treating such U.S. Holders as having received a distribution. In that case, such deemed distribution will be taxable as a dividend, return of capital or capital gain as described above under "— *Distributions*" above, and U.S. Holders may be subject to U.S. federal income tax without the receipt of any cash. U.S. Holders should consult their own tax advisors about the application of Code Section 305 and any other potential deemed receipt of income risk with respect to our Class A Interests.

#### Sale or Other Taxable Disposition
Upon the sale or other taxable disposition of a Class A Interest, a U.S. Holder generally will recognize capital gain or loss equal to the difference between the amount realized and the U.S. Holder's adjusted tax basis in the Class A Interest. Such capital gain or loss will be long-term capital gain or loss if a U.S. Holder's holding period at the time of the sale or other taxable disposition of the Class A Interest is longer than one year. Long-term capital gains recognized by certain non-corporate U.S. Holders (including individuals) are generally subject to a reduced rate of U.S. federal income tax. The deductibility of capital losses is subject to limitations.

#### Non-U.S. Holders
For purposes of this discussion, a "Non-U.S. Holder" is any beneficial owner of our Class A Interests that is neither a U.S. Holder nor an entity or arrangement treated as a partnership for U.S. federal income tax purposes.

 *Distributions* 

If we make distributions of cash or property on our Class A Interests (or if any deemed distributions are made on our Class A Interests, as described above under "*U.S. Holders — Deemed Distributions on Class A Interests*"), such distributions will constitute dividends for U.S. federal income tax purposes to the extent paid from our current or accumulated earnings and profits, as determined under U.S. federal income tax principles. Amounts not treated as dividends for U.S. federal income tax purposes will constitute a return of capital and first be applied against and reduce a Non-U.S. Holder's adjusted tax basis in its Class A Interests, but not below zero. Any excess will be treated as capital gain and will be treated as described below under "— *Sale or Other Taxable Disposition*." Non-U.S. Holders should consult their own tax advisors as to how these rules would apply if there were to be deemed distributions under Section 305 in excess of any available accumulated and current earnings and profits.

Subject to the discussion below on effectively connected income and the discussion in the subsequent paragraph regarding our potential USRPHC status, dividends paid to a Non-U.S. Holder will be subject to U.S. federal withholding tax at a rate of 30% of the gross amount of the dividends (or such lower rate specified by an applicable income tax treaty, provided the Non-U.S. Holder furnishes a valid IRS Form W-8BEN or W-8BEN-E (or other applicable documentation) certifying qualification for the lower treaty rate) (subject to any proposed or other changes to U.S. tax laws). A Non-U.S. Holder that does not timely furnish the required documentation, but that qualifies for a reduced treaty rate, may obtain a refund of any excess amounts withheld by timely filing an appropriate claim for refund with the IRS. Non-U.S. Holders should consult their tax advisors regarding their entitlement to benefits under any applicable income tax treaty and any proposed changes to U.S. tax laws.

If we are considered a USRPHC and a Non-U.S. Holder's Class A Interests are treated as a United States real property interest (a "USRPI") (e.g., either the Non-U.S. Holder has owned more than 5% of the

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Class A Interests at any time during the Testing Period (as defined below), or the Class A Interests are not treated as "regularly traded on an established securities market," as discussed below under "— *Sale or Other Taxable Disposition*"), and if any distribution on our Class A Interests exceeds our current and accumulated earnings and profits, we will have additional withholding tax obligations which we will need to satisfy either by treating the entire distribution as a dividend, subject to the withholding rules above (but withhold at a minimum rate of 15% or such lower rate as may be specified by an applicable income tax treaty for distributions from a USRPHC) or by treating only the amount of the distribution equal to our reasonable estimate of our current and accumulated earnings and profits as a dividend, with the excess portion of the distribution possibly being subject to withholding at a rate of 15% or such lower rate as may be specified by an applicable income tax treaty as if such excess were the result of a sale of shares in a USRPHC.

If dividends paid to a Non-U.S. Holder are effectively connected with the Non-U.S. Holder's conduct of a trade or business within the United States (and, if required by an applicable income tax treaty, the Non-U.S. Holder maintains a permanent establishment in the United States to which such dividends are attributable), the Non-U.S. Holder will be exempt from the U.S. federal withholding tax described above. To claim the exemption, the Non-U.S. Holder must furnish to the applicable withholding agent a valid IRS Form W-8ECI, certifying that the dividends are effectively connected with the Non-U.S. Holder's conduct of a trade or business within the United States.

Any such effectively connected dividends will be subject to U.S. federal income tax on a net income basis at the regular rates. A Non-U.S. Holder that is a corporation also may be subject to a branch profits tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty) on such effectively connected dividends, as adjusted for certain items. Non-U.S. Holders should consult their tax advisors regarding any applicable tax treaties that may provide for different rules.

 *Sale or Other Taxable Disposition* 

Subject to the discussion below on information reporting, backup withholding and FATCA, a Non-U.S. Holder will not be subject to U.S. federal income tax on any gain realized upon the sale or other taxable disposition of our Class A Interests unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the Class A Interests constitute a USRPI by reason of our status as a USRPHC, for U.S. federal income tax purposes at any applicable time within the shorter of (i) the five year period preceding the Non-U.S. Holder's disposition of the Class A Interests and (ii) the Non-U.S. Holder's holding period for the Class A Interests (such shorter time, "Testing Period");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the gain is effectively connected with the Non-U.S. Holder's conduct of a trade or business within the United States (and, if required by an applicable income tax treaty, the Non-U.S. Holder maintains a permanent establishment in the United States to which such gain is attributable); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • the Non-U.S. Holder is a nonresident alien individual present in the United States for 183 days or more during the taxable year of the disposition and certain other requirements are met.

We have not analyzed whether we are a USRPHC, and there is no assurance that we will not become a USRPHC. If we are considered a USRPHC, subject to exceptions described below, Non-U.S. Holders in their capacity as sellers or transferors are subject to U.S. federal income tax in respect of a gain on their Class A Interests and are required to file a U.S. tax return. The amount realized from any disposition is subject to a withholding tax of 15% required to be collected from disposition proceeds, unless the Class A Interests qualify as "regularly traded on an established securities market." Non-U.S. Holders may, by filing a U.S. tax return, be able to claim a refund for any withholding tax deducted in excess of the U.S. federal income tax liability on gain. Furthermore, Non-U.S. Holders will be required to pay, by filing a U.S. tax return, any U.S. federal income tax liability on gain that is not satisfied by withholding. A Non-U.S. Holder that has owned 5% or less of the Class A Interests during the entire Testing Period, taking into account applicable constructive ownership rules, may treat its ownership of the Class A Interests as not constituting a USRPI and thereby avoid net income tax payment and tax return filing obligations if the Class A Interests are treated as "regularly traded on an established securities market." It is uncertain whether the Class A Interests will be treated as "regularly traded on an established securities market."

Gain described in the second bullet point above generally will be subject to U.S. federal income tax on a net income basis at the regular rates. A Non-U.S. Holder that is a corporation also may be subject to a

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branch profits tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty) on such effectively connected gain, as adjusted for certain items.

Gain described in the third bullet point above will be subject to U.S. federal income tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty), which may be offset by U.S. source capital losses of the Non-U.S. Holder (even though the individual is not considered a resident of the United States), provided the Non-U.S. Holder has timely filed U.S. federal income tax returns with respect to such losses. Non-U.S. Holders should consult their tax advisors regarding tax consequences of our potential treatment as a USRPHC and regarding potentially applicable income tax treaties that may provide for different rules.

#### Information Reporting and Backup Withholding
 *U.S. Holders* 

Information reporting requirements generally will apply to dividends (and any deemed dividends) on the Class A Interests and the proceeds of a sale or other taxable disposition of Class A Interests paid to a U.S. Holder unless the U.S. Holder is an exempt recipient and, if required, certifies as to that status. Backup withholding generally will apply to dividends (and any deemed dividends) if the U.S. Holder fails to provide an appropriate certification with its correct taxpayer identification number or certification of exempt status. Backup withholding is not an additional tax. Any amounts withheld under the backup withholding rules may be allowed as a refund or credit against a U.S. Holder's U.S. federal income tax liability, provided that the required information is timely furnished to the IRS.

 *Non-U.S. Holders* 

Generally, the amount of distributions (and any deemed distributions) on our Class A Interests paid (or deemed paid) to Non-U.S. Holders and the amount of tax, if any, withheld with respect to those amounts must be reported annually to the IRS and to the Non-U.S. Holders. Copies of the information returns reporting such distributions and withholding may also be made available to the tax authorities in a country in which the Non-U.S. Holder resides under the provisions of an applicable income tax treaty. In general, a Non-U.S. Holder will not be subject to backup withholding with respect to dividends (and any deemed dividends) on our Class A Interests, provided the applicable tax certifications have been received or the Non-U.S. Holder otherwise establishes an exemption. In addition, a Non-U.S. Holder will be subject to information reporting and, depending on the circumstances, backup withholding with respect to payments of the proceeds of the sale of our Class A Interests conducted within the United States or through certain US-related financial intermediaries, unless the statement described above has been received or the Non-U.S. Holder otherwise establishes an exemption. Any amounts withheld under the backup withholding rules will be allowed as a refund or a credit against a Non-U.S. Holder's U.S. federal income tax liability, if any, provided the required information is timely furnished to the IRS.

#### Additional Withholding Tax on Payments Made to Foreign Accounts
Withholding taxes may be imposed under Sections 1471 to 1474 of the Code (such sections commonly referred to as the Foreign Account Tax Compliance Act, or FATCA) on certain types of payments made to non-U.S. financial institutions and certain other non-U.S. entities. Specifically, a 30% withholding tax may be imposed on dividends (including any deemed dividends) on, or (subject to the proposed Treasury Regulations discussed below) gross proceeds from the sale or other disposition of, our Class A Interests paid (or deemed paid) to a "foreign financial institution" or a "non-financial foreign entity" (each as defined in the Code), unless (1) the foreign financial institution undertakes certain diligence and reporting obligations, (2) the non-financial foreign entity either certifies it does not have any "substantial United States owners" (as defined in the Code) or furnishes identifying information regarding each substantial United States owner, or (3) the foreign financial institution or non-financial foreign entity otherwise qualifies for an exemption from these rules. If the payee is a foreign financial institution and is subject to the diligence and reporting requirements in (1) above, it must enter into an agreement with the U.S. Department of the Treasury requiring, among other things, that it undertake to identify accounts held by certain "specified United States persons" or "United States-owned foreign entities" (each as defined in the Code), annually report certain

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information about such accounts, and withhold 30% on certain payments to non-compliant foreign financial institutions and certain other account holders. Foreign financial institutions located in jurisdictions that have an intergovernmental agreement with the United States governing FATCA may be subject to different rules.

Under the applicable Treasury Regulations and administrative guidance, withholding under FATCA generally applies to dividends (and any deemed dividends) on our Class A Interests. While withholding under FATCA would have applied also to payments (and deemed payments) of gross proceeds from the sale or other disposition of our Class A Interests, proposed Treasury Regulations eliminate FATCA withholding on payments of gross proceeds entirely. Taxpayers generally may rely on these proposed Treasury Regulations until final Treasury Regulations are issued.

Prospective investors should consult their tax advisors regarding the potential application of withholding under FATCA to their investment in our Class A Interests.

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#### CERTAIN ERISA CONSIDERATIONS
 *Class A Interests are not permitted to be acquired or held by employee benefit plans that are subject to Title I of the Employee Retirement Income Security Act of 1974, as amended ("ERISA"), plans, individual retirement accounts ("IRAs") and other arrangements that are subject to Section 4975 of the Code, or provisions under any federal, state, local, non-U.S. or other laws or regulations that are similar to such provisions of ERISA or the Code (collectively, "Similar Laws"), and entities whose underlying assets are considered to include "plan assets" of such plans, accounts and arrangements pursuant to 29 C.F.R. Section 2510.3-101, as modified by Section 3(42) of ERISA, or any Similar Law (each, a "Plan").* 

#### General Fiduciary Matters
ERISA and the Code impose certain duties on persons who are fiduciaries of a Plan subject to Title I of ERISA or Section 4975 of the Code (an "ERISA Plan") and prohibit certain transactions involving the assets of an ERISA Plan and its fiduciaries or other interested parties. Under ERISA and the Code, any person who exercises any discretionary authority or control over the administration of such an ERISA Plan or the management or disposition of the assets of such an ERISA Plan, or who renders investment advice for a fee or other compensation to such an ERISA Plan or has authority or responsibility to do so, is generally considered to be a fiduciary of the ERISA Plan.

#### Prohibited Transaction Issues
Section 406 of ERISA and Section 4975 of the Code prohibit ERISA Plans from engaging in specified transactions involving plan assets with persons or entities who are "parties in interest," within the meaning of ERISA, or "disqualified persons," within the meaning of Section 4975 of the Code, unless an exemption is available. Those sections further prohibit a fiduciary from engaging in transactions in which a conflict of interest is deemed present. A party in interest or disqualified person (including a fiduciary) who engages in a non-exempt prohibited transaction may be subject to excise taxes and other penalties and liabilities under ERISA and the Code. In addition, a fiduciary of the ERISA Plan that engages in such a non-exempt prohibited transaction may be subject to penalties and liabilities under ERISA and the Code.

Governmental plans (as defined in Section 3(32) of ERISA), certain church plans (as defined in Section 3(33) of ERISA) and non-U.S. plans (as described in Section 4(b)(4) of ERISA), while not subject to the fiduciary responsibility or prohibited transaction provisions of ERISA or the provisions of Section 4975 of the Code, may nevertheless be subject to federal, state, local, non-U.S. or other laws or regulations that are substantially similar to the foregoing provisions of ERISA or the Code.

Under a regulation of the U.S. Department of Labor, 29 C.F.R. 2510.3-101 (as modified by Section 3(42) of ERISA (the "Plan Assets Regulation")), if an ERISA Plan invests in an "equity interest" of an entity that is neither a "publicly offered security" nor a security issued by an investment company registered under the Investment Company Act of 1940, the ERISA Plan's assets are deemed to include both the equity interest and an undivided interest in each of the entity's underlying assets, unless, among other exceptions, the entity is an "operating company," as defined in the Plan Assets Regulation. It is not anticipated that the Issuer will qualify as an operating company. Under the Plan Assets Regulation, to be a "publicly-offered security" the security must be, among other conditions, freely transferable and part of a class of securities that is widely held. It is not clear that the Class A Interests will qualify as a security that is freely transferable or part of a class of securities that is widely held, as interpreted by the Plan Assets Regulation.

If any Class A Interests were deemed to be equity interests in the Issuer and no exception under ERISA or the Plan Assets Regulation applied, an undivided portion of the Issuer's assets would be deemed to be assets of each Plan that invests in those Class A Interests. In such case, certain transactions that the Issuer might enter into, or may have entered into, on behalf of the Issuer, in the ordinary course of its business, might be deemed to constitute direct or indirect "prohibited transactions" under Section 406 of ERISA or Section 4975 of the Code with respect to such Plan investors and might have to be rescinded.

Because of the foregoing, the Class A Interests should not be purchased or held by any person investing "plan assets" of any ERISA Plan, and should not be purchased or held by any person investing "plan assets" of plans subject to Similar Law.

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The foregoing discussion is general in nature and is not intended to be all-inclusive nor should it be construed as legal advice.

#### Representation
Accordingly, by acceptance of and/or holding a Class A Interest, each purchaser and subsequent transferee of a Class A Interest will be deemed to have represented and warranted that such purchaser or subsequent transferee is not acquiring or holding the Class A Interest for or on behalf of, and no portion of the assets used by such purchaser or transferee to acquire or hold the Class A Interests constitutes assets of, any ERISA Plan, or of any plan subject to Similar Law.

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#### LEGAL MATTERS
The validity of the Class A Interests we are offering will be passed upon by Latham & Watkins LLP, New York, New York. Certain legal matters in connection with this offering will be passed upon for the placement agents by Winston & Strawn LLP, Chicago, Illinois.

#### EXPERTS
The financial statements of Bally's Chicago, Inc. as of December 31, 2024 and 2023, and for the years ended December 31, 2024 and 2023, and for the period from May 24, 2022 (date of inception) to December 31, 2022, included in this prospectus, have been audited by Deloitte & Touche LLP, an independent registered public accounting firm, as stated in their report. Such financial statements are included in reliance upon the report of such firm given their authority as experts in accounting and auditing.

#### WHERE YOU CAN FIND MORE INFORMATION
We have filed with the SEC a registration statement on Form S-1 under the Securities Act with respect to the Class A Interests being offered by this prospectus. This prospectus, which constitutes part of that registration statement, does not contain all of the information set forth in the registration statement or the exhibits and schedules that are part of the registration statement. Some items included in the registration statement are omitted from the prospectus in accordance with the rules and regulations of the SEC. For further information with respect to us and the Class A Interests offered in this prospectus, we refer you to the registration statement and the accompanying exhibits and schedules. Statements contained in this prospectus regarding the contents of any contract, agreement or any other document to which reference is made are summaries of the material terms of these contracts, agreements or other documents. With respect to each of these contracts, agreements or other documents filed as an exhibit to the registration statement, reference is made to such exhibit for a more complete description of the matter involved.

A copy of the registration statement and the accompanying exhibits and schedules and any other document we file may be inspected without charge at the public reference facilities maintained by the SEC in 100 F Street, N.E., Washington, D.C. 20549 and copies of all or any part of the registration statement may be obtained from this office upon the payment of the fees prescribed by the SEC. The public may obtain information on the operation of the public reference facilities in Washington, D.C. by calling the SEC at 1-800-SEC-0330. Our filings with the SEC are available to the public from the SEC's website at www.sec.gov.

Upon the closing of this offering, we will be subject to the information and periodic reporting requirements of the Exchange Act applicable to a company with securities registered pursuant to Section 12 of the Exchange Act. In accordance therewith, we will file proxy statements, periodic information and other information with the SEC. All documents filed with the SEC are available for inspection and copying at the public reference room and website of the SEC referred to above.

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#### INDEX TO FINANCIAL STATEMENTS

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| | |
|:---|:---|
| | **Page No.**  |
| **Annual Financial Statements (Predecessor):** |  |
| [Report of Independent Registered Public Accounting Firm (PCAOB ID 34)](#fROIR)  | [F-2](#fROIR) |
| [Consolidated Balance Sheets at December 31, 2024 and 2023](#fCBS)  | [F-3](#fCBS) |
|  [Consolidated Statements of Operations for the years ended December 31, 2024, 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022](#fCSOO)  | [F-4](#fCSOO) |
|  [Consolidated Statements of Changes in Stockholder's (Deficit) Equity for the years ended December 31, 2024, 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022](#fCSOS)  | [F-5](#fCSOS) |
|  [Consolidated Statements of Cash Flows for the years ended December 31, 2024, 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022](#fCSOC)  | [F-6](#fCSOC) |
| [Notes to Consolidated Financial Statements](#fNTCF)  | [F-7](#fNTCF) |
| **Interim Financial Statements:** |  |
|  [Condensed Consolidated Balance Sheets (unaudited) at March 31, 2025 (Successor) and December 31, 2024 (Predecessor)](#fCBS1)  | [F-28](#fCBS1) |
|  [Condensed Consolidated Statements of Operations (unaudited) for the Period from February 8 to March 31, 2025 (Successor), the Period from January 1 to February 7, 2025 (Predecessor) and the Three Months Ended March 31, 2024 (Predecessor)](#fCSOO1)  | [F-29](#fCSOO1) |
|  [Condensed Consolidated Statements of Stockholders' Deficit (unaudited) for the Period from February 8 to March 31, 2025 (Successor), the Period from January 1 to February 7, 2025 (Predecessor) and the Three Months Ended March 31, 2024 (Predecessor)](#fCSOS1)  | [F-30](#fCSOS1) |
|  [Condensed Consolidated Statements of Cash Flows (unaudited) for the Period from February 8 to March 31, 2025 (Successor), the Period from January 1 to February 7, 2025 (Predecessor) and the Three Months Ended March 31, 2024 (Predecessor)](#fCSOS2)  | [F-31](#fCSOS2) |
| [Notes to Condensed Consolidated Financial Statements](#fNTCF1)  | [F-32](#fNTCF1) |

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#### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the stockholder and the Board of Directors of Bally's Chicago, Inc.

#### Opinion on the Financial Statements
We have audited the accompanying consolidated balance sheets of Bally's Chicago, Inc. and its subsidiary (the "Company") as of December 31, 2024 and 2023, the related consolidated statements operations, stockholder's (deficit) equity, and cash flows, for the years ended December 31, 2024 and 2023, and for the period from May 24, 2022 (date of inception) to December 31, 2022, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024 and 2023, and the results of its operations and its cash flows for the years ended December 31, 2024 and 2023, and for the period from May 24, 2022 (date of inception) to December 31, 2022, in conformity with accounting principles generally accepted in the United States of America.

#### Emphasis of Matter — Related Party Transactions
As described in the Note 3 to the financial statements, the Company has significant transactions with and balances due to and from Bally's Corporation, the Company's parent, and is dependent on its parent for the majority of its working capital and financing requirements.

#### Basis for Opinion
These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

/s/ Deloitte & Touche LLP

New York, New York

March 31, 2025

We have served as the Company's auditor since 2022.

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#### BALLY'S CHICAGO, INC.

#### CONSOLIDATED BALANCE SHEETS (In thousands, except share data)

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| | | |
|:---|:---|:---|
| | **December 31,**  | **December 31,**  |
| | **2024**  | **2023**  |
| **<u>Assets</u>**  |  |  |
| Cash  | $14519 | $14027 |
| Restricted cash  |  | 57278 |
| Accounts receivable  | 1470 | 1874 |
| Inventory  | 2748 | 466 |
| Prepaid expenses and other current assets  | 4323 | 6235 |
| Due from related party (Bally's Corporation)  | 974 | 974 |
| **Total current assets**  | 24034 | 80854 |
| Property and equipment, net  | 172747 | 453674 |
| Right of use assets, net  | 209977 | 12111 |
| Intangible assets  | 186221 | 186250 |
| Other assets  | 6926 | 4378 |
| **Total assets**  | $599905 | $737267 |
| **<u>Liabilities and Stockholder's Deficit</u>**  |  |  |
| Current portion of lease liabilities  | 4323 | 3678 |
| Accounts payable  | 11397 | 9869 |
| Accrued and other current liabilities  | 12563 | 60012 |
| Promissory notes to related party (Bally's Corporation) (Note 3)  | 675528 | 527230 |
| Due to related party (Bally's Corporation) (Note 3)  | 416 |  |
| **Total current liabilities**  | 704227 | 600789 |
| Long-term portion of financing obligation  |  | 200000 |
| Long-term portion of lease liabilities  | 206297 | 8967 |
| **Total liabilities**  | 910524 | 809756 |
| **Commitments and contingencies (Note 12)** |  |  |
| **Stockholder's (deficit) equity:** |  |  |
|  Common stock ($0.01 par value; 100 shares authorized; 100 and 100 shares issued; <br> 100 and 100 shares outstanding  |  |  |
| Additional paid-in-capital  | 974 | 974 |
| Accumulated deficit  | (311593) | (73463) |
| **Total stockholder's deficit**  | (310619) | (72489) |
| **Total liabilities and stockholders' deficit**  | $599905 | $737267 |

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The accompanying notes are an integral part of these consolidated financial statements.

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#### BALLY'S CHICAGO, INC.

#### CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data)

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| | | | |
|:---|:---|:---|:---|
| | **Year Ended <br> December 31, 2024**  | **Year Ended <br> December 31, 2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **Revenue:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | $115844 | $28734 | $— |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 12849 | 3443 |  |
| Total revenue  | 128693 | 32177 |  |
| **Operating costs and expenses:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | 60268 | 13430 |  |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 8134 | 2138 |  |
| &nbsp;&nbsp;&nbsp; General and administrative  | 64696 | 36441 | 15057 |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | 60000 | 20680 | 424 |
| &nbsp;&nbsp;&nbsp; Loss on sale-leaseback  | 150000 |  |  |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 18300 | 5705 |  |
| Total operating costs and expenses  | 361398 | 78394 | 15481 |
| **Loss from operations**  | (232705) | (46217) | (15481) |
| **Other income (expense):** |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest income  | 1466 | 2778 |  |
| &nbsp;&nbsp;&nbsp; Interest expense, net of amounts capitalized  | (6891) | (13819) | (2031) |
| &nbsp;&nbsp;&nbsp; Other non-operating income, net  |  | 893 | 414 |
| Total other expense, net  | (5425) | (10148) | (1617) |
| Loss before income taxes  | (238130) | (56365) | (17098) |
| Benefit for income taxes  |  |  |  |
| **Net loss**  | $(238130) | $(56365) | $(17098) |
| Basic loss per share  | $(2381300) | $(563650) | $(170980) |
| Weighted average common shares outstanding, basic  | 100 | 100 | 100 |
| Diluted loss per share  | $(2381300) | $(563650) | $(170980) |
|  Weighted average common shares outstanding, <br> diluted  | 100 | 100 | 100 |

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The accompanying notes are an integral part of these consolidated financial statements.

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#### BALLY'S CHICAGO, INC.

#### CONSOLIDATED STATEMENTS OF STOCKHOLDER'S (DEFICIT) EQUITY (In thousands, except shares)

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Common Stock**  | **Common Stock**  | **Additional <br> Paid-in <br> Capital**  | **Accumulated <br> deficit**  | **Total <br> Stockholder's <br> (Deficit) Equity**  |
| | **Shares <br> Outstanding**  | **Amount**  | **Additional <br> Paid-in <br> Capital**  | **Accumulated <br> deficit**  | **Total <br> Stockholder's <br> (Deficit) Equity**  |
| **Balance as of May 24, 2022 (date of inception)**  | **—** | $**—** | $**—** | $**—** | $**—** |
| &nbsp;&nbsp;&nbsp; Issuance of common stock  | 100 |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Capital contributions from Bally's <br> Corporation  |  |  | 63465 |  | 63465 |
| &nbsp;&nbsp;&nbsp; Net loss  |  |  |  | (17098) | (17098) |
| **Balance as of December 31, 2022**  | **100** | **—** | **63465** | **(17098)** | **46367** |
| &nbsp;&nbsp;&nbsp; Return of capital to Bally's Corporation  |  |  | (62491) |  | (62491) |
| &nbsp;&nbsp;&nbsp; Net loss  |  |  |  | (56365) | (56365) |
| **Balance as of December 31, 2023**  | **100** | **—** | **974** | **(73463)** | **(72489)** |
| &nbsp;&nbsp;&nbsp; Net loss  |  |  |  | (238130) | (238130) |
| **Balance as of December 31, 2024**  | **100** | $**—** | $**974** | $**(311593)** | $**(310619)** |

---

The accompanying notes are an integral part of these consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands)

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended <br> December 31, 2024**  | **Year Ended <br> December 31, 2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **Cash flows from operating activities:** |  |  |  |
| Net loss  | $(238130) | $(56365) | $(17098) |
|  Adjustments to reconcile net loss to net cash used in operating activities:  |  |  |  |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 18300 | 5705 |  |
| &nbsp;&nbsp;&nbsp; Loss on sale-leaseback  | 150000 |  |  |
| &nbsp;&nbsp;&nbsp; Non-cash lease expense  | 3841 | 3589 | 310 |
| &nbsp;&nbsp;&nbsp; Other operating activities  | 42 |  |  |
| &nbsp;&nbsp;&nbsp; Changes in current operating assets and liabilities:  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts receivable  | 371 | (1874) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Inventory  | (2282) | (466) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses and other current assets  | 1912 | (5451) | (784) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Right of use assets  | (778) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable  | (78) | (2642) | 5799 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Current portion of lease liabilities  | (2953) | (3312) | (53) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued liabilities  | 237 | 12889 | (5878) |
| Net cash used in operating activities  | (69518) | (47927) | (17704) |
| **Cash flows from investing activities:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Purchase of land  | **—** |  | (200000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Capital expenditures  | (135280) | (191178) | (8511) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Acquisition of gaming licenses  |  | (135250) |  |
| Net cash used in investing activities  | (135280) | (326428) | (208511) |
| **Cash flows from financing activities:** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Proceeds from land financing obligation  |  |  | 200000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Issuance costs  | (702) | (3914) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Financing from Bally's Corporation  | 219944 | 448482 | 27307 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Repayment of promissory notes to Bally's Corporation  | (71230) |  |  |
| Net cash provided by financing activities  | 148012 | 444568 | 227307 |
| Net change in cash and restricted cash  | (56786) | 70213 | 1092 |
| Cash and restricted cash, beginning of period  | 71305 | 1092 |  |
| **Cash and restricted cash, end of period**  | $14519 | $71305 | $1092 |
| *Supplemental disclosure of cash flow information:* |  |  |  |
| Cash paid for interest, net of amounts capitalized  | $10101 | $13819 | $2031 |
| *Non-cash investing and financing activities:* |  |  |  |
| Unpaid property and equipment  | $11763 | $11951 | $9061 |
| Unpaid issuance costs  | 1848 |  |  |
| Derecognition of land assets  | 350000 |  |  |
| Land development liability  |  | 47739 |  |
| Return of capital to Bally's Corporation  |  | 62491 |  |
| Promissory notes to related party (Bally's Corporation)  |  | (62491) |  |
| Fixed assets transferred, net  |  | 16631 |  |
| Gaming license – capital contribution  |  |  | (51000) |
| Tax receivable – capital contribution  |  |  | (974) |
| Short term lease deposit – capital contribution  |  |  | (4500) |
| Expenses paid by Bally's Corporation – capital contribution  |  |  | (6991) |

---

The accompanying notes are an integral part of these consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. #### GENERAL INFORMATION
 *Description of Business* 

Bally's Chicago, Inc. (the "Company", "Bally's Chicago") was formed on May 24, 2022 and is a wholly owned subsidiary of Bally's Chicago Holding Company, LLC, a wholly owned subsidiary of Bally's Corporation. Bally's Chicago is a gaming, hospitality and entertainment company with the singular focus of building and operating a world-class entertainment destination resort in Chicago, Illinois. The Company intends to provide both Chicago residents and business and leisure travelers visiting Chicago with physical and interactive entertainment and gaming experiences.

On June 9, 2022, a wholly-owned subsidiary of the Company, Bally's Chicago Operating Company, LLC, signed a host community agreement with the City of Chicago to develop a destination casino resort, to be named Bally's Chicago, in downtown Chicago, Illinois that will include approximately 3,400 slot machines, 170 table games, 10 food and beverage venues, 500 hotel rooms, a 65,000 square foot entertainment and event center, a 20,000 square foot exhibition, outdoor music venue, 3,300 parking spaces and an outdoor green space. The project also provided the Company with the exclusive right to operate a temporary casino for up to three years while the permanent casino resort is constructed.

During construction of the permanent facility, the City of Chicago gave the Company the ability to build a temporary casino in downtown Chicago (the "Temporary Facility"). The Company opened the Temporary Facility situated in the location of the current Medinah Temple on September 9, 2023 which includes approximately 900 gaming positions and five food and beverage venues. The Company incurred approximately $70.0 million in costs in connection with the design and development of the temporary casino. The Company currently expects the permanent casino (the "Permanent Facility") to open to the public in 2026. However, there can be no assurances that the Company will be successful in so doing. Any increased construction costs could materially and adversely affect the return on the Company's investments.

 *Bally's Corporation* 

The Company's public company parent, Bally's Corporation ("Bally's" or the "Parent"), is a global gaming, hospitality and entertainment company with a portfolio of casinos and resorts and online gaming businesses. Bally's Corporation provides its customers with physical and interactive entertainment and gaming experiences, including traditional casino offerings, iCasino, online bingo games, sportsbook and free-to-play.

On February 7, 2025, Bally's Corporation completed its previously announced transactions, pursuant to which The Casino Queen & Entertainment Inc. ("Casino Queen"), a majority-owned by funds managed by Standard General L.P., its largest common stockholder, merged with Bally's Corporation, and Bally's paid cash consideration of $18.25 per share to holders of 22.9 million of their outstanding shares and stockholders owning 17.9 million of Bally's outstanding shares elected to remain invested in the combined company. As a result of these transactions, Bally's has elected to apply push-down accounting, whereby fair value adjustments will be made to the Company's assets and liabilities. Bally's and the Company are currently in the process of evaluating the quantitative impact of these adjustments on the Company's financial statements.

 *Going Concern* 

The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business and the ability of the Company to continue as a going concern for a reasonable period of time.

In accordance with Accounting Standards Codification ("ASC") 205-40, Going Concern, ("ASC 205-40") the Company evaluated the severity of the following adverse conditions that raise substantial doubt about its ability to continue as a going concern as of the date the accompanying financial statements were issued (the "issuance date").

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The Company has incurred significant losses and negative cash flows from operations since its inception and expects to continue to incur such losses and negative cash flows for the foreseeable future. In this regard, the Company incurred a net loss and used net cash in its operations of approximately $238.1 million and $69.5 million, respectively, during the year ended December 31, 2024. In addition, the Company has an accumulated deficit of $311.6 million and approximately $14.5 million of cash on hand as of December 31, 2024. As a result, the Company has been dependent of Bally's Corporation since its inception to fund substantially all of the Company's obligations as they become due and expects to continue to remain dependent on such funding for the foreseeable future.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • As disclosed in Notes 12, the Company is subject to a number of contractual obligations and commitments associated with the operation of the Temporary Facility and construction of the Permanent Facility, which includes the total committed costs that are expected to be incurred to construct the Permanent Facility of approximately $1.0 billion over the next two years. Refer to Note 10 "Leases" for further information on the funding of the Permanent Facility construction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • As of the issuance date, the Company did not have sufficient capital or available liquidity to fund the obligations and commitments that are expected to become due over the next twelve months beyond the issuance date. In particular, while the Temporary Facility commenced operations on September 9, 2023, the Company has not yet generated an ongoing source of net cash inflows from operations that are sufficient to cover the cost of operating the Temporary Facility, as well as construction costs associated with the Permanent Facility that are expected to be incurred over the next twelve months beyond the issuance date.

In response to the foregoing adverse financial conditions, the Company obtained a letter of support whereby Bally's Corporation has committed to fund all of the Company's operating, investing, and financing activities through at least March 31, 2026 and has further committed not to make any decision or action that would reasonably be expected to negatively affect the Company's ability to continue as a going concern through at least March 31, 2026.

The accompanying consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

2. #### SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 *Basis of Presentation* 

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("US GAAP"). The consolidated financial statements of Bally's Chicago include the accounts of the Company and its subsidiaries.

 *Use of Estimates in the Preparation of Consolidated Financial Statements* 

The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities and revenues and expenses and related disclosures of contingent assets and liabilities. On an ongoing basis, the Company evaluates its estimates and judgments including those related to intangible assets, recoverability and useful lives of tangible and intangible long-lived assets and valuation allowances for deferred tax assets. The Company bases its estimates and judgments on historical experience and other relevant factors impacting the carrying value of assets and liabilities. Actual results may differ from these estimates.

 *Cash and Restricted Cash* 

The Company considers all cash balances and highly liquid investments with an original maturity of three months or less to be cash and cash equivalents. Restricted cash as of December 31, 2023 included cash

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
collateral in connection with amounts due to the Chicago Tribune (refer to Note 7 "Property and Equipment"), which was unavailable for the Company's use. The following table reconciles cash and restricted cash in the consolidated balance sheets to the total shown on the consolidated statements of cash flows.

---

| | | |
|:---|:---|:---|
| **(in thousands)**  | **December 31, <br> 2024**  | **December 31, <br> 2023**  |
| Cash  | $14519 | $14027 |
| Restricted cash  |  | 57278 |
| Total cash and restricted cash  | $14519 | $71305 |

---

 *Concentrations of Credit Risk* 

The Company's financial instruments which potentially expose the Company to concentrations of credit risk consisted of cash and cash equivalents and trade receivables. The Company maintains cash with financial institutions in excess of federally insured limits, however, management believes the credit risk is mitigated by the quality of the institutions holding such deposits.

 *Accounts Receivable* 

Accounts receivable consists of the following:

---

| | | |
|:---|:---|:---|
| | **December 31,**  | **December 31,**  |
| **(in thousands)**  | **2024**  | **2023**  |
| Gaming receivables  | $1151 | $1570 |
| Non-gaming receivables  | 337 | 304 |
| &nbsp;&nbsp;&nbsp; Accounts receivable  | 1488 | 1874 |
| Less: Allowance for credit losses  | (18) |  |
| Accounts receivable, net  | $1470 | $1874 |

---

An allowance for credit losses is determined to reduce the Company's receivables for amounts that may not be collected. The allowance is estimated based on historical collection experience, current economic and business conditions and forecasts that affect the collectability and review of individual customer accounts and any other known information. Activity for the allowance for credit losses is as follows:

---

| | |
|:---|:---|
| **(in thousands)**  | **December 31, <br> 2024**  |
| Balance at beginning of year  | $— |
| Charges to expense  | 33 |
| Deductions  | (15) |
| Balance at end of year  | $18 |

---

There were no allowance for credit losses for the year ended December 31, 2023 and the Period from May 24, 2022 (date of inception) to December 31, 2022.

 *Inventory* 

Inventory is stated at the lower of cost or net realizable value on a first-in, first-out basis and consists primarily of food, beverage, promotional items and other supplies.

 *Property and Equipment* 

Property and equipment are stated at cost, net of accumulated depreciation and impairment losses, if applicable. Expenditures for renewals and betterments that extend the life or value of an asset are capitalized

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
and expenditures for repairs and maintenance are charged to expense as incurred. The costs and related accumulated depreciation applicable to assets sold or disposed are removed from the balance sheet accounts and the resulting gains or losses are reflected in the consolidated statements of operations. Depreciation is recorded using the straight-line method over the lessor of the estimated useful lives of the assets or the related lease term, if any, as follows:

---

| | |
|:---|:---|
| | **Years**  |
| Leasehold improvements  | 10 – 40  |
| Equipment  | 3 – 7  |
| Furniture and fixtures  | 5 – 10  |

---

Development costs directly associated with the acquisition, development and construction of a project are capitalized as a cost of the project during the periods in which activities necessary to prepare the property for its intended use are in progress. Interest costs associated with major construction projects are capitalized as part of the cost of the constructed assets. When no debt is incurred specifically for a project, interest is capitalized on amounts expended for the project using the weighted-average cost of borrowing. Capitalization of interest ceases when the project (or discernible portions of the project) is substantially complete. If substantially all of the construction activities of a project are suspended, capitalization of interest will cease until such activities are resumed.

 *Leases* 

The Company determines if a contract is or contains a lease at the contract inception date or the date in which a modification of an existing contract occurs. A contract is or contains a lease if the contract conveys the right to control the use of an identified asset for a period in exchange for consideration. Control over the use of the identified asset means the lessee has both (i) the right to obtain substantially all of the economic benefits from the use of the identified asset throughout the period of use and (ii) the right to direct the use of the identified asset.

Under ASC 842, *Leases*, the Company elected to account for lease and non-lease components as a single component for all classes of underlying assets. Additionally, the Company elected to not recognize short-term leases (defined as leases that are less than 12 months and do not contain purchase options) within the consolidated balance sheets.

The Company recognizes a lease liability for the present value of lease payments at the lease commencement date using its incremental borrowing rate commensurate with the lease term based on information available at the commencement date unless the rate implicit in the lease is readily determinable. Rent expense associated with the Company's leases and their associated variable expenses are reported in total operating costs and expenses within the consolidated statements of operations.

 *Intangible Assets* 

The Company's intangible assets consist of the Chicago gaming licenses associated with its permanent casino and the operations of it's temporary casino. The Company's temporary casino gaming license is classified as finite-lived, and is being amortized over its estimated useful life. The Company's permanent casino gaming license is classified as indefinite-lived based on future expectations of operating Bally's Chicago indefinitely.

For its finite-lived intangible asset, the Company establishes a useful life upon initial recognition based on the period over which the asset is expected to contribute to the future cash flows of the Company and periodically evaluates the remaining useful life to determine whether events and circumstances warrant a revision to the remaining amortization period. Finite-lived intangible assets are amortized over their remaining useful lives in a pattern in which the economic benefits of the intangible asset are consumed, which is generally on a straight-line basis. The Company reviews the carrying amount of its finite-lived intangible

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
asset for possible impairment whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. Should events and circumstances indicate finite-lived intangible assets may not be recoverable, the Company performs a test for recoverability whereby estimated undiscounted cash flows are compared to the carrying values of the assets. Should the estimated undiscounted cash flows exceed the carrying value, no impairments are recorded. If the undiscounted cash flows do not exceed the carrying values, an impairment is recorded based on the fair value of the asset.

Assessing indefinite-lived assets for impairment is a process that involves significant judgment and requires a qualitative and quantitative analysis with many assumptions which fluctuate based on our business. We review indefinite-lived intangible assets at least annually and between annual test dates if events or changes in circumstances indicate that it is more likely than not that the asset is impaired. The evaluation of indefinite-lived intangible assets requires the use of estimates about future operating results to determine the estimated fair value of the indefinite-lived assets. Refer to Note 8 "Intangible Assets" for further information.

 *Long-lived Assets* 

The Company reviews its long-lived assets, other than intangible assets not subject to amortization, for indicators of impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If an asset is still under development, the analysis includes the remaining construction costs. If the carrying value of the asset exceeds the expected undiscounted future cash flows generated by the asset, the asset is written down to its estimated fair value and an impairment loss is recognized. There were no impairment charges during the years ended December 31, 2024 and 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022.

 *Revenue* 

The Company accounts for revenue earned from contracts with customers under ASC 606, *Revenue from Contracts with Customers* ("ASC 606"). The Company generates revenue from three principal sources: gaming, food and beverage, and other. Refer to Note 5 "Revenue Recognition" for further information.

 *Gaming Expenses* 

Gaming expenses include, among other things, payroll costs and expenses associated with the operation of slot machines and table games, including gaming taxes payable to the jurisdiction in which the Company operates.

 *Non-gaming Expenses* 

Non-gaming expenses, include, among other things, payroll costs and expenses associated with the operation of restaurants and retail operations.

 *General and Administrative Expense* 

General and administrative expenses consist primarily of salaries, bonuses and benefits for employees, legal and other professional services fees, and other general operating expenses.

 *Advertising Expenses* 

The Company expenses advertising costs as incurred. Advertising expenses, including production and agency fees of campaigns, for the years ended December 31, 2024 and 2023 were $5.1 million and $1.7 million, respectively, and included in "General and administrative" on the consolidated statements of operations. There was no advertising expense incurred during the period from May 24, 2022 (date of inception) to December 31, 2022.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
 *Expansion Expenses* 

The Company expenses expansion costs as incurred. The Company defines expansion expenses as costs incurred in connection with the opening of a new facility or significant expansion of an existing property. Costs classified as expansion costs consist primarily of marketing, master planning, conceptual design fees and legal and professional fees that are not eligible for capitalization and are included in "General and administrative" on the consolidated statements of operations. Expansion expenses for the years ended December 31, 2024 and 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022 were $8.8 million, $24.7 million and $15.3 million, respectively.

 *Interest Expense, Net of Amounts Capitalized* 

Interest expense, net of amounts capitalized is comprised of lease payments related to the Company's long-term financing obligation, net of amounts capitalized for construction projects. Refer to Note 10 "Leases" for further information.

 *Defined Contribution Plans* 

The Company participates in the Bally's Corporation retirement savings plan under Section 401(k) of the Internal Revenue Code covering its employees. The plan allows employees to defer up to the lesser of the Internal Revenue Code prescribed maximum amount or 100% of their income on a pre-tax basis through contributions to the plan. Total employer contribution expenses attributable to defined contribution plans were $0.6 million and $0.1 million for the years ended December 31, 2024 and 2023, respectively. There was no employer contribution expense attributable to defined contribution plans for the period from May 24, 2022 (date of inception) to December 31, 2022.

 *Income Taxes* 

The Company prepares its income tax provision in accordance with ASC 740, *Income Taxes*. Under the asset and liability method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that the rate change is enacted. A valuation allowance is required when it is "more likely than not" that all or a portion of the deferred taxes will not be realized. The consolidated financial statements reflect expected future tax consequences of uncertain tax positions presuming the taxing authorities' full knowledge of the position and all relevant facts.

 *Statement of Cash Flows* 

The Company has presented the consolidated statements of cash flows using the indirect method, which involves the reconciliation of net income or loss to net cash flow from operating activities.

 *Fair Value Measurements* 

Fair value is determined using the principles of ASC 820, *Fair Value Measurement*. Fair value is described as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy prioritizes and defines the inputs to valuation techniques as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Level 1: Observable quoted prices (unadjusted) for identical assets or liabilities in active markets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Level 2: Inputs are observable for the asset or liability either directly or through corroboration with observable market data.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Level 3: Unobservable inputs.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
The inputs used to measure the fair value of an asset or a liability are categorized within levels of the fair value hierarchy. The fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the measurement.

As of December 31, 2024 and 2023, the Company had cash and restricted cash of $14.5 million and $71.3 million, respectively, which was measured at fair value on a recurring basis and is classified within Level 1 of the fair value hierarchy.

3. #### RELATED PARTY TRANSACTIONS
Operations, as well as assets and liabilities, directly associated with the business activity of the Company are included in the consolidated financial statements. The consolidated financial statements include fees paid in accordance with the corporate services agreement, as described in Note 12 *"*Commitments and Contingencies", providing the Company with certain administrative and corporate services, beginning in September 2023 with the commencement of operations at the Temporary Facility. Additionally, the consolidated financial statements include allocations of certain general, administrative, sales and marketing expenses from its Parent, which management believes is commensurate with services provided at fair value, of $60.0 million, $20.7 million and $0.4 million for the for the years ended December 31, 2024 and 2023, and for the period from May 24, 2022 (date of inception) to December 31, 2022, respectively. These fees and allocated expenses are recorded within "Management fees to Bally's Corporation" on the consolidated statements of operations. As of December 31, 2024, there was a $0.4 million balance of Due to related party (Bally's Corporation) related to administrative expenses.

During the period from May 24, 2022 (date of inception) to December 31, 2022, the Company incurred costs from the Parent related to pre-formation expenses of $7.0 million, which are recorded within "General and administrative" on the consolidated statements of operations. There were no pre-formation expenses incurred during the years ended December 31, 2024 and 2023.

The Company is dependent on its Parent for a majority of its working capital and financing requirements as Bally's uses a centralized approach to cash management and financing of its operations which are accounted for through a due to/from account. Accordingly, none of Bally's cash, cash equivalents or debt has been assigned to Bally's Chicago in the consolidated financial statements. On December 31, 2023, all expenses paid by Bally's Corporation on the Company's behalf were converted into $527.2 million of promissory notes ("2023 Promissory Notes"), reported within "Promissory notes to related party (Bally's Corporation)" on the consolidated balance sheet.

During 2024, the Company entered into an additional $219.5 million of promissory notes, due December 31, 2025, with Bally's Corporation for expenses paid on the Company's behalf, made $71.2 million of payments on the intercompany promissory notes, and amended the 2023 Promissory Notes, extending their respective due dates to December 31, 2025.

As of December 31, 2024 and 2023 promissory notes to related party (Bally's Corporation) consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **($ in thousands)**  | **Loan Balance as of <br> December 31, 2024**  | **Loan Balance as of <br> December 31, 2023**  | **Due Date**  | **Interest <br> Rate**  |
|  **Promissory notes payable by Bally's Chicago Operating Company, LLC:**  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Bally's Chicago Holding Company, LLC<sup>(1)</sup>  | $628617 | $419221 | December 31, 2025  | —% |
| &nbsp;&nbsp;&nbsp; Bally's Management Group, LLC<sup>(1)</sup>  | 40573 | 43256 | December 31, 2025  | —% |
|  | $669190 | $462477 |  |  |

---

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

---

| | | | | |
|:---|:---|:---|:---|:---|
| **($ in thousands)**  | **Loan Balance as of <br> December 31, 2024**  | **Loan Balance as of <br> December 31, 2023**  | **Due Date**  | **Interest <br> Rate**  |
|  **Promissory notes payable by Bally's Chicago Inc.:**  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Bally's Chicago Holding Company, <br> LLC<sup>(1)(2)</sup>  | $6338 | $64784 | December 31, 2025  | —% |
|  **Promissory notes receivable by Bally's Chicago Inc.:**  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Bally's Management Group, LLC<sup>(1)</sup>  | $— | $31 | December 31, 2025  | —% |
|  **Consolidated promissory notes payable to related <br> party (Bally's Corporation)**  | $**675528** | $**527230** |  |  |

---

(1) A wholly owned subsidiary of Bally's Corporation.

(2) Refer to Note 14 "Subsequent Events" for further information.

As of December 31, 2024 and 2023, the aggregate amount of promissory notes to related party (Bally's Corporation) consisted of cash advances and payments of certain operating expenses made on behalf of the Company. The average aggregate balance of promissory notes to related party (Bally's Corporation) was $564.1 million and $527.2 million during the years ended December 31, 2024 and 2023, respectively.

4. #### RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS
<u>Standards Implemented</u> 

In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2023-07, *Segment Reporting (Topic 280) — Improvements to Reportable Segment Disclosures*. The amendments in this update enhance the disclosures required for significant segment expenses on an annual and interim basis. The guidance will apply retrospectively and is effective for annual reporting periods in fiscal years beginning after December 15, 2023, and interim reporting periods in fiscal years beginning after December 31, 2024. The Company adopted this ASU as of December 31, 2024. Refer to Note 13 "Segment Reporting" for further information.

<u>Standards to Be Implemented</u> 

In October 2023, the FASB issued ASU No. 2023-06, *Disclosure Improvements — Codification Amendments in Response to the SEC's Disclosure Update and Simplification Initiative*. The amendments in this update align the requirements in the ASC to the Securities and Exchange Commission's ("SEC") regulations. The effective date for each amended topic in the ASC is the date on which the SEC's removal of the related disclosure requirement from Regulation S-X or Regulation S-K becomes effective. If by June 30, 2027, the SEC has not removed the related disclosure from its regulations, the amendments will be removed from the Codification and not become effective. Early adoption is prohibited. The Company is currently in the process of evaluating the impact of this amendment on its consolidated financial statements and related disclosures.

In December 2023, the FASB issued ASU No. 2023-09, *Income Taxes (Topic 740) — Improvements to Income Tax Disclosures*. The amendments in this update enhance the transparency and decision usefulness of income tax disclosures. This update will be effective for annual periods beginning after December 15, 2024 with early adoption permitted. The Company is currently in the process of evaluating the impact of this amendment on its consolidated financial statements and related disclosures.

 *In March 2024, the FASB issued ASU 2024-02, Codification Improvements — Amendments to Remove References to the Concepts Statements. This amendment to the Codification removes references to various* 

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Concepts Statements. This update will be effective for public business entities for fiscal years beginning after December 15, 2024, with early adoption permitted if adopted as of the beginning of the fiscal year that includes that interim period. The Company is currently in the process of evaluating the impact of this amendment on its consolidated financial statements and related disclosures.

In November 2024, the FASB issued ASU 2024-03, *Income Statement — Reporting Comprehensive Income — Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses*. The amendments in this update require disclosure of certain costs and expenses on an interim and annual basis in the notes to the financial statements. This update will be effective for fiscal years beginning after December 15, 2026, and interim reporting periods in fiscal years beginning after December 15, 2027, with early adoption permitted. The disclosures required under the guidance can be applied either prospectively to financial statements issued for reporting periods after the effective date or retrospectively to any or all periods presented in the financial statements. The Company is currently evaluating the impact that this guidance will have on its financial statement disclosures.

5. #### REVENUE RECOGNITION
The Company recognizes revenue in accordance with ASC 606, *Revenue from Contracts with Customers*, ("ASC 606") which requires the revenue to be recognized when a performance obligation is satisfied by transferring the control of promised goods or services and is measured at the transaction price or the amount of consideration that the Company expects to receive through satisfaction of the identified performance obligations.

The Company generates revenue from three principal sources: (1) gaming, (2) food and beverage, and (3) other.

Sales tax and other taxes collected on behalf of governmental authorities are accounted for on a net basis and are not included in revenue or operating expenses.

<u>Performance Obligations</u> 

Retail gaming service contracts involving our casino, each have an obligation to honor the outcome of a wager and to pay out an amount equal to the stated odds, including the return of the initial wager, if the customer receives a winning hand. These elements of honoring the outcome of the hand of play and generating a payout are considered one performance obligation, with an additional performance obligation for those customers earning incentives under the Company's player loyalty program.

Food and beverage and other services have been determined to be separate, stand-alone performance obligations and revenue is recognized as the good or service is transferred at the point in time of the transaction.

<u>Transaction Price</u> 

The Company applies a practical expedient to account for its gaming contracts on a portfolio basis as such wagers have similar characteristics and the Company reasonably expects the impact on the consolidated financial statements of applying the revenue recognition guidance to the portfolio would not differ materially from the application of an individual wagering contract. The transaction price for a retail gaming wagering contract is the difference between wins and losses, not the total amount wagered. In addition, in the event of a multi-stage contest, the Company will allocate transaction price ratably from contest start to the contest's final stage.

The transaction price for food and beverage and other, is the net amount collected from the customer for such goods and services. The standalone selling price of these goods and services are determined based upon the actual retail prices charged to customers for those items.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
<u>Revenue Recognition</u> 

The allocated revenue for gaming wagers is recognized when the wagering occurs as all such wagers settle immediately. If a player wins the wager, the Company pays the player a pre-determined amount known as fixed odds, and its revenue is recognized as total wagers net of payouts made and incentives awarded to players. Food and beverage and other revenues are recognized at the time the goods are sold from Company-operated outlets.

The estimated retail value related to goods and services provided to guests without charge or upon redemption under the Company's player loyalty programs included in departmental revenues, and therefore reducing gaming revenues, are as follows for the year ended December 31, 2024 and 2023:

---

| | | |
|:---|:---|:---|
| | **Years Ended December 31,**  | **Years Ended December 31,**  |
| **(in thousands)**  | **2024**  | **2023**  |
| Food and beverage  | $4958 | $679 |

---

There were no goods and services provided to guests without charge or upon redemption under the Company's player loyalty programs included in departmental revenues during the period from May 24, 2022 (date of inception) to December 31, 2022.

The following table provides a disaggregation of total revenue (in thousands):

---

| | | |
|:---|:---|:---|
| | **Years Ended December 31,**  | **Years Ended December 31,**  |
| | **2024**  | **2023**  |
| Gaming  | $115844 | $28734 |
| Non-gaming: |  |  |
| &nbsp;&nbsp;&nbsp; Food and beverage  | 9981 | 2688 |
| &nbsp;&nbsp;&nbsp; Other  | 2868 | 755 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total non-gaming revenue  | 12849 | 3443 |
| Total revenue  | $128693 | $32177 |

---

There was no revenue recorded during the period from May 24, 2022 (date of inception) to December 31, 2022.

 *Contract Assets and Contract Related Liabilities* 

The Company's receivables related to contracts with customers are primarily comprised of marker balances and other amounts due from gaming activities. The Company's receivables related to contracts with customers were $0.1 million and $0.2 million as of December 31, 2024 and 2023, respectively.

The Company has the following liabilities related to contracts with customers: liabilities for loyalty programs, advance deposits made for goods and services yet to be provided and unpaid wagers. All of the contract liabilities are short-term in nature and are included in "Accrued and other current liabilities" in the consolidated balance sheets.

Loyalty program incentives earned by customers are typically redeemed within one year from when they are earned and expire if a customer's account is inactive for more than 12 months; therefore, the majority of these incentives outstanding at the end of a period will either be redeemed or expire within the next 12 months.

Unpaid wagers include the Company's outstanding chip liability and unpaid slot tickets.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Liabilities related to contracts with customers as of December 31, 2024 and 2023 was as follows (in thousands):

---

| | | |
|:---|:---|:---|
| | **2024**  | **2023**  |
| Unpaid wagers  | $1541 | $6505 |
| Loyalty programs  | 51 |  |
| Advanced deposits from customers  | 1 | 1 |
| &nbsp;&nbsp;&nbsp; Total  | $1593 | $6506 |

---

The Company recognized $0.2 million and $26.0 thousand of revenue related to loyalty program redemptions for the years ended December 31, 2024 and 2023, respectively. There was no revenue related to loyalty program redemptions recognized during the period from May 24, 2022 (date of inception) to December 31, 2022.

6. #### PREPAID EXPENSES AND OTHER ASSETS
As of December 31, 2024 and 2023, prepaid expenses and other current assets were comprised of the following:

---

| | | |
|:---|:---|:---|
| | **December 31,**  | **December 31,**  |
| **(in thousands)**  | **2024**  | **2023**  |
| Taxes and license fees  | $2675 | $3478 |
| Services and license agreements  | 736 | 784 |
| Prepaid marketing  | 468 | 263 |
| Gaming taxes  | 390 |  |
| Prepaid ground lease payments  |  | 1167 |
| Prepaid rent  |  | 500 |
| Other  | 54 | 43 |
| &nbsp;&nbsp;&nbsp; Total prepaid expenses and other current assets  | $4323 | $6235 |

---

7. #### PROPERTY AND EQUIPMENT
As of December 31, 2024 and 2023, property and equipment, net was comprised of the following:

---

| | | |
|:---|:---|:---|
| | **December 31,**  | **December 31,**  |
| **(in thousands)**  | **2024**  | **2023**  |
| Land and improvements  | $— | $347741 |
| Leasehold improvements  | 42513 | 39703 |
| Equipment  | 28096 | 22972 |
| Furniture and fixtures  | 469 | 205 |
| Construction in process  | 125638 | 48754 |
| &nbsp;&nbsp;&nbsp; Total property and equipment  | 196716 | 459375 |
| Less: Accumulated depreciation<sup>(1)</sup>  | (23969) | (5701) |
| &nbsp;&nbsp;&nbsp; Property and equipment, net  | $172747 | $453674 |

---

(1) Depreciation expense on property and equipment for the years ended December 31, 2024 and 2023 was $18.3 million and $5.7 million, respectively. There was no depreciation expense related to property and equipment for the period from May 24, 2022 (date of inception) to December 31, 2022.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 the vast majority of the Company's Construction in process was attributable to the development of the Permanent Facility. During the years ended December 31, 2024 and 2023, there was $5.5 million and $8.8 million of capitalized interest, respectively. There was no capitalized interest during the period from May 24, 2022 (date of inception) to December 31, 2022.

 *Bally's Chicago Permanent Facility* 

The Company entered into a Lease Termination and Short Term License Agreement with Chicago Tribune Company, LLC ("Tribune"), effective March 31, 2023, which among other things provided that the Company will have possession of Permanent Chicago Site on or before July 5, 2024, subject to $150 million in payments by Bally's Chicago to Tribune payable in full upon Tribune vacating the site (the "Payment"). $10.0 million of the Payment was paid upon execution of the Lease Termination and Short Term License Agreement, $90.0 million of the Payment was paid during the third quarter of 2023. The Company paid the remaining $50.0 million on July 9, 2024 and gained possession of the property per the agreement with Tribune.

In the third quarter of 2024, as the result of a lease modification event, the Company derecognized $350.0 million of land relating to the site of the future Bally's Chicago permanent facility. Refer to Note 10 "Leases" for further information.

8. #### INTANGIBLE ASSETS
 *Annual Impairment Assessment* 

To assess indefinite-lived intangible assets for impairment, each indefinite-lived intangible asset is separately assessed for impairment if events or changes in circumstances occur that could adversely affect its fair value. Indefinite-lived intangibles are assessed for impairment at least annually on October 1st. If carrying value exceeds fair value, an impairment charge to earnings is recorded to reduce carrying value to fair value. Based on the Company's assessments, no impairment charges were recognized during during the years ended December 31, 2024 and 2023, and the period from May 24, 2022 (date of inception) to December 31, 2022.

As of December 31, 2024 and 2023, the Company's identifiable intangible assets consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(in thousands, except years)**  | **Weighted Average <br> Remaining life <br> (in years)**  | **Gross Carrying <br> Amount**  | **Accumulated <br> Amortization**  | **Net**  |
| **December 31, 2024** |  |  |  |  |
| Gaming license – Temporary Casino  | 1.9  | $250 | $(29) | $221 |
| Gaming license – Permanent Casino  | Indefinite  | 186000 |  | 186000 |
| &nbsp;&nbsp;&nbsp; Total intangible assets, net  |  | $186250 | $(29) | $186221 |
| **December 31, 2023** |  |  |  |  |
| Gaming licenses – Temporary Casino  | Indefinite  | $250 | $— | $250 |
| Gaming licenses – Permanent Casino  | Indefinite  | 186000 |  | 186000 |
| &nbsp;&nbsp;&nbsp; Total intangible assets, net  |  | $186250 | $— | $186250 |

---

The Company's amortization expense during the year ended December 31, 2024 was $29.0 thousand. There was no amortization expense during the year ended December 31, 2023 or during the period from May 24, 2022 (date of inception) to December 31, 2022. As of December 31, 2024, the Company's remaining amortization expense associated with finite lived intangible assets will be $0.1 million for both the years ended December 31, 2025 and 2026.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
9. #### ACCRUED AND OTHER CURRENT LIABILITIES
As of December 31, 2024 and 2023, accrued and other current liabilities consisted of the following:

---

| | | |
|:---|:---|:---|
| | **December 31,**  | **December 31,**  |
| **(in thousands)**  | **2024**  | **2023**  |
| Compensation  | 2369 | 1417 |
| Property taxes  | 2246 | 2872 |
| Professional service fees  | 2169 | 1017 |
| Construction  | 2089 | 4913 |
| Gaming liabilities  | 2037 | 923 |
| Legal  | 439 | 31 |
| Land development liability  |  | 47739 |
| Other  | 1214 | 1100 |
| &nbsp;&nbsp;&nbsp; Total accrued and other current liabilities  | $12563 | $60012 |

---

10. #### LEASES
 *<u>Operating Leases</u>* 

As of December 31, 2024 and 2023, the Company had total operating lease liabilities of $210.6 million and $12.6 million, respectively, and right of use assets of $210.0 million and $12.1 million, respectively.

Components of lease expense included within "General and administrative" for operating leases during the years ended December 31, 2024, 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022 are as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,**  | **Year Ended December 31,**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **(in thousands)**  | **2024**  | **2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| Operating lease cost  | $10631 | $4547 | $405 |
| Variable lease cost  | 46 |  |  |
| &nbsp;&nbsp;&nbsp; Operating lease expense  | 10677 | 4547 | 405 |
| Short-term lease expense  | 3423 | 889 |  |
| &nbsp;&nbsp;&nbsp; Total operating lease expense  | $14100 | $5436 | $405 |

---

Supplemental cash flow and other information related to operating leases for the years ended December 31, 2024, 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022, are as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,**  | **Year Ended December 31,**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **($ in thousands)**  | **2024**  | **2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
|  Cash paid for amounts included in the lease liability – operating cash flows from operating leases  | $9745 | $4272 | $148 |
|  Right of use assets obtained in exchange for operating lease liabilities  | $201706 | $254 | $15757 |
| Non-cash derecognition of financing obligation  | $(200000) | $— | $— |

---

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

---

| | | |
|:---|:---|:---|
| | **December 31, 2024**  | **December 31, 2023**  |
| Weighted average remaining lease term  | 92.9 years  | 2.9 years  |
| Weighted average discount rate  | 9.9%  | 6.7%  |

---

As of December 31, 2024, future minimum lease payments under noncancelable operating leases are as follows:

---

| | |
|:---|:---|
| **(in thousands)**  |  |
| 2025  | $24789 |
| 2026  | 24714 |
| 2027  | 20094 |
| 2028  | 20000 |
| 2029  | 20000 |
| Thereafter  | 1837667 |
| &nbsp;&nbsp;&nbsp; Total lease payments  | 1947264 |
| Less: present value discount  | (1736644) |
| &nbsp;&nbsp;&nbsp; Lease obligations  | $210620 |

---

 *<u>Financing Obligation</u>* 

The Company entered into a ground lease, guaranteed by Bally's Corporation, for the land on which the Permanent Facility will be built. The lease commenced November 18, 2022 and has a 99-year term followed by ten separate 20-year renewals at the Company's option.

The Company recorded land within property and equipment, net of $200.0 million with a corresponding long-term financing obligation of $200.0 million on its consolidated balance sheets as of December 31, 2023. The Company did not allocate any value to the existing building located on the land as the Company intends to demolish it to construct the Permanent Facility. All lease payments were recorded as interest expense and there was no reduction to the financing obligation over the lease term. The Company made cash payments, and recorded corresponding interest expense, of $12.4 million, $17.4 million and $2.0 million for the years ended December 31, 2024, 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022.

In the third quarter of 2024, GLP Capital, L.P. ("GLP") acquired the real estate underlying the Permanent Facility, for which the Company was subject to the financing obligation, and assumed the existing lease. The lease with GLP was amended in the third quarter, creating a lease modification event whereby the land components previously classified as a financing obligation were reassessed and are now classified as an operating lease. This change was due to the transfer of control of the land asset from the Company to the lessor, which permitted sale recognition in accordance with ASC 842. As a result of this reassessment, the Company, within it's Permanent Casino reportable segment, derecognized $350.0 million from "Property and equipment, net" related to the land asset and $200.0 million from the "Long-term portion of financing obligation" within our consolidated balance sheets. As a result of the lease modification, a $150.0 million loss was recoreded in "Loss on sale-leaseback" within the consolidated statements of operations for the year ended December 31, 2024.

 *<u>Pending Lease Transactions</u>* 

On July 11, 2024, the Company entered into a Binding Term Sheet to form a strategic construction and financing arrangement with GLP which includes the funding to complete the construction of the Permanent Facility. GLP will amend the existing land lease through a new master lease agreement with the Company ("Chicago MLA"). The Chicago MLA includes annual rent of $20.0 million, subject to customary escalation

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
provisions. The Chicago MLA also provides up to $940.0 million in construction financing, subject to conditions and approvals. The Company will pay additional rent under the Chicago MLA based on a 8.5% capitalization rate on funded amounts. The initial lease term for the Chicago MLA is 15 years with renewal options to be agreed upon by the parties.

 *<u>Lessor</u>* 

During the first quarter of 2023, the Company entered into a lease termination agreement with its tenants. Refer to Note 7 "Property and Equipment" for further information on it's tenant agreement with Tribune. Other income from tenant leases was $0.9 million and $0.4 million for the years ended December 31, 2023 and the period from May 24, 2022 (date of inception) to December 30, 2022 and is included in "Other non-operating income, net" in the Company's consolidated statements of operations. There was no other income from tenant leases during the year ended December 31, 2024.

11. #### INCOME TAXES
The Company accounts for income taxes in accordance with ASC 740, Income Taxes. Income taxes as presented in the Company's consolidated financial statements have been allocated in a manner that is systematic, rational, and consistent with the broad principles of ASC 740. For the years ended December 31, 2024, and 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022, the Company's operations will be included in Bally's Corporation's U.S. federal consolidated tax return and certain state tax returns. For the purposes of these financial statements, the Company's income tax provision was computed as if the Company filed separate tax returns, and had not been included in the consolidated income tax return group with Bally's Corporation. The separate return method applies ASC 740 to the financial statements of each member of a consolidated tax group as if the group member were a separate taxpayer. As a result, actual tax transactions included in the consolidated financial statements of Bally's Corporation may not be included in these consolidated financial statements. Further, the Company's tax results as presented in the consolidated financial statements may not be reflective of the results that the Company expects to generate in the future. Also, the tax treatment of certain items reflected in the consolidated financial statements may not be reflected in the consolidated financial statements and tax returns of Bally's Corporation. It is conceivable that items such as net operating losses, other deferred taxes, uncertain tax positions and valuation allowances may exist in the consolidated financial statements that may or may not exist in the Bally's Corporation consolidated financial statements.

Since the Company's results are included in the Bally's Corporation tax returns, payments to certain tax authorities are made by Bally's Corporation, and not by the Company. For tax jurisdictions where the Company is included with Bally's Corporation in a consolidated tax filing, the Company does not maintain taxes payable to or from Bally's Corporation and the payments are deemed to be settled immediately with the legal entities paying the tax in the respective tax jurisdictions through changes in Due from Bally's Corporation in the consolidated financial statements.

The Company evaluates the realizability of its deferred tax assets and recognizes a valuation allowance when it is more likely than not that a future benefit on such deferred tax assets will not be realized. Changes in the valuation allowance, when recorded, would be included in the Company's statement of operations. Management's judgment is required in determining the Company's valuation allowance recorded against its net deferred tax assets.

For the years ended December 31, 2024, 2023 and the period from May 24, 2022 (date of inception) to December 31, 2022, there was no income tax provision recorded in the consolidated statement of operations as the Company has established a full valuation allowance against the net deferred tax asset position.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
The effective rate varies from the statutory US federal tax rate as follows:

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| | | | |
|:---|:---|:---|:---|
| **(in thousands)**  | **Year Ended <br> December 31, 2024**  | **Year Ended <br> December 31, 2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| Income tax benefit at statutory federal rate  | $(50008) | $(11837) | $(3592) |
| State income taxes, net of federal effect  | (22553) | (5219) | (1565) |
| Nondeductible professional fees  | (5) | 172 |  |
|  Other permanent differences including lobbying expense  | 157 | 127 | 134 |
| Change in valuation allowance  | 72409 | 16757 | 5023 |
| &nbsp;&nbsp;&nbsp; Total (benefit) provision for income taxes  | $— | $— | $— |
| Effective income tax rate on continuing operations  | —% | —% | —% |

---

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company's deferred income taxes at December 31, 2024 and 2023 are as follows:

---

| | | |
|:---|:---|:---|
| **(in thousands)**  | **December 31, <br> 2024**  | **December 31, <br> 2023**  |
| Deferred tax assets: |  |  |
| &nbsp;&nbsp;&nbsp; Property and equipment  | $39151 | $— |
| &nbsp;&nbsp;&nbsp; Net operating loss carryforwards  | 56348 | 29592 |
| &nbsp;&nbsp;&nbsp; Intangible assets  |  | 2475 |
| &nbsp;&nbsp;&nbsp; Valuation allowance  | (94189) | (21780) |
| Total deferred tax assets, net  | $1310 | $10287 |
| Deferred tax liabilities: |  |  |
| &nbsp;&nbsp;&nbsp; Intangible assets  | $(1303) | $— |
| &nbsp;&nbsp;&nbsp; Accrued liabilities and other  | (7) | (692) |
| &nbsp;&nbsp;&nbsp; Property and equipment  |  | (9595) |
| Total deferred tax liabilities  | $(1310) | $(10287) |
| Net deferred tax liabilities  | $— | $— |

---

The Company will only recognize a deferred tax asset when, based on available evidence, realization is more likely than not. The Company has assessed its deferred tax liabilities arising from taxable temporary differences and has concluded such liabilities are not a sufficient source of income for the realization of deferred tax assets, including indefinite life taxable temporary differences which offset, subject to limitation, deferred tax assets with unlimited carryovers. Accordingly, a $94.2 million and $21.8 million valuation allowance has been established as of December 31, 2024 and 2023, respectively. The change in valuation allowance for the year ended December 31, 2024 was $72.4 million.

As of December 31, 2024, the Company has $198.0 million of federal net operating carryforwards with an unlimited carryforward period. There was $111.3 million of federal net operating carryforwards with an unlimited carryforward period as of December 31, 2023. As of December 31, 2024 and December 31, 2023, the Company had $155.6 million and $65.4 million of state net operating loss carryforwards, respectively, which expire at various dates through 2044.

Under the ASC 740 guidance for uncertainty in income taxes, tax positions initially need to be recognized in the financial statements when it is more likely than not the position will be sustained upon

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
examination by the tax authorities. As of December 31, 2024 and 2023, the Company had no uncertain tax positions that qualify for either recognition or disclosure in the financial statements.

12. #### COMMITMENTS AND CONTINGENCIES
 *Community Host Agreement* 

As mentioned in Note 1 "General Information", the Company signed a host community agreement with the City of Chicago to develop a Permanent Facility, Bally's Chicago, for $1.34 billion. No assurance can be made that this estimate will not materially change during the development of the facility. As of December 31, 2024, approximately $1.0 billion of this commitment remains.

In connection with the entry into the host community agreement with the City of Chicago, the Company will is required to pay annual fixed host community impact fees of $4.0 million. Additionally, Bally's Corporation provided the City of Chicago with a performance guaranty whereby Bally's Corporation agreed to have and maintain available financial resources in an amount reasonably sufficient to allow the Company to complete its obligations under the host community agreement. Upon notice from the City of Chicago that the Company has failed to perform various obligations under the host community agreement, Bally's Corporation has indemnified the City of Chicago against any and all liability, claim or reasonable and documented expense the City of Chicago may suffer or incur by reason of any nonperformance of any of the Company's obligations. The guaranty will terminate two years after the later of (i) the date on which the Permanent Facility commences operations or (ii) the date on which Bally's Chicago achieves final completion as defined in the host community agreement.

 *Casino Fees* 

Under the Illinois Gambling Act, the Company will be responsible to pay the Illinois Gaming Board a reconciliation fee payment three years after the date operations commenced (in a temporary or permanent facility) in an amount equal to 75% of the adjusted gross receipt ("AGR") for the most lucrative 12-month period of operations, minus the amount equal to the initial payment per gaming position paid.

 *Corporate Services Agreement* 

The Company's Corporate Services Agreement with Bally's Corporation requires a fixed monthly payment of $5.0 million, which began in September 2023 with the commencement of operations at the Temporary Facility. The Corporate Services Agreement provides the Company with certain administrative and corporate services from Bally's Management Group, LLC, a wholly owned subsidiary of Bally's Corporation. These fixed payments are in addition to personnel and administrative costs allocated to the Company, based on an estimated percentages of time spent on the Company's activities by corporate employees. In accordance with the corporate services agreement, the Company recorded $60.0 million and $20.0 million during the years ended December 31, 2024 and 2023, respectively, within Management fees from Bally's Corporation in the consolidated statements of operations.

13. #### SEGMENT REPORTING
During the third quarter of 2024, the Company updated its operating and reportable segments to align with how the business is being managed. A change in the way the Company's chief operating decision maker makes operating decisions, assesses the performance of the business and allocates resources was driven by the Company taking possession of the land underlying the permanent casino project during the quarter. As a result of this segment re-alignment, the Company determined it had two operating and reportable segments: Temporary Casino and Permanent Casino. The "Other adjustments" include certain unallocated corporate operating expenses and other adjustments to reconcile to the Company's consolidated results including, among other expenses, compensation for certain executives and other transaction costs. The prior year results presented below were reclassified to conform to the new segment presentation.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the Temporary Casino operating segment, the Company's measure of segment performance is Adjusted EBITDAR (defined below). Management believes segment Adjusted EBITDAR is representative of its ongoing business operations including its ability to service debt and to fund capital expenditures and its operations, in addition to it being a commonly used measure of performance in the gaming industry and used by industry analysts to evaluate operations and operating performance. For the Permanent Casino operating segment, the measure of segment performance is operating income (loss).

The Company's chief operating decision maker (the "CODM") is its President. Temporary Casino Adjusted EBITDAR and Permanent Casino operating income (loss) are utilized by the CODM to analyze and evaluate period-to-period performance of the business and are used as determining factors for performance-based compensation for members of the Company's management.

The following table sets forth the measures of segment performance for the Company's two reportable segments, reconciled to net loss on a consolidated basis. The Other adjustments category is included in the following table in order to reconcile the segment information to the Company's consolidated financial statements.

---

| | | | |
|:---|:---|:---|:---|
| **(in thousands)**  | **Year Ended <br> December 31, 2024**  | **Year Ended <br> December 31, 2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **Revenue** |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | $128693 | $32177 | $— |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total revenue  | $128693 | $32177 | $— |
| **Permanent Casino Loss from Operations**  | $(163757) | $(2227) | $— |
| **Temporary Casino Adjusted EBITDAR<sup>(1)</sup>**  | $11250 | $7721 | $— |
|  **Reconciliation of segment performance measures to net loss:**  |  |  |  |
| Temporary Casino Operating costs and expenses: |  |  |  |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | (18300) | (5705) |  |
| &nbsp;&nbsp;&nbsp; Expansion costs<sup>(2)</sup>  | (112) | (22865) | (15057) |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | (60000) | (20000) | (424) |
| Total other expense, net<sup>(3)</sup>  | (5425) | (10148) | (1617) |
| Other adjustments  | (1786) | (3141) |  |
| **Total Net loss**  | $(238130) | $(56365) | $(17098) |

---

(1) Adjusted EBITDAR is defined as earnings, or loss, for the Temporary Casino before interest expense, net of interest income, provision (benefit) for income taxes, depreciation and amortization, non-operating (income) expense, expansion costs, management fees to Bally's Corporation, rent expense from triple net operating leases, and certain other gains or losses.

(2) The Company defines expansion expenses as costs incurred in connection with the opening of a new facility or significant expansion of an existing property. Costs classified as expansion consist primarily of marketing, master planning, conceptual design fees and legal and professional fees that are not eligible for capitalization and are included in "General and administrative" on the consolidated statements of operations.

(3) Total other expense, net for the years ended December 31, 2024 and 2023, and the period from May 24, 2022 (date of inception) to December 31, 2022 was included within the Permanent Casino reportable segment, and includes primarily interest expense.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
The following tables sets forth significant segment expenses and other segment items by reportable segment (in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,**  | **Year Ended December 31,**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| | **2024**  | **2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **Temporary Casino** |  |  |  |
| Revenue  | $128693 | $32177 | $— |
| Less: segment expenses |  |  |  |
| &nbsp;&nbsp;&nbsp; Marketing costs  | 18778 | 2791 |  |
| &nbsp;&nbsp;&nbsp; Gaming tax  | 35770 | 6982 |  |
| &nbsp;&nbsp;&nbsp; Compensation  | 36986 | 9374 |  |
| &nbsp;&nbsp;&nbsp; Casino property costs  | 9001 | 2566 |  |
| &nbsp;&nbsp;&nbsp; General and administrative  | 7287 | 2031 |  |
| &nbsp;&nbsp;&nbsp; Other segment items<sup>(1)</sup>  | 9621 | 712 |  |
| Segment EBITDAR  | $11250 | $7721 | $— |
| **<u>Permanent Casino</u>** |  |  |  |
| Revenue  | $— | $— | $— |
| Less: segment expenses |  |  |  |
| &nbsp;&nbsp;&nbsp; Expansion costs  | 7701 | 2227 |  |
| &nbsp;&nbsp;&nbsp; Rent expense  | 6056 |  |  |
| &nbsp;&nbsp;&nbsp; Loss on sale-leaseback  | 150000 |  |  |
| Permanent Casino Loss from Operations  | $(163757) | $(2227) | $— |

---

(1) Other segment items for includes Gaming and non-gaming expenses and certain other immaterial costs and allocations.

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,**  | **Year Ended December 31,**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **(in thousands)**  | **2024**  | **2023**  | **Period from <br> May 24, 2022 <br> (date of inception) to <br> December 31, 2022**  |
| **Capital Expenditures** |  |  |  |
| Temporary Casino  | $1672 | $66637 | $4764 |
| Permanent Casino  | 133608 | 124541 | 3747 |
| &nbsp;&nbsp;&nbsp; Total  | $135280 | $191178 | $8511 |

---

---

| | | |
|:---|:---|:---|
| | **December 31,**  | **December 31,**  |
| **(in thousands)**  | **2024**  | **2023**  |
| **Total assets** |  |  |
| Temporary Casino  | $79208 | $141870 |
| Permanent Casino  | 512686 | 591019 |
| Other<sup>(1)</sup> | 8011 | 4378 |
| &nbsp;&nbsp;&nbsp; Total  | $599905 | $737267 |

---

(1) Other primarily includes capitalized costs associated with the Company's proposed initial public offering and certain other unallocated Corporate assets.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
14. #### SUBSEQUENT EVENTS
In accordance with ASC 855, *Subsequent Events*, the Company has evaluated all events and transactions that occurred after December 31, 2024, through March 31, 2025, the date the financial statements were issued. Based upon this review, other than as described below, the Company did not identify any subsequent events that would have required adjustment or disclosure in the consolidated financial statements.

 *Litigation* 

On January 29, 2025, the American Alliance for Equal Rights and certain other individuals filed a complaint against the City of Chicago, certain members of the Illinois Gaming Board, and the Company, alleging that the Class A Qualification violates federal laws and seeking, among other remedies, permanent injunctions to prevent the Illinois Gaming Board members from enforcing 230 ILCS 10/6(a-5)(9), to allow shareholders to sell their Class A Interests to white males, to mandate the rescission of the Host Community Agreement ("HCA"), and to require the rescission of shares sold under the Class A Qualification Criteria. In addition, on January 30, 2025, a complaint was filed against the City of Chicago (including the Mayor and Treasurer in their official capacities), certain members of the Illinois Gaming Board, and the Company, also alleging that the Class A Qualification violates federal laws and seeking, among other remedies, permanent injunctions to prevent the implementation of the HCA's requirements for minority and woman ownership in the Company, and to prevent the exclusion of "otherwise qualified individuals" from participating in the Company's ownership, Board, or employment. On January 31, 2025, an emergency motion was filed for preliminary injunction and temporary restraining order, seeking to preclude the closing of the offering while the case proceeds on the merits. On February 6, 2025, the court denied the plaintiffs' request for a temporary restraining order to enjoin this offering.

The Company expects to incur substantial costs defending this lawsuit and if any person were to bring such a lawsuit against the Company in the future, the Company could incur additional substantial costs defending against any additional lawsuits. In addition, the time and attention of the Company's management could be diverted from the business and operations. Furthermore, in the event that a court were to find the Class A Qualification Criteria to be invalid or unconstitutional, the Company could be found liable for monetary damages against the plaintiffs and the HCA could be terminated, which could adversely affect our ability to operate our casinos and could materially adversely affect our business, financial condition and results of operations.

 *Changes to Authorized Shares* 

On March 10, 2025, in connection with the Company's consummation of its private offerings, the Company amended its Certificate of Incorporation to establish Class A and Class B Interests of the Company's common stock, and authorize the issuance of up to a total of 34,300 shares of all classes in the Company.

The total number of shares of all classes of stock the Company is authorized to issue consists of the following: (i) 300 shares of Class A-1 common stock, with a par value of $0.001 per share (the "Class A-1 Interests"); (ii) 300 shares of Class A-2 common stock, with a par value of $0.001 per share (the "Class A-2 Interests"); (iii) 200 shares of Class A-3 common stock, with a par value of $0.001 per share (the "Class A-3 Interests"); (iv) 3,500 shares of Class A-4 common stock, with a par value of $0.001 per share (the "Class A-4 Interests" and, together with Class A-1 Interest, Class A-2 Interests, and Class A-3 Interests, the "Class A Interests"); and (v) 30,000 shares of Class B common stock, with a par value of $0.001 per share (the "Class B Interests"). Each Class A and Class B Interest entitles its holder to one vote per share and shares of Class B Interests may only be held Bally's Corporation's wholly-owned subsidiary Bally's Chicago Holding Company, LLC (the "Holding Company").

Upon the effectiveness of the amended Certificate of Incorporation, each share of the Company's 100 common shares outstanding was reclassified into 300 shares of Class B Interests, for a total of 30,000 Class B Interests outstanding.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
 *Issuance of Class A Interests* 

On March 10, 2025, the Company sold a total of 1,185 Class A Interests to certain accredited investors for an aggregate purchase price of $13.2 million, consisting of the following share classes and price per share:

---

| | | |
|:---|:---|:---|
| **Share Class**  | **Number of Shares**  | **Price Per Share**  |
| Class A-1  | 272 | $250 |
| Class A-2  | 281 | $2500 |
| Class A-3  | 171 | $5000 |
| Class A-4  | 461 | $25000 |

---

The Company also sold an additional 2,800 shares of Class A-4 Interests to the Holding Company at a purchase price of $25,000 per share. Consideration received included cash of $63.7 million and $6.3 million of shares issued in lieu of payment on the promissory notes payable by the Company to the Holding Company. Refer to Note 3 "Related Party Transactions" for further information.

 *Subordinated Loan Agreement* 

In connection with the issuance of these shares, the Company entered into a subordinated loan agreement with the Holding Company, pursuant to which the Holding Company made subordinated term loans (the "Subordinated Loans") to the Company totaling $16.5 million at an annual interest rate of 11%, compounded quarterly, with no maturity date. The Subordinated Loans were funded through the Holding Company's transfer of 659 Class A-4 shares to the Company.

 *Limited Liability Company Agreement* 

On March 10, 2025, the Company amended and restated its limited liability company agreement with Bally's Chicago Operating Company, LLC, converting the Company's existing shares into LLC Interests and appointing the Company as the sole managing member of Bally's Chicago Operating Company, LLC.

Subsequent to the above transactions, the Company purchased 3,326 LLC interests of Bally's Chicago Operating Company, LLC from Bally's Chicago Operating Company, LLC for total purchase price of $83.2 million. The Company will continue to consolidate Bally's Chicago Operating Company, LLC as the sole managing member in accordance with ASC 810, *Consolidation*, and consequently, the Holding Company's ownership interest in Bally's Chicago Operating Company, LLC will be represented as non-controlling interest in our consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC

#### CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (In thousands, except share data)

---

| | | |
|:---|:---|:---|
| | **March 31, <br> 2025 <br> (Successor)**  | **December 31, <br> 2024 <br> (Predecessor)**  |
| **<u>Assets</u>**  |  |  |
| Cash  | $15597 | $14519 |
| Accounts receivable, net  | 1818 | 1470 |
| Inventory  | 2391 | 2748 |
| Prepaid expenses and other current assets  | 3584 | 4323 |
| Due from related party (Bally's Corporation)  | 974 | 974 |
| **Total current assets**  | 24364 | 24034 |
| Property and equipment, net  | 210472 | 172747 |
| Right of use assets, net  | 267319 | 209977 |
| Goodwill  | 105506 |  |
| Intangible assets  | 316078 | 186221 |
| Other assets  | 10418 | 6926 |
| **Total assets**  | $934157 | $599905 |
| **<u>Liabilities, Redeemable Non-controlling Interest, and Stockholder's Deficit</u>**  |  |  |
| Current portion of lease liabilities  | $4544 | $4323 |
| Accounts payable  | 7517 | 11397 |
| Accrued and other current liabilities  | 28991 | 12563 |
| Promissory notes to related party (Bally's Corporation) (Note 3)  | 642399 | 675528 |
| Due to related party (Bally's Corporation) (Note 3)  | 4790 | 416 |
| **Total current liabilities**  | 688241 | 704227 |
| Long-term portion of lease liabilities  | 264318 | 206297 |
| Subordinated loans due to related party (Bally's Corporation) (Note 3)  | 16475 |  |
| Deferred tax liability  | 5924 |  |
| **Total liabilities**  | 974958 | 910524 |
| **Commitments and contingencies (Note 12)** |  |  |
| **Redeemable non-controlling interest**  | 744387 |  |
| **Stockholders' deficit:** |  |  |
|  Common stock, $0.01 par value no shares authorized issued or outstanding as of <br> March 31, 2025 (Successor); 100 shares authorized, issued and outstanding as <br> of December 31, 2024 (Predecessor)  |  |  |
|  Class A common stock, $0.001 par value, 4,300 shares authorized, and 3,326 shares issued and outstanding as of March 31, 2025 (Successor); Class B common stock, $0.001 par value, and 30,000 shares authorized, issued and outstanding as of March 31, 2025 (Successor)  |  |  |
| Additional paid-in-capital  | 66861 | 974 |
| Accumulated deficit  | (852049) | (311593) |
| **Total stockholders' deficit**  | (785188) | (310619) |
| **Total liabilities, redeemable non-controlling interest, and stockholders' deficit**  | $934157 | $599905 |

---

See accompanying notes to condensed consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC

#### CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) (In thousands, except per share data)

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| | **Period from <br> February 8 <br> to March 31, <br> 2025**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Three <br> Months <br> Ended <br> March 31, <br> 2024**  |
| **Revenue:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | $15935 | $10353 | $28191 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 1861 | 1134 | 3331 |
| Total revenue  | 17796 | 11487 | 31522 |
| **Operating costs and expenses:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Gaming  | 8157 | 6039 | 14472 |
| &nbsp;&nbsp;&nbsp; Non-gaming  | 1462 | 1260 | 1941 |
| &nbsp;&nbsp;&nbsp; General and administrative  | 10196 | 8946 | 15241 |
| &nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | 8871 | 6129 | 15000 |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 4842 | 1985 | 4277 |
| Total operating costs and expenses  | 33528 | 24359 | 50931 |
| **Loss from operations**  | (15732) | (12872) | (19409) |
| **Other income (expense):** |  |  |  |
| &nbsp;&nbsp;&nbsp; Interest income  |  |  | 693 |
| &nbsp;&nbsp;&nbsp; Interest expense, net of amounts capitalized  | (248) |  | (2833) |
| Total other income (expense), net  | (248) |  | (2140) |
| Loss before income taxes  | (15980) | (12872) | (21549) |
| Benefit for income taxes  |  |  |  |
| **Net loss**  | $(15980) | $(12872) | $(21549) |
| Net loss attributable to Redeemable non-controlling interest  | (5613) |  |  |
| **Net loss attributable to Bally's Chicago, Inc.**  | $(10367) | $(12872) | $(21549) |
| Basic loss per share  | $(9223) | $(128720) | $(215490) |
| Weighted average common shares outstanding, basic  | 1124 | 100 | 100 |
| Diluted loss per share  | $(9223) | $(128720) | $(215490) |
| Weighted average common shares outstanding, diluted  | 1124 | 100 | 100 |

---

See accompanying notes to condensed consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC

#### CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' DEFICIT (unaudited) (In thousands, except share data)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| | **Common Stock**  | **Common Stock**  | **Additional <br> Paid-in- <br> Capital**  | **Accumulated <br> Deficit**  | **Total <br> Stockholder's <br> Deficit**  |
| | **Shares <br> Outstanding**  | **Amount**  | **Additional <br> Paid-in- <br> Capital**  | **Accumulated <br> Deficit**  | **Total <br> Stockholder's <br> Deficit**  |
| **Balance as of December 31, 2024 (Predecessor)**  | 100 | $&nbsp;&nbsp;&nbsp;&nbsp;— | $974 | $(311593) | $(310619) |
| &nbsp;&nbsp;&nbsp; Net loss  |  |  |  | (12872) | (12872) |
| **Balance as of February 7, 2025 (Predecessor)**  | 100 | $— | $974 | $(324465) | $(323491) |

---

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Successor**  | **Successor**  | **Successor**  | **Successor**  | **Successor**  | **Successor**  | **Successor**  | **Successor**  | **Successor**  | **Successor**  | **Successor**  |
| | **Redeemable <br> Non-controlling <br> Interest**  | **Common Stock Shares Outstanding**  | **Common Stock Shares Outstanding**  | **Common Stock Shares Outstanding**  | **Common Stock Amount**  | **Common Stock Amount**  | **Common Stock Amount**  | **Additional <br> Paid-in- <br> Capital**  | **Accumulated <br> Deficit**  | **Total <br> Stockholders' <br> Deficit**  |
| | **Redeemable <br> Non-controlling <br> Interest**  | **Common <br> Stock**  | **Class A**  | **Class B**  | **Common <br> Stock**  | **Class A**  | **Class B**  | **Additional <br> Paid-in- <br> Capital**  | **Accumulated <br> Deficit**  | **Total <br> Stockholders' <br> Deficit**  |
|  **Balance as of February 8, 2025 <br> (Successor)**  | $— | 100 |  |  | $&nbsp;&nbsp;&nbsp;&nbsp;— | $&nbsp;&nbsp;&nbsp;&nbsp;— | $&nbsp;&nbsp;&nbsp;&nbsp;— | $974 | $(91682) | $(90708) |
| &nbsp;&nbsp; Reorganization and Private <br> Placement  | 750000 | (100) | 3985 | 30000 |  |  |  | 82362 | (750000) | (667638) |
| &nbsp;&nbsp; Issuance of subordinated loans  |  |  | (659) |  |  |  |  | (16475) |  | (16475) |
| &nbsp;&nbsp; Net Loss  | (5613) |  |  |  |  |  |  |  | (10367) | (10367) |
|  **Balance as of March 31, 2025 <br> (Successor)**  | $744387 |  | 3326 | 30000 | $— | $— | $— | $66861 | $(852049) | $(785188) |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  | **Predecessor**  |
| | **Common Stock**  | **Common Stock**  | **Additional <br> Paid-in- <br> Capital**  | **Accumulated <br> Deficit**  | **Total <br> Stockholder's <br> Deficit**  |
| | **Shares <br> Outstanding**  | **Amount**  | **Additional <br> Paid-in- <br> Capital**  | **Accumulated <br> Deficit**  | **Total <br> Stockholder's <br> Deficit**  |
| **Balance as of December 31, 2023 (Predecessor)**  | 100 | $&nbsp;&nbsp;&nbsp;&nbsp;— | $974 | $(73463) | $(72489) |
| &nbsp;&nbsp;&nbsp; Net loss  |  |  |  | (21549) | (21549) |
| **Balance as of March 31, 2024 (Predecessor)**  | 100 | $— | $974 | $(95012) | $(94038) |

---

See accompanying notes to condensed consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC

#### CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Three Months <br> Ended <br> March 31, <br> 2024**  |
| **Cash flows from operating activities:** |  |  |  |
| Net loss  | $(15980) | $(12872) | $(21549) |
|  Adjustments to reconcile net loss to net cash used in operating activities  |  |  |  |
| &nbsp;&nbsp;&nbsp; Depreciation and amortization  | 4842 | 1985 | 4277 |
| &nbsp;&nbsp;&nbsp; Non-cash lease expense  | 206 | 415 | 937 |
| &nbsp;&nbsp;&nbsp; Bad debt expense  | 29 | 21 |  |
| &nbsp;&nbsp;&nbsp; Change in operating assets and liabilities:  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts receivable  | (575) | 177 | 74 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Inventory  | 76 | 281 | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses and other current assets  | 671 | 68 | 862 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable  | 3700 | 261 | 3032 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Current portion of lease liabilities  | 1337 | (1986) | (889) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued and other current liabilities  | (5337) | 5514 | 1489 |
| Net cash used in operating activities  | (11031) | (6136) | (11765) |
| **Cash flows from investing activities:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Capital expenditures  | (22941) | (10969) | (18353) |
| Net cash used in investing activities  | (22941) | (10969) | (18353) |
| **Cash flows from financing activities:** |  |  |  |
| &nbsp;&nbsp;&nbsp; Financing from Bally's Corporation  | 31774 | 22622 | 31921 |
| &nbsp;&nbsp;&nbsp; Repayment of promissory notes to Bally's Corporation  | (76776) |  |  |
| &nbsp;&nbsp;&nbsp; Issuance costs  | (789) | (1452) | (6) |
| &nbsp;&nbsp;&nbsp; Proceeds from Private Placement  | 13151 |  |  |
| &nbsp;&nbsp;&nbsp; Private Placement proceeds from Bally's Corporation  | 63625 |  |  |
| Net cash provided by financing activities  | 30985 | 21170 | 31915 |
| Net change in cash and restricted cash  | (2987) | 4065 | 1797 |
| Cash and restricted cash, beginning of period  | 18584 | 14519 | 71305 |
| **Cash and restricted cash, end of period**  | $15597 | $18584 | $73102 |
| *Supplemental disclosure of cash flow information:* |  |  |  |
| Cash paid for interest, net of amounts capitalized  | $— | $— | $3789 |
| *Non-cash investing and financing activities:* |  |  |  |
| Unpaid property and equipment  | 18133 | 11403 | 11193 |
| Unpaid issuance costs  | 3276 | 485 |  |
| Issuance of subordinated loans to Bally's Corporation  | 16475 |  |  |
| Issuance of redeemable non-controlling interest  | 750000 |  |  |
|  Issuance of shares to Bally's Corporation in lieu of promissory note <br> repayment  | 6325 |  |  |
| Land development liability  |  |  | 956 |

---

See accompanying notes to condensed consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
1. #### GENERAL INFORMATION
 *Description of Business* 

Bally's Chicago, Inc. (the "Company", "Bally's Chicago") was formed on May 24, 2022 and is a majority owned subsidiary of Bally's Chicago Holding Company, LLC (the "Holding Company"), a wholly owned subsidiary of Bally's Corporation. Bally's Chicago is a gaming, hospitality and entertainment company with the singular focus of building and operating a world-class entertainment destination resort in Chicago, Illinois. The Company intends to provide both Chicago residents and business and leisure travelers visiting Chicago with physical and interactive entertainment and gaming experiences.

On June 9, 2022, a wholly-owned subsidiary of the Company, Bally's Chicago Operating Company, LLC (the "Operating Company"), signed a host community agreement with the City of Chicago to develop a destination casino resort, to be named Bally's Chicago, in downtown Chicago, Illinois that will include approximately 3,400 slot machines, 170 table games, 10 food and beverage venues, 500 hotel rooms, a 65,000 square foot entertainment and event center, a 20,000 square foot exhibition, outdoor music venue, 3,300 parking spaces and an outdoor green space. The project also provided the Company with the exclusive right to operate a temporary casino for up to three years while the permanent casino resort is constructed.

During construction of the permanent facility, the City of Chicago gave the Company the ability to build a temporary casino in downtown Chicago (the "Temporary Facility"). The Company opened the Temporary Facility situated in the location of the current Medinah Temple on September 9, 2023, which includes approximately 900 gaming positions and five food and beverage venues. The Company incurred approximately $70.0 million in costs in connection with the design and development of the temporary casino. The Company currently estimates the permanent casino (the "Permanent Facility") construction to be materially completed by the third quarter of 2026 (Successor). However, there can be no assurances that the Company will be successful in so doing. Any increased construction costs could materially and adversely affect the return on the Company's investments.

 *Bally's Corporation* 

The Company's public company parent, Bally's Corporation ("Bally's" or the "Parent"), is a global gaming, hospitality and entertainment company with a portfolio of casinos and resorts and online gaming businesses. Bally's Corporation provides its customers with physical and interactive entertainment and gaming experiences, including traditional casino offerings, iCasino, online bingo games, sportsbook and free-to-play.

 *The Merger* 

On February 7, 2025 (the "Closing Date"), Bally's Corporation completed a merger (the "Merger") with SG Parent LLC, a Delaware limited liability company ("SG Parent"), The Queen Casino & Entertainment, Inc., a Delaware corporation and affiliate of Parent ("Queen"), Epsilon Sub I, Inc., a Delaware corporation and wholly owned subsidiary of the Company ("Merger Sub I"), Epsilon Sub II, Inc., a Delaware corporation and wholly owned subsidiary of the Company ("Merger Sub II", and together with the Company and Merger Sub I, (the "Company Parties"), and, solely for purposes of specified provisions thereof, SG CQ Gaming LLC, a Delaware limited liability company ("SG Gaming" and together with Parent and Queen, the "Buyer Parties"). The Merger with Queen was accounted for as a transaction between entities under common control and resulted in a change in control, in accordance with Accounting Standards Codification ("ASC") 805, Business Combinations ("ASC 805"), due to the control of Bally's Corporation and Queen by SG Parent and its affiliates before and after the Merger. Bally's Corporation elected to push down SG Parent's basis in its net assets into its financial statements.

To better align the accounting and presentation with our public company parent, the Company has also determined that it will elect to apply pushdown accounting in these standalone financial statements. As

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
a result of the application of pushdown accounting, these financial statements reflect the Company's basis in the assets and liabilities of Bally's Corporation, which were remeasured to fair value as of the Closing Date.

The financial information for the period ended March 31, 2024, and the period from January 1 to February 7, 2025, reflects the historical cost basis of accounting for Bally's Chicago, Inc., prior to the pushdown of the Merger. These are referred to as the "Predecessor periods."

The period from February 8 to March 31, 2025, is termed the "Successor period." This period reflects the costs, activities, and recognition of the Company's assets and liabilities at their fair values due to pushdown accounting applied at the time of the Merger. The differences in accounting due to the acquisition method and the application of pushdown accounting mean the results of operations, cash flows, and financial information for the Successor period are not comparable to those of the Predecessor periods. A black line between the Successor and Predecessor periods has been placed in the condensed consolidated financial statements and in the tables to the notes to the condensed consolidated financial statements to highlight the lack of comparability between these two periods. Refer to Note 2 "Summary of Significant Accounting Policies" for further information on the Company's basis of presentation and consolidation as a result of Bally's transactions under its previously announced transactions under the Agreement and Plan of Merger (as amended, the "Merger Agreement") with SG Parent LLC, a Delaware limited liability company.

 *Going Concern* 

The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business and the ability of the Company to continue as a going concern for a reasonable period of time.

In accordance with ASC 205-40, Going Concern, ("ASC 205-40") the Company evaluated the severity of the following adverse conditions that raise substantial doubt about its ability to continue as a going concern as of the date the accompanying financial statements were issued (the "issuance date").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • The Company has incurred significant losses and negative cash flows from operations since its inception and expects to continue to incur such losses and negative cash flows for the foreseeable future. In this regard, the Company incurred a net loss and used net cash in its operations of approximately $16.0 million and $11.0 million, respectively for the period from February 8 to March 31, 2025 (Successor) and $12.9 million and $6.1 million, respectively, for the period from January 1 to February 7, 2025 (Predecessor). In addition, the Company has an accumulated deficit of $852.0 million and approximately $15.6 million of cash on hand as of March 31, 2025 (Successor). As a result, the Company has been dependent of Bally's Corporation since its inception to fund substantially all of the Company's obligations as they become due and expects to continue to remain dependent on such funding for the foreseeable future.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • As disclosed in Note 12 "Commitments and Contingencies", the Company is subject to a number of contractual obligations and commitments associated with the operation of the Temporary Facility and construction of the Permanent Facility, which includes the total committed costs that are expected to be incurred to construct the Permanent Facility of approximately $1.0 billion over the next two years. Refer to Note 11 "Leases" for further information on the funding of the Permanent Facility construction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • As of the issuance date, the Company did not have sufficient capital or available liquidity to fund the obligations and commitments that are expected to become due over the next twelve months beyond the issuance date. In particular, while the Temporary Facility commenced operations on September 9, 2023 (Predecessor), the Company has not yet generated an ongoing source of net cash inflows from operations that are sufficient to cover the cost of operating the Temporary Facility, as well as construction costs associated with the Permanent Facility that are expected to be incurred over the next twelve months beyond the issuance date.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
In response to the foregoing adverse financial conditions, the Company obtained a letter of support whereby Bally's Corporation has committed to fund all of the Company's operating, investing, and financing activities through at least December 31, 2026 and has further committed not to make any decision or action that would reasonably be expected to negatively affect the Company's ability to continue as a going concern through at least December 31, 2026.

The accompanying condensed consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

2. #### SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 *Basis of Presentation* 

The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules of the Securities and Exchange Commission (the "SEC") for interim financial information, including Rule 10-01 of the SEC's Regulation S-X. Accordingly, certain information and note disclosures normally required in complete financial statements prepared in conformity with accounting principles generally accepted in the United States ("US GAAP") have been condensed or omitted. In the Company's opinion, these condensed consolidated financial statements include all adjustments necessary for a fair presentation of the financial position, results of operations and cash flows for the interim periods presented.

These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's annual financial statements for the year ended December 31, 2024 (Predecessor) included elsewhere in this registration statement.

We have made estimates and judgments affecting the amounts reported in our condensed consolidated financial statements and the accompanying notes. The actual results that we experience may differ materially from our estimates.

 *Changes to Authorized Shares* 

On March 10, 2025 (Successor), in connection with the Company's consummation of its private offering (the "Private Placement") (described below), the Company amended its Certificate of Incorporation to establish Class A and Class B Interests of the Company's common stock, and authorize the issuance of up to a total of 34,300 shares of all classes in the Company.

The total number of shares of all classes of stock the Company is authorized to issue consists of the following: (i) 300 shares of Class A-1 common stock, with a par value of $0.001 per share (the "Class A-1 Interests"); (ii) 300 shares of Class A-2 common stock, with a par value of $0.001 per share (the "Class A-2 Interests"); (iii) 200 shares of Class A-3 common stock, with a par value of$0.001 per share (the "Class A-3 Interests"); (iv) 3,500 shares of Class A-4 common stock, with a par value of $0.001 per share (the "Class A-4 Interests" and, together with Class A-1 Interest, Class A-2 Interests, and Class A-3 Interests, the "Class A Interests"); and (v) 30,000 shares of Class B common stock, with a par value of $0.001 per share (the "Class B Interests"). Each Class A and Class B Interest entitles its holder to one vote per share, with no economic interest in the Company and shares of Class B Interests may only be held by the Holding Company.

Upon the effectiveness of the amended Certificate of Incorporation, each share of the Company's 100 common shares outstanding was reclassified into 300 shares of Class B Interests, for a total of 30,000 Class B Interests outstanding.

 *Reorganization and Private Placement* 

On March 10, 2025 (Successor), as part of the Private Placement, the Company sold a total of 1,185 Class A Interests to certain accredited investors, raising $13.2 million in gross proceeds, consisting of the following share classes and price per share:

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

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| | | |
|:---|:---|:---|
| **Share Class**  | **Number of Shares**  | **Price Per Share**  |
| Class A-1  | 272 | $250 |
| Class A-2  | 281 | $2500 |
| Class A-3  | 171 | $5000 |
| Class A-4  | 461 | $25000 |

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The Company also sold an additional 2,800 shares of Class A-4 Interests to the Holding Company at a purchase price of $25,000 per share. Consideration received from the Holding Company included cash of $63.7 million and $6.3 million of shares in lieu of payment on its outstanding promissory notes payable by the Company to the Holding Company.

In connection with the Private Placement, in March 2025 the Company also consummated a reorganization (the "Reorganization"), where it amended and restated its limited liability company agreement with the Operating Company, converting the Operating Company's existing shares into LLC Interests and appointed the Company as the sole managing member of the Operating Company. As part of the reorganization, the Holding Company was issued 30,000 LLC interests in the Operating Company, valued at $750.0 million, or $25,000 per interest. The Company subsequently purchased 3,326 LLC interests from the Operating Company for a total purchase price of $83.2 million.

In connection with the Private Placement, the Company entered into a subordinated loan agreement with the Holding Company, pursuant to which the Holding Company made subordinated term loans (the "Subordinated Loans"), based on the number of Class A-1, A-2 and A-3 Interests sold in the Private Placement, to the Company totaling $16.5 million, which were funded through the Holding Company's transfer of 659 Class A-4 shares back to the Company. Refer to Note 3 "Related Party Transactions" for further information.

As a result of the Private Placement and Reorganization, the Holding Company's combined Class A-4 and Class B Interests give the Holding Company 96.4% of the voting power in the Company, and its LLC Interests give the Holding Company a 90.0% economic interest in the Operating Company.

The Company as the sole managing member, operating as a holding company with its principal asset being the LLC interests, consolidates the Operating Company in accordance with ASC 810, recognizing the Holding Company's 90.0% economic interest as a redeemable non-controlling interest in its financial statements. Refer to Note 14 "Redeemable Non-controlling Interest" for further information.

 *Cash* 

The Company considers all cash balances and highly liquid investments with an original maturity of three months or less to be cash and cash equivalents. As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), the Company has cash of $15.6 million and $14.5 million, respectively.

 *Accounts Receivable* 

Accounts receivable consists of the following:

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| | | |
|:---|:---|:---|
| **(in thousands)**  | **March 31, 2025 <br> (Successor)**  | **December 31, 2024 <br> (Predecessor)**  |
| Gaming receivables  | $1561 | $1151 |
| Non-gaming receivables  | 325 | 337 |
| &nbsp;&nbsp;&nbsp; Accounts receivable  | 1886 | 1488 |
| Less: Allowance for doubtful accounts  | (68) | (18) |
| Accounts receivable, net  | $1818 | $1470 |

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 *Advertising Expenses* 

The Company expenses advertising costs as incurred and is included in "General and administrative" on the condensed consolidated statements of operations. Advertising expense was $0.5 million, $0.2 million and $2.7 million, respectively, for the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor).

 *Expansion Expenses* 

The Company expenses expansion costs as incurred. The Company defines expansion expenses as costs incurred in connection with the opening of a new facility or significant expansion of an existing property. Costs classified as expansion costs consist primarily of marketing, master planning, conceptual design fees and legal and professional fees that are not eligible for capitalization and are included in "General and administrative" on the condensed consolidated statements of operations. Expansion expenses for the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor) were $0.5 million, $1.4 million and $1.9 million, respectively.

 *Defined Contribution Plans* 

The Company participates in the Bally's Corporation retirement savings plan under Section 401(k) of the Internal Revenue Code covering its employees. The plan allows employees to defer up to the lesser of the Internal Revenue Code prescribed maximum amount or 100% of their income on a pre-tax basis through contributions to the plan. Total employer contribution expense attributable to defined contribution plans was $0.1 million for both the the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor), and $0.2 million for and the three months ended March 31, 2024 (Predecessor).

 *Fair Value Measurements* 

Fair value is determined using the principles of ASC 820, *Fair Value Measurement*. Fair value is described as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy prioritizes and defines the inputs to valuation techniques as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Level 1: Observable quoted prices (unadjusted) for identical assets or liabilities in active markets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Level 2: Inputs are observable for the asset or liability either directly or through corroboration with observable market data.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; • Level 3: Unobservable inputs.

The inputs used to measure the fair value of an asset or a liability are categorized within levels of the fair value hierarchy. The fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the measurement.

As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), the Company had cash of $15.6 million and $14.5 million, respectively, which was measured at fair value on a recurring basis and is classified within Level 1 of the fair value hierarchy.

 *Earnings Per Share (EPS)* 

We have two classes of common stock in the form of Class A Interests and Class B Common Stock. Our Class A Interests are entitled to discretionary dividends, subject to the impact of liquidation and distribution priority of the subordinated loans on the Class A-1, Class A-2 and Class A-3 Interests. While the Class A-1 Interests and Class A-2 Interests are legally outstanding, they are not considered outstanding

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
for accounting purposes, and are treated as equity classified warrants. Each of the respective Class A-3 and Class A-4 Interests represent different classes of common stock for the purposes of the Company's earnings per share ("EPS") computation. We apply the two-class method for purposes of calculating earnings per share of common stock for the Class A-3 and Class A-4 Interests. The two-class method determines earnings per share of common stock and participating securities according to dividends or dividend equivalents declared during the period and each security's respective participation rights in undistributed earnings and losses. The number of Class A-3 Interests included in the denominator of the basic and diluted loss per share computation are the share equivalent number of partially paid Class A-4 share, as Class A-3 Interests are considered partially outstanding based on the proportion of amounts paid relative to the full value of a Class A-4 Interest. The Class B Common Stock do not have rights to participate in dividends or undistributed earnings, as such, have no impact on the Company's computation of EPS.

There were 690 Class A Interests that were considered anti-dilutive for the period from February 8 to March 31, 2025 (Successor). As the unaudited condensed consolidated statements of operations is in a net loss position for this period, the potentially dilutive effects of these shares were excluded from the calculation of diluted loss per share because of the effect of including such potentially dilutive shares would have been anti-dilutive upon conversion under the if-converted method. There were no shares that were considered anti-dilutive for the period from January 1 to February 7, 2025 (Predecessor) or the three months ended March 31, 2024 (Predecessor).

 *Goodwill and Intangible Assets* 

Goodwill is tested for impairment on an annual basis in the fourth fiscal quarter, or sooner if an indicator of impairment occurs. To determine whether goodwill is impaired, the Company first assesses certain qualitative factors. Based on this assessment, if it is determined more likely than not that the fair value of a reporting unit is less than its carrying value, the Company performs a quantitative analysis of the goodwill impairment test.

The Company's intangible asset consists of the Chicago gaming license associated with its casino operations. Following the Merger, the Company's gaming license is classified as finite-lived, and is being amortized over its estimated useful life.

For its finite-lived intangible asset, the Company establishes a useful life upon initial recognition based on the period over which the asset is expected to contribute to the future cash flow of the Company and periodically evaluates the remaining useful life to determine whether events and circumstances warrant a revision to the remaining amortization period. Finite-lived intangible assets are amortized over their remaining useful lives in a pattern in which the economic benefits of the intangible asset are consumed, which is generally on a straight-line basis. The Company reviews the carrying amount of its finite-lived intangible asset for possible impairment whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. Should events and circumstances indicate finite-lived intangible assets may not be recoverable, the Company performs a test for recoverability whereby estimated undiscounted cash flows are compared to the carrying values of the assets. Should the estimated undiscounted cash flows exceed the carrying value, no impairments are recorded. If the undiscounted cash flows do not exceed the carrying values, an impairment is recorded based on the fair value of the asset.

3. #### RELATED PARTY TRANSACTIONS
Operations, as well as assets and liabilities, directly associated with the business activity of the Company are included in the condensed consolidated financial statements. The condensed consolidated financial statements include fees paid in accordance with the corporate services agreement, as described in Note 12 *"*Commitments and Contingencies", providing the Company with certain administrative and corporate services, beginning in September 2023 with the commencement of operations at the Temporary Facility. Additionally, the condensed consolidated financial statements include allocations of certain general, administrative, sales and marketing expenses from its Parent, which management believes is commensurate

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
with services provided at fair value, of $8.9 million, $6.1 million and $15.0 million for the for the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor), respectively. These fees and allocated expenses are recorded within "Management fees to Bally's Corporation" on the condensed consolidated statements of operations. As of March 31, 2025 (Successor), there was a $4.8 million balance of Due to related party (Bally's Corporation) related to administrative expenses.

The Company is dependent on its Parent for a majority of its working capital and financing requirements as Bally's uses a centralized approach to cash management and financing of its operations which are accounted for through a due to/from account. Accordingly, none of Bally's cash, cash equivalents or debt has been assigned to Bally's Chicago in the condensed consolidated financial statements. All expenses paid by Bally's Corporation on the Company's behalf are converted into promissory notes and reported within "Promissory notes to related party (Bally's Corporation)" on the condensed consolidated balance sheet.

On March 31, 2025 (Successor), the Company entered into an additional $50.0 million of promissory notes with Bally's Corporation, for expenses paid on the Company's behalf, due on December 31, 2025. Additionally, during the period from February 8 to March 31, 2025 (Successor), the Company used $76.8 million of cash proceeds from the Private Placement to pay down its promissory notes, and $6.3 million of shares were issued in lieu of payment on the promissory notes payable by the Company to the Holding Company.

As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), promissory notes to related party (Bally's Corporation) consisted of the following:

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| | | | | |
|:---|:---|:---|:---|:---|
| **($ in thousands)**  | **Loan Balance As of <br> March 31, 2025 <br> (Successor)**  | **Loan Balance As of <br> December 31, 2024 <br> (Predecessor)**  | **Due Date**  | **Interest <br> Rate**  |
|  **Promissory notes payable by Bally's Chicago <br> Operating Company, LLC:**  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Bally's Chicago Holding Company, <br> LLC<sup>(1)(2)</sup>  | $640958 | $628617 | December 31, 2025  | —% |
| &nbsp;&nbsp;&nbsp; Bally's Management Group, LLC<sup>(1)(2)</sup>  |  | 40573 | December 31, 2025  | —% |
|  | $640958 | $669190 |  |  |
|  **Promissory notes payable by Bally's Chicago <br> Inc.:**  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Bally's Chicago Holding Company, <br> LLC<sup>(1)(2)</sup>  | $1441 | $6338 | December 31, 2025  | —% |
|  **Promissory notes payable to related party (Bally's Corporation)**  | $**642399** | $**675528** |  |  |

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(1) A wholly owned subsidiary of Bally's Corporation.

(2) Reclassified $40.6 million of promissory notes due to Bally's Management Group, LLC to promissory notes due to Bally's Chicago Holding Company during the period from February 8 to March 31, 2025 (Successor).

As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), the aggregate amount of promissory notes to related party (Bally's Corporation) consisted of cash advances and payments of certain operating expenses made on behalf of the Company. The average aggregate balance of promissory notes to related party (Bally's Corporation) was $655.8 million, $675.5 million and $527.2 million period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor), respectively.

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 *Subordinated Loan Agreement* 

In connection with the Private Placement, the Company entered into a subordinated loan agreement with the Holding Company. Under this agreement, the Holding Company, as the lender, provided the Company, the borrower, with subordinated loans in various tranches and amounts. These amounts were determined by the total number of Class A-1, Class A-2 and Class A-3 Interests sold in the Private Placement. None of the investors purchasing Class A Interests in the Private Placement are a party to the subordinated loan agreement, are non-recourse to the holders of our Class A-1 Interests.

The Company incurred the following subordinated loans for the Class A-1, Class A-2 and Class A-3 Interests sold in the Private Placement (in thousands, except per share data):

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| | | |
|:---|:---|:---|
| **Share Class**  | **Initial Loan per <br> Share<sup>(1)</sup>**  | **Total Subordinated <br> Loans<sup>(2)</sup>**  |
| Class A-1  | $24750 | $6732 |
| Class A-2  | $22500 | 6323 |
| Class A-3  | $20000 | 3420 |
|  |  | $16475 |

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(1) Each subordinated loan issued at annual interest rate of 11%, compounded quarterly, with no maturity date.

(2) As of March 31, 2025 (Successor), total subordinated loans reflects the total original issuance and outstanding principal balance.

In accordance with the Company's amended and restated certificate of incorporation, any cash available for distribution to the holders of Class A-1, Class A-2 and Class A-3 Interests must first be used to repay the principal and accrued interest on the corresponding subordinated loans. For the three months ended March 31, 2025 (Successor), the Company incurred $0.2 million of interest expense related to the subordinated loans, which were recognized within Interest expense, net of amounts capitalized on the Company's unaudited condensed consolidated statement of operations.

4. #### RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS
<u>Standards Implemented</u> 

In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2023-07, *Segment Reporting (Topic 280) — Improvements to Reportable Segment Disclosures*. The amendments in this update enhance the disclosures required for significant segment expenses on an annual and interim basis. The guidance was applied retrospectively and effective for annual reporting periods in fiscal years beginning after December 15, 2023, and interim reporting periods in fiscal years beginning after December 31, 2024. The Company adopted this ASU as of December 31, 2024. Refer to Note 13 "Segment Reporting" for further information.

<u>Standards to Be Implemented</u> 

In October 2023, the FASB issued ASU No. 2023-06, *Disclosure Improvements — Codification Amendments in Response to the SEC's Disclosure Update and Simplification Initiative*. The amendments in this update align the requirements in the ASC to the Securities and Exchange Commission's ("SEC") regulations. The effective date for each amended topic in the ASC is the date on which the SEC's removal of the related disclosure requirement from Regulation S-X or Regulation S-K becomes effective. If by June 30, 2027, the SEC has not removed the related disclosure from its regulations, the amendments will be removed from the Codification and not become effective. Early adoption is prohibited. The Company is currently

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
in the process of evaluating the impact of this amendment on its condensed consolidated financial statements and related disclosures.

In December 2023, the FASB issued ASU No. 2023-09, *Income Taxes (Topic 740) — Improvements to Income Tax Disclosures*. The amendments in this update enhance the transparency and decision usefulness of income tax disclosures. This update will be effective for annual periods beginning after December 15, 2024 with early adoption permitted. The Company is currently in the process of evaluating the impact of this amendment on its condensed consolidated financial statements and related disclosures.

In March 2024, the FASB issued ASU 2024-02, *Codification Improvements — Amendments to Remove References to the Concepts Statements*. This amendment to the Codification removes references to various Concepts Statements. This update will be effective for public business entities for fiscal years beginning after December 15, 2024, with early adoption permitted if adopted as of the beginning of the fiscal year that includes that interim period. The Company is currently in the process of evaluating the impact of this amendment on its condensed consolidated financial statements and related disclosures.

In November 2024, the FASB issued ASU 2024-03, *Income Statement — Reporting Comprehensive Income — Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses*. The amendments in this update require disclosure of certain costs and expenses on an interim and annual basis in the notes to the financial statements. This update will be effective for fiscal years beginning after December 15, 2026, and interim reporting periods in fiscal years beginning after December 15, 2027, with early adoption permitted. The disclosures required under the guidance can be applied either prospectively to financial statements issued for reporting periods after the effective date or retrospectively to any or all periods presented in the financial statements. The Company is currently evaluating the impact that this guidance will have on its financial statement disclosures.

5. #### REVENUE RECOGNITION
The Company recognizes revenue in accordance with ASC 606, *Revenue from Contracts with Customers*, ("ASC 606") which requires the revenue to be recognized when a performance obligation is satisfied by transferring the control of promised goods or services and is measured at the transaction price or the amount of consideration that the Company expects to receive through satisfaction of the identified performance obligations.

The Company generates revenue from three principal sources: (1) gaming, (2) food and beverage, and (3) other.

Sales tax and other taxes collected on behalf of governmental authorities are accounted for on a net basis and are not included in revenue or operating expenses.

<u>Performance Obligations</u> 

Retail gaming service contracts involving our casino, each have an obligation to honor the outcome of a wager and to pay out an amount equal to the stated odds, including the return of the initial wager, if the customer receives a winning hand. These elements of honoring the outcome of the hand of play and generating a payout are considered one performance obligation, with an additional performance obligation for those customers earning incentives under the Company's player loyalty program.

Food and beverage and other services have been determined to be separate, stand-alone performance obligations and revenue is recognized as the good or service is transferred at the point in time of the transaction.

<u>Transaction Price</u> 

The Company applies a practical expedient to account for its gaming contracts on a portfolio basis as such wagers have similar characteristics and the Company reasonably expects the impact on the condensed

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#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
consolidated financial statements of applying the revenue recognition guidance to the portfolio would not differ materially from the application of an individual wagering contract. The transaction price for a retail gaming wagering contract is the difference between wins and losses, not the total amount wagered. In addition, in the event of a multi-stage contest, the Company will allocate transaction price ratably from contest start to the contest's final stage.

The transaction price for food and beverage and other, is the net amount collected from the customer for such goods and services. The standalone selling price of these goods and services are determined based upon the actual retail prices charged to customers for those items.

<u>Revenue Recognition</u> 

The allocated revenue for gaming wagers is recognized when the wagering occurs as all such wagers settle immediately. If a player wins the wager, the Company pays the player a pre-determined amount known as fixed odds, and its revenue is recognized as total wagers net of payouts made and incentives awarded to players. Food and beverage and other revenues are recognized at the time the goods are sold from Company-operated outlets.

The estimated retail value related to goods and services provided to guests without charge or upon redemption under the Company's player loyalty programs included in departmental revenues, and therefore reducing gaming revenues, are as follows for the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor):

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| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, 2025**  | **Period from <br> January 1 to <br> February 7, 2025**  | **Three Months <br> Ended <br> March 31, 2024**  |
| Food and beverage  | $699 | $443 | $1190 |

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The following table provides a disaggregation of total revenue (in thousands):

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| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| | **Period from <br> February 8 to <br> March 31, 2025**  | **Period from <br> January 1 to <br> February 7, 2025**  | **Three Months <br> Ended <br> March 31, 2024**  |
| Gaming  | $15935 | $10353 | $28191 |
| Non-gaming: |  |  |  |
| &nbsp;&nbsp;&nbsp; Food and beverage  | 1440 | 868 | 2600 |
| &nbsp;&nbsp;&nbsp; Other  | 421 | 266 | 731 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total non-gaming revenue  | 1861 | 1134 | 3331 |
| Total revenue  | $17796 | $11487 | $31522 |

---

 *Contract Assets and Contract Related Liabilities* 

The Company's receivables related to contracts with customers are primarily comprised of marker balances and other amounts due from gaming activities. The Company's receivables related to contracts with customers were $0.1 million and $0.1 million as of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), respectively.

The Company has the following liabilities related to contracts with customers: liabilities for loyalty programs, advance deposits made for goods and services yet to be provided and unpaid wagers. All of the contract liabilities are short-term in nature and are included in "Accrued and other current liabilities" in the condensed consolidated balance sheet.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
Loyalty program incentives earned by customers are typically redeemed within one year from when they are earned and expire if a customer's account is inactive for more than 12 months; therefore, the majority of these incentives outstanding at the end of a period will either be redeemed or expire within the next 12 months.

Unpaid wagers include the Company's outstanding chip liability and unpaid slot tickets.

Liabilities related to contracts with customers as of March 31, 2025 (Successor) and December 31, 2024 (Predecessor) were as follows (in thousands):

---

| | | |
|:---|:---|:---|
| | **March 31, 2025 <br> (Successor)**  | **December 31, 2024 <br> (Predecessor)**  |
| Unpaid wagers  | $1809 | $1541 |
| Loyalty programs  | 8 | 51 |
| Advanced deposits from customers  | 160 | 1 |
| Total  | $1977 | $1593 |

---

The Company recognized $173.4 thousand, $88.0 thousand and $44.0 thousand of revenue related to loyalty program redemptions during the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor), respectively.

6. #### BUSINESS COMBINATIONS
 *The Merger & Pushdown Accounting* 

As described in Note 1 "General Information", Bally's elected to apply pushdown accounting at the time of the Merger, which resulted in the following assets and liabilities of the Company to be measured and recognized at their fair values as of the Closing Date.

---

| | |
|:---|:---|
| **(in thousands)**  | **February 7, 2025**  |
| Property and equipment, net  | $183121 |
| Right of use assets, net  | 268014 |
| Goodwill  | 105506 |
| Intangible assets  | 318600 |
| Lease liabilities  | (271080) |
| Deferred tax liability  | (5924) |

---

The purchase consideration in the Merger has been allocated to the Company's tangible and identifiable intangible assets and liabilities based upon their estimated fair values as of the Closing Date, with the excess of the purchase consideration over the aggregate net fair values recorded as goodwill, which is not deductible for tax purposes. Qualitative factors that contribute to the recognition of goodwill include certain intangible assets that are not recognized as separate identifiable intangible assets apart from goodwill, which consist primarily management team experienced in the gaming industry.

Accounts receivable, inventory, other assets, and current liabilities were stated at their historical carrying value, which approximates fair value given the short-term nature of these assets and liabilities. The estimate of fair value for property and equipment was based on an assessment of the assets' condition, as well as an evaluation of the current market value of such assets. The fair value of leasehold interests were estimated based on evaluating contractual rent payments relative to market rent giving consideration to the Company's capitalization rates and rent coverage ratios, under the income method or by estimating the fee simple value and estimated rate of return, depending on the nature of the underlying leasehold interest.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
The valuation of the gaming license intangible asset was determined using using the Greenfield Method under the income approach. This method estimates isolated income that is properly attributable to a license based on modeling a hypothetical start-up company going into business without any other assets than the gaming license being valued and building a new casino with similar utility to the existing casino. Using this method, the valuation of the gaming license was dependent upon significant estimates such as projected revenues and cash flows, estimated construction costs, duration of that construction, expansion costs and appropriate discounting. Level 3 inputs used in estimating future cash flows included a terminal growth rate of 3% and a discount rate of 14.5%. Following the Merger, the gaming license was determined to be finite-lived, with an estimated useful life of 18 years.

The estimated fair values were based on assumptions that the Company believes are reasonable. As of March 31, 2025 (Successor), Bally's Corporation is in the process of completing its valuation of tangible and intangible assets and the allocation of the purchase price to the assets acquired and liabilities assumed, including the goodwill allocation to reporting units, which will be completed once the valuation process has been finalized.

7. #### PREPAID EXPENSES AND OTHER CURRENT ASSETS
As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), prepaid expenses and other current assets was comprised of the following:

---

| | | |
|:---|:---|:---|
| **(in thousands)**  | **March 31, 2025 <br> (Successor)**  | **December 31, 2024 <br> (Predecessor)**  |
| Taxes and license fees  | $2009 | $2675 |
| Services and license agreements  | 725 | 736 |
| Prepaid marketing  | 554 | 468 |
| Gaming taxes  | 226 | 390 |
| Other  | 70 | 54 |
| &nbsp;&nbsp;&nbsp; Total prepaid expenses and other current assets  | $3584 | $4323 |

---

8. #### PROPERTY AND EQUIPMENT
As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), property and equipment was comprised of the following:

---

| | | |
|:---|:---|:---|
| **(in thousands)**  | **March 31, 2025 <br> (Successor)**  | **December 31, 2024 <br> (Predecessor)**  |
| Leasehold improvements  | $24295 | $42513 |
| Equipment  | 20232 | 28096 |
| Furniture and fixtures  | 2513 | 469 |
| Construction in process  | 165753 | 125638 |
| Total property and equipment  | 212793 | 196716 |
| Less: Accumulated deprecation  | (2321) | (23969) |
| Total property and equipment, net  | $210472 | $172747 |

---

Depreciation expense related to property and equipment was $2.3 million, $2.0 million and $4.3 million for the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor), respectively.

As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), the vast majority of the Company's Construction in process was attributable to the development of the Permanent Facility. During

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
the three months ended March 31, 2024, the Company capitalized $1.8 million of interest. There was no interest capitalized during the period from February 8 to March 31, 2025 (Successor) or the period from January 1 to February 7, 2025 (Predecessor).

9. #### GOODWILL AND INTANGIBLE ASSETS
In connection with the Merger, the Company recorded $105.5 million of Goodwill within its Permanent Casino reportable segment. For the period from February 8 to March 31, 2025 (Successor), there were no changes to the goodwill balance.

Additionally, the Company recorded an increase of $132.4 million to Intangible assets, net related to the Company's gaming license in Chicago in connection with the Merger.

As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), the Company's identifiable intangible assets consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(in thousands, except years)**  | **Weighted Average <br> Remaining life <br> (in years)**  | **Gross Carrying <br> Amount**  | **Accumulated <br> Amortization**  | **Net**  |
| **March 31, 2025 (Successor)** |  |  |  |  |
| Gaming license  | 18  | 318600 | (2522) | 316078 |
| &nbsp;&nbsp;&nbsp; Total intangible assets, net  |  | $318600 | $(2522) | $316078 |
| **December 31, 2024 (Predecessor)** |  |  |  |  |
| Gaming licenses  | 1.9  | 250 | (29) | 221 |
| Gaming licenses  | Indefinite  | 186000 |  | 186000 |
| &nbsp;&nbsp;&nbsp; Total intangible assets, net  |  | $186250 | $(29) | $186221 |

---

Amortization of intangible assets was approximately $2.5 million for the period from February 8 to March 31, 2025 (Successor). Amortization expense for the period from January 1 to February 7, 2025 (Predecessor) and he three months ended March 31, 2024 (Predecessor) was de minimus.

The following table reflects the remaining amortization expense associated with the finite-lived intangible assets as of March 31, 2025 (Successor):

---

| | |
|:---|:---|
| **(in thousands)**  |  |
| Remaining 2025  | $13335 |
| 2026  | 17700 |
| 2027  | 17700 |
| 2028  | 17700 |
| 2029  | 17700 |
| Thereafter  | 231943 |
| &nbsp;&nbsp;&nbsp; Total  | $316078 |

---

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
10. #### ACCRUED AND OTHER CURRENT LIABILITIES
As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), accrued liabilities consisted of the following:

---

| | | |
|:---|:---|:---|
| | **March 31, 2025 <br> (Successor)**  | **December 31, 2024 <br> (Predecessor)**  |
| Construction  | $12991 | $2089 |
| Gaming liabilities  | 4487 | 2037 |
| Compensation  | 3056 | 2369 |
| Property taxes  | 1717 | 2246 |
| Legal  | 1924 | 439 |
| Professional service fees  | 4110 | 2699 |
| Other  | 706 | 684 |
| &nbsp;&nbsp;&nbsp; Total accrued and other current liabilities  | $28991 | $12563 |

---

11. #### LEASES
 *<u>Operating Leases</u>* 

As of March 31, 2025 (Successor) and December 31, 2024 (Predecessor), the Company had total operating lease liabilities of $268.9 million and $210.6 million, respectively, and right of use assets of $267.3 million and $210.0 million, respectively.

Components of lease expense included within "General and administrative" for operating leases during the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor) are as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Three Months <br> Ended March 31, <br> 2024**  |
| Operating lease cost  | $3609 | $2560 | $1144 |
| Variable lease cost  | 20 | 14 | 17 |
| &nbsp;&nbsp;&nbsp; Operating lease expense  | 3629 | 2574 | 1161 |
| Short-term lease expense  | 652 | 466 | 832 |
| &nbsp;&nbsp;&nbsp; Total operating lease expense  | $4281 | $3040 | $1993 |

---

Supplemental cash flow and other information related to operating leases for the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor) are as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, <br> 2025**  | **Period from <br> January 1 to <br> February 7, <br> 2025**  | **Three Months <br> Ended March 31, <br> 2024**  |
|  Cash paid for amounts included in the lease liability – operating <br> cash flows from operating leases  | $3650 | $2548 | $1095 |

---

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

---

| | | |
|:---|:---|:---|
| | **March 31, 2025 <br> (Successor)**  | **December 31, 2024 <br> (Predecessor)**  |
| Weighted average remaining lease term  | 93.9 | 92.9 |
| Weighted average discount rate  | 7.9% | 9.9% |

---

As of March 31, 2025 (Successor), future minimum lease payments under noncancelable operating leases are as follows:

---

| | |
|:---|:---|
| **(in thousands)**  |  |
| Remaining 2025  | $18591 |
| 2026  | 24714 |
| 2027  | 20094 |
| 2028  | 20000 |
| 2029  | 20000 |
| Thereafter  | 1837667 |
| &nbsp;&nbsp;&nbsp; Total lease payments  | 1941066 |
| Less: present value discount  | (1672204) |
| &nbsp;&nbsp;&nbsp; Lease obligations  | $268862 |

---

 *<u>Pending Lease Transactions</u>* 

On July 11, 2024 (Predecessor), the Company entered into a Binding Term Sheet to form a strategic construction and financing arrangement with GLP Capital, L.P. ("GLP") which includes the funding to complete the construction of the Permanent Facility. GLP will amend the existing land lease through a new master lease agreement with the Company ("Chicago MLA"). The Chicago MLA includes annual rent of $20.0 million, subject to customary escalation provisions. The Chicago MLA also provides up to $940.0 million in construction financing, subject to conditions and approvals. The Company will pay additional rent under the Chicago MLA based on a 8.5% capitalization rate on funded amounts. The initial lease term for the Chicago MLA is 15 years with renewal options to be agreed upon by the parties.

12. #### COMMITMENTS AND CONTINGENCIES
 *Community Host Agreement* 

As mentioned in Note 1 "General Information", the Company signed a host community agreement with the City of Chicago to develop a Permanent Facility, Bally's Chicago, for $1.34 billion. No assurance can be made that this estimate will not materially change during the development of the facility. As of March 31, 2025 (Successor), approximately $1.0 billion of this commitment remains.

In connection with the entry into the host community agreement with the City of Chicago, the Company will is required to pay annual fixed host community impact fees of $4.0 million. Additionally, Bally's Corporation provided the City of Chicago with a performance guaranty whereby Bally's Corporation agreed to have and maintain available financial resources in an amount reasonably sufficient to allow the Company to complete its obligations under the host community agreement. Upon notice from the City of Chicago that the Company has failed to perform various obligations under the host community agreement, Bally's Corporation has indemnified the City of Chicago against any and all liability, claim or reasonable and documented expense the City of Chicago may suffer or incur by reason of any nonperformance of any of the Company's obligations. The guaranty will terminate two years after the later of (i) the date on which the Permanent Facility commences operations or (ii) the date on which Bally's Chicago achieves final completion as defined in the host community agreement.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 *Casino Fees* 

Under the Illinois Gambling Act, the Company will be responsible to pay the Illinois Gaming Board a reconciliation fee payment three years after the date operations commenced (in a temporary or permanent facility) in an amount equal to 75% of the adjusted gross receipt ("AGR") for the most lucrative 12-month period of operations, minus the amount equal to the initial payment per gaming position paid.

 *Corporate Services Agreement* 

The Company has a Corporate Services Agreement with Bally's Corporation requiring a fixed monthly payment of $5.0 million, beginning with the commencement of operations at the Temporary Facility. The Corporate Services Agreement provides the Company with certain administrative and corporate services from Bally's Management Group, LLC. These fixed payments are in addition to certain expenses such as personnel and administrative costs allocated to the Company, based on an estimated percentages of time spent on the Company's activities by corporate employees. In accordance with the corporate services agreement, the Company recorded $8.9 million, $6.1 million and $15.0 million during the period from February 8 to March 31, 2025 (Successor), the period from January 1 to February 7, 2025 (Predecessor) and the three months ended March 31, 2024 (Predecessor), respectively, within Management fees from Bally's Corporation in the condensed consolidated statements of operations.

13. #### SEGMENT REPORTING
During the third quarter of 2024, the Company updated its operating and reportable segments to align with how the business is being managed. A change in the way the Company's chief operating decision maker makes operating decisions, assesses the performance of the business and allocates resources was driven by the Company taking possession of the land underlying the permanent casino project during the quarter. As a result of this segment re-alignment, the Company determined it had two operating and reportable segments: Temporary Casino and Permanent Casino. The "Other adjustments" include certain unallocated corporate operating expenses and other adjustments to reconcile to the Company's consolidated results including, among other expenses, compensation for certain executives and other transaction costs. The prior year results presented below were reclassified to conform to the new segment presentation.

For the Temporary Casino operating segment, the Company's measure of segment performance is Adjusted EBITDAR (defined below). Management believes segment Adjusted EBITDAR is representative of its ongoing business operations including its ability to service debt and to fund capital expenditures and its operations, in addition to it being a commonly used measure of performance in the gaming industry and used by industry analysts to evaluate operations and operating performance. For the Permanent Casino operating segment, the measure of segment performance is operating income (loss).

The Company's chief operating decision maker (the "CODM") is its President. Temporary Casino Adjusted EBITDAR and Permanent Casino operating income (loss) are utilized by the CODM to analyze and evaluate period-to-period performance of the business and are used as determining factors for performance-based compensation for members of the Company's management.

The following table sets forth the measures of segment performance for the Company's two reportable segments, reconciled to net loss on a consolidated basis. The Other adjustments category is included in the following table in order to reconcile the segment information to the Company's unaudited condensed consolidated financial statements.

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, 2025**  | **Period from <br> January 1 to <br> February 7, 2025**  | **Three Months <br> Ended <br> March 31, 2024**  |
| **Revenue** |  |  |  |
| &nbsp;&nbsp;&nbsp; Temporary Casino  | $17796 | $11487 | $31522 |
| &nbsp;&nbsp;&nbsp; Permanent Casino  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total revenue  | $17796 | $11487 | $31522 |
| **Permanent Casino Loss from Operations**  | $(5806) | $(3536) | $(1489) |
| **Temporary Casino Adjusted EBITDAR<sup>(1)</sup>**  | $1634 | $(917) | $1838 |
| &nbsp;&nbsp;&nbsp; **Temporary Casino Operating costs and expenses:**  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation and amortization  | (2320) | (1976) | (4277) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Expansion costs<sup>(2)</sup>  |  |  | (51) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Management fees to Bally's Corporation  | (8871) | (6129) | (15000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Temporary Casino operating costs and expenses**  | (9557) | (9022) | (17490) |
| **Total other expense, net<sup>(3)</sup>**  | (248) |  | (2140) |
| **Other adjustments**  | (369) | (314) | (430) |
| **Total Net loss**  | $(15980) | $(12872) | $(21549) |

---

(1) Adjusted EBITDAR is defined as earnings, or loss, for the Temporary Casino before interest expense, net of interest income, provision (benefit) for income taxes, depreciation and amortization, non-operating (income) expense, expansion costs, management fees to Bally's Corporation, rent expense from triple net operating leases, and certain other gains or losses.

(2) The Company defines expansion expenses as costs incurred in connection with the opening of a new facility or significant expansion of an existing property. Costs classified as expansion consist primarily of marketing, master planning, conceptual design fees and legal and professional fees that are not eligible for capitalization and are included in "General and administrative" on the unaudited condensed consolidated statements of operations.

(3) Total other expense, net includes primarily interest expense.

The following table sets forth significant segment expenses and other segment items by reportable segment (in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| | **Period from <br> February 8 to <br> March 31, 2025**  | **Period from <br> January 1 to <br> February 7, 2025**  | **Three Months <br> Ended <br> March 31, 2024**  |
| **<u>Temporary Casino</u>** |  |  |  |
| Revenue  | $17796 | $11487 | $31522 |
| Less: Segment expenses |  |  |  |
| &nbsp;&nbsp;&nbsp; Marketing costs  | 1193 | 1390 | 2094 |
| &nbsp;&nbsp;&nbsp; Gaming tax  | 4868 | 3271 | 8915 |
| &nbsp;&nbsp;&nbsp; Compensation  | 5348 | 4482 | 9113 |
| &nbsp;&nbsp;&nbsp; Casino property costs  | 1749 | 590 | 2330 |
| &nbsp;&nbsp;&nbsp; General and administrative  | 1991 | 770 | 1832 |
| &nbsp;&nbsp;&nbsp; Other segment items<sup>(1)</sup>  | 1013 | 1901 | 5400 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Temporary Casino EBITDAR  | $1634 | $(917) | $1838 |

---

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| | **Period from <br> February 8 to <br> March 31, 2025**  | **Period from <br> January 1 to <br> February 7, 2025**  | **Three Months <br> Ended <br> March 31, 2024**  |
| **<u>Permanent Casino</u>** |  |  |  |
| Revenue  | $— | $— | $— |
| Less: segment expenses |  |  |  |
| &nbsp;&nbsp;&nbsp; Expansion costs  | 465 | 1348 | 1489 |
| &nbsp;&nbsp;&nbsp; Rent expense  | 2819 | 2179 |  |
| &nbsp;&nbsp;&nbsp; Amortization of gaming license  | 2522 | 9 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Permanent Casino Loss from Operations  | $(5806) | $(3536) | $(1489) |

---

(1) Other segment items includes Gaming and non-gaming expenses and certain other immaterial costs and allocations.

---

| | | | |
|:---|:---|:---|:---|
| | **Successor**  | **Predecessor**  | **Predecessor**  |
| **(in thousands)**  | **Period from <br> February 8 to <br> March 31, 2025**  | **Period from <br> January 1 to <br> February 7, 2025**  | **Three Months <br> Ended <br> March 31, 2024**  |
| **Capital Expenditures** |  |  |  |
| Temporary Casino  | $53 | $— | $899 |
| Permanent Casino  | 22888 | 10969 | 17454 |
| &nbsp;&nbsp;&nbsp; Total  | $22941 | $10969 | $18353 |

---

---

| | | |
|:---|:---|:---|
| **(in thousands)**  | **March 31, 2025 <br> (Successor)**  | **December 31, 2024 <br> (Predecessor)**  |
| **Total assets** |  |  |
| Temporary Casino  | $76117 | $79208 |
| Permanent Casino  | 846365 | 512686 |
| Other<sup>(1)</sup> | 11675 | 8011 |
| &nbsp;&nbsp;&nbsp; Total  | $934157 | $599905 |

---

(1) Other primarily includes capitalized costs associated with the Company's proposed initial public offering and certain other unallocated Corporate assets.

14. #### REDEEMABLE NON-CONTROLLING INTEREST
In conjunction with the Reorganization, the Holding Company acquired 30,000 of the total issued and outstanding 33,326 LLC interests in the Operating Company, representing a 90% economic interest in the Operating Company. Pursuant to its limited liability company agreement with the Operating Company (the "LLC Agreement"), as amended and restated on March 10, 2025, upon a change in control event, the Company, as the sole managing member, may redeem all or a portion of the LLC interests along with an equal number of Class B interests in exchange for either (a) shares of Class A Interests in the Company; or, (b) at the election of the Company, an approximately equivalent amount of cash as determined pursuant to the terms of the LLC Agreement. In connection with such redemption, a corresponding number of shares of Class B interests held by the Holding Company will be cancelled. The cash redemption election is not considered to be within the control of the Company because the holders of Class B interests, the Holding Company, control the Company through direct representation on the Board of Directors.

As a result, the Company presents the non-controlling interests in the Operating Company as redeemable non-controlling interest outside of permanent equity. Upon issuance of the Operating Company's LLC

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[**TABLE OF CONTENTS**](#TOC2)

#### BALLY'S CHICAGO, INC.

#### NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
interests to the Holding Company in March 2025, $750.0 million of redeemable non-controlling interest was recorded in accordance with ASC 480-10-S99. The consideration for the LLC interests issued by the Operating Company is in the form of a capital commitment, which is contingent on the occurrence of the Company's equity issuance through public offering. As a result, concurrent with any future public offering, the Company will recognize a receivable as contra-mezzanine equity within its Redeemable non-controlling interest.

The redemption of the non-controlling interest is tied to the occurrence of a contingent event, which is not considered probable as of March 31, 2025 (Successor), and as such, the redeemable non-controlling interests have not been subsequently remeasured.

Net loss attributable to redeemable non-controlling interest was $5.6 million for the period from February 8 to March 31, 2025 (Successor). There was no net loss attributable to redeemable non-controlling interest for the period from January 1 to February 7, 2025 (Predecessor) or the three months ended March 31, 2024 (Predecessor).

As of March 31, 2025 (Successor), redeemable non-controlling interest was $744.4 million. There was no redeemable non-controlling interest as of December 31, 2024 (Predecessor).

15. #### SUBSEQUENT EVENTS
In accordance with ASC 855, *Subsequent Events*, the Company has evaluated all events and transactions that occurred after March 31, 2025 (Successor), through the date of issuance. Based upon this review, other than as described below, the Company did not identify any subsequent events that would have required adjustment or disclosure in the condensed consolidated financial statements.

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#### EXHIBIT INDEX

---

| | |
|:---|:---|
| **Exhibit No.**  | **Description**  |
| &nbsp;&nbsp; 1.1\*\*\* | [Form of Placement Agent Agreement](https://www.sec.gov/Archives/edgar/data/1935799/000110465925008202/tm2310971d31_ex1-1.htm)  |
| &nbsp;&nbsp; 1.2\* | [Form of Subscription Agreement](tm2310971d43_ex1-2.htm)  |
| &nbsp;&nbsp; 3.1\*\*\* | [Amended and Restated Certificate of Incorporation of Bally's Chicago, Inc., as currently in effect](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex3-1.htm)  |
| &nbsp;&nbsp; 3.2\* | [Form of Second Amended and Restated Certificate of Incorporation of Bally's Chicago, Inc., to be in effect prior to the closing of this offering](tm2310971d43_ex3-2.htm)  |
| &nbsp;&nbsp; 3.3\*\*\* | [Amended and Restated Bylaws of Bally's Chicago, Inc., as currently in effect](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex3-3.htm)  |
| &nbsp;&nbsp; 3.4\*\* | Form of Second Amended and Restated Bylaws of Bally's Chicago, Inc., to be in effect prior to the closing of this offering |
| &nbsp;&nbsp; 5.1\*\*\* | [Opinion of Latham & Watkins LLP](https://www.sec.gov/Archives/edgar/data/1935799/000110465924132193/tm2310971d14_ex5-1.htm)  |
| 10.1\*\*\* | [Form of Amended and Restated Subordinated Loan Agreement, by and between Bally's Chicago, Inc., as borrower, and Bally's Chicago Holding Company, LLC, as lender](https://www.sec.gov/Archives/edgar/data/1935799/000110465925008202/tm2310971d31_ex10-1.htm)  |
| 10.2\*\*\* | [Corporate Services Agreement for Temporary Casino, dated as of August 30, 2023, by and between Bally's Management Group, LLC (f/k/a Twin River Management Group, Inc.) and Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-2.htm) |
| 10.3\*\*\* | [Services Agreement, dated as of January 27, 2023, by and between Bally's Management Group, LLC (f/k/a Twin River Management Group, Inc.) and UTGR, Inc., Mile High USA, LLC, Premier Entertainment Biloxi LLC, Twin River — Tiverton, LLC, Dover Downs, Inc., Premier Entertainment Black Hawk, LLC, IOC Kansas City, Inc, Premier Entertainment Vicksburg, LLC, Premier Entertainment Shreveport, LLC, Premier Entertainment Ac, LLC, Premier Entertainment Tahoe, LLC, Aztar Indiana Gaming Company, LLC, The Rock Island Boatworks, LLC, Tropicana Las Vegas, Inc., and Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-3.htm) |
| 10.4†\*\*\* | [Bally's Corporation 2021 Equity Incentive Plan](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-4.htm)  |
| 10.5†\*\*\* | [Form of Award Agreements under Bally's Corporation 2021 Equity Incentive Plan](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-5.htm)  |
| 10.6\*\*\* | [Promissory Note, dated as of December 31, 2023, issued by Bally's Chicago Operating Company, LLC in favor of Bally's Chicago Holding Company LLC, as amended on September 30, 2024](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-6.htm) |
| 10.7\*\*\* | [Promissory Note, dated as of December 31, 2023, issued by Bally's Chicago Operating Company, LLC in favor of Bally's Management Group, LLC as amended on September 30, 2024](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-7.htm) |
| 10.8\*\*\* | [Promissory Note, dated as of December 31, 2023, issued by Bally's Chicago Inc. in favor of Bally's Chicago Holding Company, LLC, as amended on September 30, 2024](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-8.htm)  |
| 10.9\*\*\* | [Promissory Note, dated as of December 31, 2023, issued by Bally's Management Group, LLC in favor of Bally's Chicago Inc., as amended on September 30, 2024](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-9.htm)  |
| 10.10\*\*\* | [Promissory Note, dated as of December 31, 2023, issued by Bally's Chicago Inc. in favor of Bally's Chicago Operating Company, LLC, as amended on September 30, 2024](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-10.htm)  |
| 10.11\*\*\* | [Promissory Note, dated as of December 31, 2023, issued by Bally's Chicago Operating Company, LLC in favor of Bally's Chicago Inc., as amended on September 30, 2024](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-11.htm)  |
| 10.12\*\*\* | [Promissory Note, dated as of September 30, 2024, issued by Bally's Chicago, Inc. in favor of Bally's Chicago Holding Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-12.htm)  |
| 10.13\*\*\* | [Promissory Note, dated as of September 30, 2024, issued by Bally's Chicago Operating Company, LLC in favor of Bally's Chicago Holding Company LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-13.htm)  |
| 10.14\*\*\* | [Promissory Note, dated as of September 30, 2024, issued by Bally's Chicago Operating Company, LLC in favor of Bally's Management Group, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-14.htm)  |
| 10.15\* | [Promissory Note, dated as of March 31, 2025, issued by Bally's Chicago Operating Company, LLC in favor of Bally's Chicago Holding Company, LLC](tm2310971d43_ex10-15.htm) |
| 10.16\* | [Promissory Note, dated as of March 31, 2025, issued by Bally's Chicago Inc. in favor of Bally's Chicago Holding Company, LLC](tm2310971d43_ex10-16.htm) |

---

------

[**TABLE OF CONTENTS**](#TOC2)

---

| | |
|:---|:---|
| **Exhibit No.**  | **Description**  |
| 10.17\* | [Assignment and Assumption Agreement, dated as of March 31, 2025, issued by Bally's Management Group, LLC in favor of Bally's Chicago Holding Company, LLC](tm2310971d43_ex10-17.htm) |
| 10.18\*\*\* | [Form of Promissory Note to be issued by Bally's Chicago, Inc. in favor of Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465925008202/tm2310971d31_ex10-15.htm)  |
| 10.19^\*\*\* | [Sublease Agreement, dated as of November 28, 2022, by and among Medinah Holdings, LLC, Medinah Building LLC, and Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-16.htm)  |
| 10.20^\*\*\* | [Ground Lease, dated as of November 18, 2022, by and between BACHIL001 LLC and Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-17.htm)  |
| 10.21^\*\*\* | [First Amendment to Ground Lease, dated as of September 11, 2024, by and between GLP Capital, L.P. and Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-18.htm)  |
| 10.22#^\*\*\*  | [Lease Modification and Short Term License Agreement, dated March 31, 2023, by and between Chicago Tribune Company, LLC and Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-19.htm)  |
| 10.23\*\*\* | [Agreement to Provide Future Guarantee, dated as of March 10, 2025, by and among Bally's Corporation, Bally's Chicago, Inc., Bally's Chicago Operating Company, LLC, and other subsidiary guarantors as may be subsequently designated.](https://www.sec.gov/Archives/edgar/data/1935799/000110465925008202/tm2310971d31_ex10-20.htm)  |
| 10.24\*\*\* | [Stockholders Agreement, dated as of March 10, 2025,by and between Bally's Chicago, Inc. and Bally's Chicago Holding Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465925008202/tm2310971d31_ex10-21.htm)  |
| 10.25\*\*\* | [Host Community Agreement, dated June 9, 2022, by and between the City of Chicago, Illinois and Bally's Chicago Operating Company, LLC](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-22.htm)  |
| 10.26†\*\*\* | [Employment Agreement, dated as of October 1, 2023, by and between Bally's Management Group, LLC and Ameet Patel](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-23.htm)  |
| 10.27†\*\*\* | [Employment Agreement, dated as of May 8, 2023, by and between Bally's Management Group, LLC and H.C. Charles Diao](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-24.htm)  |
| 10.28†\*\*\* | [Employment Agreement, dated as of February 1, 2024, by and between Bally's Management Group, LLC and Christopher Jewett](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-25.htm)  |
| 10.29†\*\*\* | [Employment Agreement, dated as of October 19, 2022, by and between Twin River Management Group, Inc. and Kim Barker Lee](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex10-26.htm)  |
| 10.30†\*\*\* | [Form of Indemnification Agreement](https://www.sec.gov/Archives/edgar/data/1935799/000110465924132193/tm2310971d14_ex10-27.htm)  |
| 10.31\* | [Amended and Restated Limited Liability Company Agreement of Bally's Chicago Operating Company, LLC](tm2310971d43_ex10-31.htm)  |
| 10.32\*\*\* | [Form of Placement Agent Agreement for Private Placements](https://www.sec.gov/Archives/edgar/data/1935799/000110465925008202/tm2310971d31_ex10-29.htm)  |
| 10.33\* | [Form of Subscription Agreement for Private Placements](tm2310971d43_ex10-33.htm)  |
| 10.34\*\*\* | [Support Letter from Bally's Corporation](http://www.sec.gov/Archives/edgar/data/1935799/000110465925007269/tm2310971d27_ex10-33.htm)  |
| 10.35\*\*\* | [Subordinated Loan Agreement, dated as of March 10, 2025, by and between Bally's Chicago, Inc., as borrower, and Bally's Chicago Holding Company, LLC, as lender](https://www.sec.gov/Archives/edgar/data/1935799/000110465925037557/tm2310971d37_ex10-32.htm)  |
| 21.1\*\*\* | [List of subsidiaries of Bally's Chicago, Inc.](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex21-1.htm)  |
| 23.1\* | [Consent of Deloitte & Touche LLP, independent registered public accounting firm](tm2310971d43_ex23-1.htm)  |
| 23.3\*\*\* | [Consent of Latham & Watkins LLP (included in Exhibit 5.1)](https://www.sec.gov/Archives/edgar/data/1935799/000110465924132193/tm2310971d14_ex5-1.htm)  |
| 24.1\*\*\* | [Power of Attorney (included on the signature page of the initial filing of the Registration Statement)](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971-8_s1.htm#tPOA)  |
| 99.1\*\*\* | [Consent of Renee Bradford, Director Nominee](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex99-1.htm)  |
| 99.2\*\*\* | [Consent of Blanton Canady, Director Nominee](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex99-2.htm)  |
| 99.3\*\*\* | [Consent of Ezequiel (Zeke) Flores, Director Nominee](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex99-3.htm)  |
| 99.4\*\*\* | [Consent of Edward Lou, Director Nominee](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex99-4.htm)  |
| 99.5\*\*\* | [Consent of Sharon Thomas Parrott, Director Nominee](https://www.sec.gov/Archives/edgar/data/1935799/000110465924128076/tm2310971d9_ex99-5.htm)  |
| 107\*\*\* | [Filing Fee Table](https://www.sec.gov/Archives/edgar/data/1935799/000110465924132193/tm2310971d14_ex-filingfees.htm)  |

---

\*

Filed herewith.

\*\*

To be filed by amendment.

\*\*\*

Previously filed.

†

Indicates a management contract or compensatory plan.

------

[**TABLE OF CONTENTS**](#TOC2)

#

Portions of this exhibit (indicated by asterisks) have been omitted pursuant to Item 601(b)(10) of Regulation S-K.

^

Certain exhibits and schedules to this exhibit have been omitted pursuant to Item 601(a)(5) and (6) of Regulation S-K. The registrant will furnish copies of any of the exhibits and schedules to the Securities and Exchange Commission upon request.

------

[**TABLE OF CONTENTS**](#TOC)

#### SIGNATURES
Pursuant to the requirements of the Securities Act, the registrant has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized, in Chicago, Illinois, on this 23<sup>rd</sup> day of June, 2025.

#### Bally's Chicago, Inc.
By:

/s/ Ameet Patel

Name:

Ameet Patel

Title:

President

Pursuant to the requirements of the Securities Act of 1933, as amended, this registration statement has been signed by the following persons in the capacities set forth opposite their names and on the date indicated above.

---

| | |
|:---|:---|
| **Signature**  | **Title**  |
| /s/ Ameet Patel <br>Ameet Patel  | President (Principal Executive Officer) <br> and Director  |
| /s/ H. C. Charles Diao <br>H. C. Charles Diao  | Chief Financial Officer (Principal <br> Financial Officer and Principal Accounting Officer)  |
| \* <br>Wanda Y. Wilson  | Director, Chairperson  |
| \* <br>Kim M. Barker  | Director  |

---

---

| | |
|:---|:---|
| \*By: | /s/ Ameet Patel <br>Ameet Patel <br> Attorney-in-fact  |

---

------

## Exhibit 1.2

**Exhibit 1.2**

**BALLY'S CHICAGO, INC.**

**<u>SECURITIES SUBSCRIPTION AGREEMENT</u>**

Bally's Chicago, Inc.<br> 100 Westminster Street<br> Providence, RI 02903

Ladies and Gentlemen:

The undersigned understands that Bally's Chicago, Inc., a corporation organized under the laws of Delaware (the "**Company**"), is offering its Class A ownership interests, par value $0.001 per interest, including its (i) Class A-1 Interests, $0.001 par value per interest (the "**Class A-1 Interests**"), (ii) Class A-2 Interests, $0.001 par value per interest (the "**Class A-2 Interests**"), (iii) Class A-3 Interests, $0.001 par value per interest (the "**Class A-3 Interests**"), and (iv) Class A-4 Interests, $0.001 par value per interest (the "**Class A-4 Interests**" and, together with the Class A-1 Interests, the Class A-2 Interests, and the Class A-3 Interests, each an "**Interest**" and collectively, the "**Interests**") in a registered initial public offering.

Subject to the terms and conditions set forth in this Securities Subscription Agreement (this "**Agreement**") and pursuant to an effective registration statement under the Securities Act of 1933, as amended (the "**Securities Act**") as to the Interests, the Company hereby accepts the offer the undersigned has made to purchase the Interests in the amounts set forth in the signature page hereto.

In consideration of the mutual covenants contained in this Agreement, and for other good and valuable consideration the receipt and adequacy of which are hereby acknowledged, the Company and the undersigned agrees as follows:

**ARTICLE I.**

DEFINITIONS

1.1 In addition to the terms defined elsewhere in this Agreement, for all purposes of this Agreement, the following terms have the meanings set forth in this Section 1.1:

"**Business Day**" means any day other than Saturday, Sunday or other day on which commercial banks in The City of New York are authorized or required by law to remain closed; provided, however, for clarification, commercial banks shall not be deemed to be authorized or required by law to remain closed due to "stay at home", "shelter-in-place", "non-essential employee" or any other similar orders or restrictions or the closure of any physical branch locations at the direction of any governmental authority so long as the electronic funds transfer systems (including for wire transfers) of commercial banks in The City of New York generally are open for use by customers on such day.

"**Certificate of Incorporation**" means the amended and restated certificate of incorporation to be in effect prior to the closing of the initial public offering.

"**Closing**" means the closing of the purchase and sale of the Interests pursuant to Article 2.

"**Closing Date**" means ______, 2025.

"**Commission**" means the United States Securities and Exchange Commission.

"**Offering Documents**" means the Registration Statement and the Prospectus.

"**Person**" means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

"**Placement Agent**" means Loop Capital Markets LLC.

"**Placement Agent Agreement**" means the Placement Agent Agreement by and between the Company and the Placement Agent dated the date hereof.

"**Prospectus**" means the final prospectus filed for the Registration Statement including all information, documents and exhibits filed with or incorporated by reference into such prospectus.

"**Prospectus Supplement**" means any supplement to the Prospectus complying with Rule 424(b) of the Securities Act that is filed with the Commission.

"**Registration Statement**" means the effective registration statement on Form S-1 (File No. 333-283772) with the Commission which registers the sale of the Interests to the undersigned, including all information, documents and exhibits filed with or incorporated by reference into such registration statement.

"**Securities Act**" means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

"**Subscription Amount**" means, as to the undersigned, the aggregate amount to be paid for Interests purchased hereunder as specified below the undersigned's name on the signature page of this Agreement and next to the heading "Aggregate Subscription Amount," in United States dollars and in immediately available funds.

"**Transaction Documents**" means this Agreement, the Placement Agent Agreement, all exhibits and schedules thereto and hereto and any other documents or agreements executed in connection with the transactions contemplated hereunder.

**ARTICLE II.**

PURCHASE OF INTERESTS

2.1 <u>Purchase of Interests.</u> The Company hereby sells and issues to the undersigned, and the undersigned hereby purchases from the Company the Interests, for an aggregate purchase price set forth in the signature page hereto, on the terms and subject to the conditions set forth in this Agreement.

2.2 <u>Deliveries.</u>

(a) The Company shall deliver or cause to be delivered to the undersigned the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) At least three Business Days prior to the Closing Date, the Company's wire instructions for payment of the Subscription Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) On or prior to the Closing Date, the Prospectus and any Prospectus Supplement (which may be delivered in accordance with Rule 172 under the Securities Act); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) No later than one Business Day prior to the Closing Date, this Agreement duly executed by the Company.

(b) The undersigned shall deliver or cause to be delivered to the Company the following:

&nbsp;&nbsp;&nbsp;&nbsp;(i) No later than 4:00 p.m., New York City time, on the Business Day immediately preceding the Closing Date, the Subscription Amount as set forth on the undersigned's signature page hereto, in United States dollars and in immediately available funds, by urgent / "same-day" "SWIFT" wire transfer to the account specified on the Company's wire instructions; and

&nbsp;&nbsp;&nbsp;&nbsp;(ii) No later than one Business Day prior to the Closing Date, this Agreement duly executed by the undersigned.

2.3 <u>Closing Conditions.</u>

(a) <u>Obligations of the Company.</u> The obligations of the Company hereunder in connection with the Closing are subject to (i) the accuracy in all material respects on the Closing Date of the representations and warranties of the undersigned contained herein (unless as of a specific date therein in which case they shall be accurate as of such date); (ii) the performance of all obligations, covenants and agreements of the undersigned required to be performed at or prior to the Closing Date; and (iii) the delivery by the undersigned of the items set forth in Section 2.2(b) of this Agreement.

(b) <u>Obligations of the Undersigned.</u> The obligations of the undersigned in connection with the Closing are subject to (i) the accuracy in all material respects when made and on the Closing Date of the representations and warranties of the Company contained herein (unless as of a specific date therein in which case they shall be accurate as of such date); (ii) the performance of all obligations, covenants and agreements of the Company required to be performed at or prior to the Closing Date; and (iii) the delivery by the Company of the items set forth in Section 2.2(a) of this Agreement.

**ARTICLE III.**

REPRESENTATIONS, WARRANTIES AND AGREEMENTS.

3.1 <u>Representations, Warranties and Agreements of the Undersigned.</u> To induce the Company to issue the Interests to the undersigned, the undersigned hereby represents and warrants to the Company and agrees with the Company as follows:

(a) <u>General.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned has all requisite authority (and in the case of an individual, the capacity) to purchase the Interests, enter into this Agreement and to perform all the obligations required to be performed by the undersigned hereunder, and such purchase will not contravene any law, rule, or regulation binding on the undersigned or any investment guideline or restriction applicable to the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned is a resident of the state set forth on the signature page hereto and is not acquiring the Interests as a nominee or agent or otherwise for any other person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The execution, delivery and performance of this Agreement and the consummation by the undersigned of the transactions contemplated hereby do not violate, conflict with or constitute a default under (i) the provisions of the organizational documents of the undersigned, if any, (ii) any agreement, indenture or instrument to which the undersigned is a party, or (iii) any law, statute, rule or regulation to which the undersigned is subject, or any agreement, order, judgment or decree to which the undersigned is subject.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) No governmental, administrative or other third-party consents or approvals are required, necessary or appropriate on the part of the undersigned in connection with the transactions contemplated by this Agreement.

(b) <u>Information concerning the Company.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned has received a copy of the Offering Documents. The undersigned has not been furnished any offering literature other than the Offering Documents, and the undersigned has relied only on the information contained therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned understands and accepts that the purchase of the Interests involves various risks, including the risks outlined in the Offering Documents and in this Agreement. The undersigned represents that it is able to bear any loss associated with an investment in the Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The undersigned understands that there will be no liquid trading market for the Interests, which will impact the undersigned's ability to monetize its investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Prior to the execution of this Agreement, the undersigned has had the opportunity to ask questions of and receive answers from representatives of the Company concerning an investment in the Company, as well as the finances, operations, business and prospects of the Company, and the opportunity to obtain additional information to verify the accuracy of all information so obtained. In determining whether to make this investment, the undersigned has relied solely on the undersigned's own knowledge and understanding of the Company and its business based upon the undersigned's own due diligence investigation and the information furnished within the Offering Documents. The undersigned understands that no person has been authorized to give any information or to make any representations which were not furnished within the Offering Documents and undersigned has not relied on any other representations or information in making its investment decision, whether written or oral, relating to the Company, its operations and/or its prospects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The undersigned confirms that it has had the opportunity to review this Agreement, and the transactions contemplated by this Agreement and the other agreements entered into between the parties hereto with its own legal counsel and investment and tax advisors and that it is not relying on any communication (written or oral) of the Company or any of its affiliates or the Placement Agent, as investment or tax advice or as a recommendation to purchase the Interests. Except for any statements or representations of the Company made in this Agreement and the other agreements entered into between the parties hereto, the undersigned is relying solely on such counsel and advisors and not on any statements or representations of the Company or any of its representatives or agents or the Placement Agent for legal, tax or investment advice with respect to this investment, the transactions contemplated by this Agreement or the securities laws of any jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) The undersigned understands that, unless the undersigned notifies the Company in writing to the contrary at or before the Closing, each of the undersigned's representations and warranties contained in this Agreement will be deemed to have been reaffirmed and confirmed as of the Closing, taking into account all information received by the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) The undersigned understands that no United States federal or state agency or similar agency of any other country has passed upon or made any recommendation or endorsement of the offering of the Interests.

(c) <u>Non-Reliance.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned represents that it is not relying on (and will not at any time rely on) any communication (written or oral) of the Company or the Placement Agent, as investment advice or as a recommendation to purchase the Interests, it being understood that information and explanations related to the terms and conditions of the Interests and the other transaction documents that are described in the Offering Documents shall not be considered investment advice or a recommendation to purchase the Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned confirms that the neither the Company nor the Placement Agent has (A) given any guarantee or representation as to the potential success, return, effect or benefit (either legal, regulatory, tax, financial, accounting or otherwise) of an investment in the Interests or (B) made any representation to the undersigned regarding the legality of an investment in the Interests under applicable legal investment or similar laws or regulations. In deciding to purchase the Interests, the undersigned is not relying on the advice or recommendations of the Company or the Placement Agent and the undersigned has made its own independent decision that the investment in the Interests is suitable and appropriate for the undersigned.

(d) <u>Organization and Authority.</u> Upon execution and delivery by the undersigned, this Agreement is a legal, valid and binding agreement of the undersigned, enforceable against the undersigned in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, fraudulent conveyance or similar laws affecting the enforcement of creditors' rights generally and subject to general principles of equity (regardless of whether enforcement is sought in a proceeding at law or in equity).

(e) <u>Investment Purposes</u>. The undersigned is purchasing the Interests solely for investment purposes, for the undersigned's own account and not for the account or benefit of any other Person, and not with a view towards the distribution or dissemination thereof and the undersigned has no present arrangement to sell the interest in the Interests to or through any Person (this representation and warranty not limiting the undersigned's right to sell the Interests subject to the restrictions on transferability detailed in the Certificate of Incorporation).

(f) <u>Qualified Purchaser.</u> The undersigned qualifies to purchase the Interests by satisfying the qualification requirements as outlined in the Offering Documents. The undersigned understands that the Company has determined in its sole discretion that the undersigned is eligible to participate in the offering in reliance on certain representations and warranties by the undersigned, which are restated herein. The undersigned represents and warrants that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned has a U.S. social security number and/or a U.S. tax identification number.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned is not an employee benefit plan that is subject to Title I of the Employee Retirement Income Security Act of 1974, as amended ("***ERISA***"), plan, individual retirement account ("***IRAs***") and other arrangement that are subject to Section 4975 of the U.S. Internal Revenue Code of 1986, as amended (the "***Code***"), or provisions under any federal, state, local, non-U.S. or other laws or regulations that are similar to such provisions of ERISA or the Code (collectively, "***Similar Laws***"), and entity whose underlying assets are considered to include "plan assets" of such plan, account and arrangement pursuant to 29 C.F.R. Section 2510.3-101, as modified by Section 3(42) of ERISA, or any Similar Law.

(g) <u>Restrictions on Transfer; Redemption Provisions.</u> The undersigned agrees that the Interests are subject to certain restrictions on transferability pursuant to the Certificate of Incorporation. The undersigned acknowledges that it had a full and fair opportunity and the means to obtain counsel and discuss such restrictions prior to entering into this Agreement.

(h) <u>Reliance on Representations and Warranties.</u> The undersigned understands the Interests are being offered and sold to it in accordance with that certain Host Community Agreement by and between the City of Chicago and Bally's Chicago Operating Company, a wholly-owned subsidiary of the Company, dated June 9, 2022 (the "HCA"). The undersigned understands that the Company is acting in reliance upon the truth and accuracy of the representations, warranties, agreements, acknowledgments and understandings of the undersigned set forth in this Agreement in order to comply with the HCA.

3.2 <u>Company's Representations, Warranties and Agreements.</u> To induce the undersigned to purchase the Interests, the Company hereby represents and warrants to the undersigned and agrees with the undersigned as follows:

(a) <u>Organization and Corporate Power.</u> The Company has been duly incorporated and is validly existing under the laws of Delaware, with full power and authority to conduct its business as it is currently being conducted and to own its assets; and has secured any authorizations, approvals, permits and orders required by law for the conduct by the Company of its business as it is currently being conducted. The Company is not in violation or default of any of the provisions of the Certificate of Incorporation or other organizational documents.

(b) <u>Enforcement.</u> This Agreement constitutes, and upon the execution and delivery thereof, valid and binding obligations of the Company enforceable against the Company in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, fraudulent conveyance, moratorium, reorganization, or similar laws relating to, or affecting generally the enforcement of, creditors' rights and remedies or by equitable principles of general application and except as enforcement of rights to indemnity and contribution may be limited by federal and state securities laws or principles of public policy.

(c) <u>Issuance of the Interests; Registration.</u> The Interests are duly authorized and, when issued and paid for in accordance with this Agreement, will be duly and validly issued, fully paid and nonassessable, and free and clear of all liens imposed by the Company. The Company has prepared and filed the Registration Statement in conformity with the requirements of the Securities Act, including the Prospectus, and such amendments and supplements thereto as may have been required to the date of this Agreement. The Registration Statement is effective under the Securities Act and no stop order preventing or suspending the effectiveness of the Registration Statement or suspending or preventing the use of the Prospectus has been issued by the Commission and no proceedings for that purpose have been instituted or, to the knowledge of the Company, are threatened by the Commission.

**ARTICLE IV.**

OTHER AGREEMENTS.

4.1 <u>Further Assurances.</u> The undersigned agrees to execute such further instruments and to take such further action as may reasonably be necessary to carry out the intent of this Agreement.

4.2 <u>No Obligation as to Employment.</u> The Company is not by reason of this Agreement obligated to employ, or continue to employ, the undersigned in any capacity.

4.3 <u>Notices.</u> All notices, requests, consents and other communications hereunder shall be in writing, shall be addressed to (a) if to the undersigned, the undersigned's address set forth in the signature page and (b) if to the Company, c/o Bally's Chicago, Inc., 100 Westminster Street, Providence, RI 02903, Attention: General Counsel – Chicago Equity Offering, or (c) to such other address as a party may designate by notice hereunder, and shall be either (1) delivered by hand, (2) sent by overnight courier, (3) sent via facsimile, or (4) sent by certified mail, return receipt requested, postage prepaid. All notices, requests, consents and other communications hereunder shall be deemed to have been given either (i) if by hand, at the time of the delivery thereof to the receiving party at the address of such party set forth above, (ii) if sent by overnight courier, on the next Business Day following the day such notice is delivered to the courier service, (iii) if sent via facsimile, when receipt is acknowledged, or (iv) if sent by certified mail, on the (5<sup>th</sup>) Business Day following the day such mailing is made.

4.4 <u>Entire Agreement.</u> This Agreement embodies the entire agreement and understanding between the undersigned and the Company with respect to the subject matter hereof and supersedes all prior oral or written agreements and understandings relating to the subject matter hereof. No statement, representation, warranty, covenant or agreement of any kind not expressly set forth in this Agreement shall affect, or be used to interpret, change or restrict, the express terms and provisions of this Agreement.

4.5 <u>Modifications and Amendments.</u> The terms and provisions of this Agreement may be modified or amended only by written agreement executed by all parties hereto.

4.6 <u>Waivers and Consents.</u> The terms and provisions of this Agreement may be waived, or consent for the departure therefrom granted, only by written document executed by the party entitled to the benefits of such terms or provisions. No such waiver or consent shall be deemed to be or shall constitute a waiver or consent with respect to any other terms or provisions of this Agreement, whether or not similar. Each such waiver or consent shall be effective only in the specific instance and for the purpose for which it was given, and shall not constitute a continuing waiver or consent.

4.7 <u>Assignment.</u> The rights and obligations under this Agreement may not be assigned by either party hereto without the prior written consent of the other party.

4.8 <u>Benefit.</u> All statements, representations, warranties, covenants and agreements in this Agreement shall be binding on the parties hereto and shall inure to the benefit of the respective successors and permitted assigns of each party hereto. Nothing in this Agreement shall be construed to create any rights or obligations except among the parties hereto, and no person or entity shall be regarded as a third-party beneficiary of this Agreement.

4.9 <u>Governing Law.</u> This Agreement and the rights and obligations of the parties hereunder shall be construed in accordance with and governed by the laws of the State of New York.

4.10 <u>Severability.</u> In the event that any court of competent jurisdiction shall determine that any provision, or any portion thereof, contained in this Agreement shall be unreasonable or unenforceable in any respect, then such provision shall be deemed limited to the extent that such court deems it reasonable and enforceable, and as so limited shall remain in full force and effect. In the event that such court shall deem any such provision, or portion thereof, wholly unenforceable, the remaining provisions of this Agreement shall nevertheless remain in full force and effect.

4.11 <u>No Waiver of Rights, Powers and Remedies.</u> No failure or delay by a party hereto in exercising any right, power or remedy under this Agreement, and no course of dealing between the parties hereto, shall operate as a waiver of any such right, power or remedy of such party. No single or partial exercise of any right, power or remedy under this Agreement by a party hereto, nor any abandonment or discontinuance of steps to enforce any such right, power or remedy, shall preclude such party from any other or further exercise thereof or the exercise of any other right, power or remedy hereunder. The election of any remedy by a party hereto shall not constitute a waiver of the right of such party to pursue other available remedies. No notice to or demand on a party not expressly required under this Agreement shall entitle the party receiving such notice or demand to any other or further notice or demand in similar or other circumstances or constitute a waiver of the rights of the party giving such notice or demand to any other or further action in any circumstances without such notice or demand.

4.12 <u>Survival of Representations and Warranties.</u> All representations and warranties made by the parties hereto in this Agreement or in any other agreement, certificate or instrument provided for or contemplated hereby, shall survive the execution and delivery hereof and any investigations made by or on behalf of the parties.

4.13 <u>Headings and Captions.</u> The headings and captions of the various subdivisions of this Agreement are for convenience of reference only and shall in no way modify or affect the meaning or construction of any of the terms or provisions hereof.

4.14 <u>Counterparts.</u> This Agreement may be executed in one or more counterparts, all of which when taken together shall be considered one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other party, it being understood that both parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission or by e-mail delivery of a ".pdf" format data file, such signature shall create a valid and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or ".pdf" signature page were an original thereof.

4.15 <u>Indemnification.</u> Each party shall indemnify the other against any loss, cost or damages (including reasonable attorneys' fees and expenses) incurred as a result of such party's breach of any representation, warranty, covenant or agreement in this Agreement.

4.16 <u>Fees.</u> Except as set forth in the Placement Agent Agreement, no brokerage or finder's fees or commissions are or will be payable by the Company or any subsidiary to any broker, financial advisor or consultant, finder, placement agent, investment banker, bank or other Person with respect to the transactions contemplated by the Transaction Documents. The undersigned shall have no obligation with respect to any fees or with respect to any claims made by or on behalf of other Persons for fees of a type contemplated in this Section that may be due in connection with the transactions contemplated by the Transaction Documents.

[Signature Page Follows]

IN WITNESS WHEREOF, the undersigned has executed this Subscription Agreement this __________ day of __________ 2025.

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| | |
|:---|:---|
| PURCHASER (if an individual): | PURCHASER (if an entity): |
| Name: | [Legal Name of Entity] |
|  | By |
|  | Name: |
|  | Title: |

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State/Country of Domicile or Formation:  

Address for Notice:  

Aggregate Subscription Amount: US$

The offer to purchase Interests is confirmed and accepted by the Company as to __________ Class A-1 Interest(s), __________ Class A-2 Interest(s), __________ Class A-3 Interest(s) and __________ Class A-4 Interest(s).

*[Signature Page to Subscription Agreement]*

**AGREED AND ACCEPTED:**

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| |
|:---|
| **Bally's Chicago, Inc.** |
| By: |
| Name: |
| Title: |

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*[Signature Page to Subscription Agreement]*

## Exhibit 3.2

**Exhibit 3.2**

**AMENDED AND RESTATED CERTIFICATE OF INCORPORATION**

**OF**

**BALLY'S CHICAGO, INC.**

Bally's Chicago, Inc., a corporation organized and existing under the laws of the State of Delaware, hereby certifies as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The original Certificate of Incorporation of the Corporation was filed with the Office of the Secretary of State of the State of Delaware on May 24, 2022 (the "***Original Certificate***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The Corporation is filing this Amended and Restated Certificate of Incorporation of the Corporation (the "***Certificate of Incorporation***"), which restates, integrates and further amends the Original Certificate, as heretofore amended, and which was duly adopted by all necessary action of the board of directors of the Corporation (the "***Board of Directors***") and the stockholders of the Corporation in accordance with the provisions of Sections 242, 245 and 228 of the General Corporation Law of the State of Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The text of the Original Certificate is hereby amended, integrated and restated in its entirety by this Certificate of Incorporation to read in full as follows:

**Article I.**

The name of the corporation is Bally's Chicago, Inc. (the "***Corporation***").

**Article II.**

The address of the Corporation's registered office in the State of Delaware is 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801. The name of its registered agent at such address is The Corporation Trust Company.

**Article III.**

The nature of the business of the Corporation and the objects or purposes to be transacted, promoted or carried on by the Corporation is to engage in any lawful act or activity for which corporations may be organized under the General Corporation Law of the State of Delaware (the "***DGCL***"), including, without limitation, (i) investing in securities of Bally's Chicago Operating Company, LLC, a Delaware limited liability company, or any successor entities thereto and any of its subsidiaries, (ii) exercising all rights, powers, privileges and other incidents of ownership or possession with respect to the Corporation's assets, including managing, holding, selling and disposing of such assets and (iii) engaging in any other activities incidental or ancillary thereto.

**Article IV.**

Section 4.1 Authorized Interests. The total number of shares of all classes of stock that the Corporation is authorized to issue is [·] ([·]), consisting of the following five classes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) [·] ([·]) shares of Class A-1 common stock, with a par value of $0.001 per share (the "***Class A-1 Interests***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) [·] ([·]) shares of Class A-2 common stock, with a par value of $0.001 per share (the "***Class A-2 Interests***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) [·] ([·]) shares of Class A-3 common stock, with a par value of $0.001 per share (the "***Class A-3 Interests***");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Ten thousand (10,000) shares of Class A-4 common stock, with a par value of $0.001 per share (the "***Class A-4 Interests***" and, together with Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, the "***Class A Interests***"); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Thirty thousand (30,000) shares of Class B common stock, with a par value of $0.001 per share (the "***Class B Interests***").

Section 4.2 <u>Reclassification of Common Stock</u>. Upon the filing and effectiveness of this Certificate of Incorporation with the Secretary of the State of State of Delaware (the "***Effective Time***"), and without any further action required by the Corporation or its stockholders: (i) each share of Common Stock (as defined in the Original Certificate) issued and outstanding or held in treasury, immediately prior to the Effective Time, shall be automatically reclassified into one validly issued, fully paid and non-assessable share of Class B Interest without any further action by the Corporation or the holder of any share. Each stock certificate representing shares of Common Stock immediately prior to the Effective Time shall be cancelled without any further action required by stockholders and the shares of Class B Interest into which the shares of Common Stock previously represented by such stock certificate have been reclassified pursuant to this Section 4.2. shall be uncertificated shares.

Section 4.3 <u>Number of Authorized Interests</u>. The number of authorized shares of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, Class A-4 Interests or Class B Interests may be increased or decreased (but not below the number of shares thereof then outstanding) without a separate class vote of any holders of Class A-1 Interests, Class A-2 Interests, Class A-3 Interests, Class A-4 Interests or Class B Interests, irrespective of the provisions of Section 242(b)(2) of the DGCL (or any successor provision thereto).

Section 4.4 <u>Class A Interests and Class B Interests</u>. The powers, preferences and rights of the Class A Interests and the Class B Interests, and the qualifications, limitations or restrictions thereof are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Voting Rights</u>. Except as otherwise required by law,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each Class A Interest shall entitle the record holder thereof as of the applicable record date to one (1) vote per share in person or by proxy on all matters submitted to a vote of the holders of Class A Interests, whether voting separately as a class or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Each Class B Interest shall entitle the record holder thereof as of the applicable record date to one (1) vote per share in person or by proxy on all matters submitted to a vote of the holders of Class B Interests, whether voting separately as a class or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Except as otherwise required by applicable law or this Certificate of Incorporation, the holders of Class A Interests and Class B Interests shall vote together as a single class on all matters submitted to a vote of stockholders of the Corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Dividends</u>. Subject to Section 4.4(c) hereof, and applicable law and the rights, if any, of the holders of any class or series of stock having a preference over or the right to participate with the Class A Interests with respect to the payment of dividends, dividends may be declared and paid on the Class A Interests out of the assets or funds of the Corporation that are by law available therefor, at such times and in such amounts as the Board of Directors in its discretion shall determine. Other than in connection with a dividend declared by the Board of Directors in connection with Change of Control, a "poison pill" or similar stockholder rights plan, dividends shall not be declared or paid on the Class B Interests and the holders of Class B Interests shall have no right to receive dividends in respect of such Class B Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Subordinated Loans Repayment</u>. All cash dividends declared by the Board of Directors on the Class A Interests shall be allocated and applied among Tranches (as defined below) in accordance with the Applicable Ratio (as defined below) applicable for such Tranche. In accordance with the terms of the Subordinated Loan Agreement (as defined below), all cash dividends allocable to a Class of Equity Interest shall be used to pay off all amounts owed under the corresponding Subordinated Loan Tranche unless and until there are no further amounts outstanding under such corresponding Subordinated Loan Tranche. In the event that the Board of Directors declares a dividend on the Class A Interests and there is any Class of Equity Interest that does not have any amounts outstanding under a corresponding Subordinated Loan Tranche, then the cash that would have been allocated to such Tranche in accordance with the Applicable Ratio for such Tranche shall be paid by the Corporation to the holders of the Class of Equity Interest of such Tranche. In the event that the Board of Directors declares a dividend on the Class A Interests and such cash payment would result in the payment in full of all amounts due and payable with respect to one Subordinated Loan Tranche without requiring the entire cash amount allocable to such Tranche to be applied to such Subordinated Loan Tranche, then such Subordinated Loan Tranche will be paid or prepaid in full, and any remaining cash that would have been allocated to such Tranche in accordance with the Applicable Ratio for such Tranche shall be paid by the Corporation as a dividend to the holders of such Class of Equity Interest of such Tranche.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Liquidation Rights</u>. In the event of liquidation, dissolution or winding up of the affairs of the Corporation, whether voluntary or involuntary, after payment or provision for payment of the debts and other liabilities of the Corporation (including without limitation any Subordinated Loans outstanding at the time of such liquidation that are attributable to any Class of Equity Interest under the Subordinated Loan Agreement) and after making provisions for preferential and other amounts, if any, to which the holders of any class or series of stock having a preference over or the right to participate with the Class A Interests with respect to the distribution of assets of the Corporation upon such dissolution, liquidation or winding up shall be entitled, the remaining assets and funds of the Corporation available for distribution shall be divided among and paid ratably to the holders of all outstanding Class A Interests in proportion to the number of shares of stock held by each such stockholder, as adjusted for each Tranche to reflect the Subordinated Loans outstanding at the time of such liquidation that are attributable to such Class of Equity Interest under the Subordinated Loan Agreement. The holders of Class B Interests shall not be entitled to receive any assets of the Corporation in the event of any voluntary or involuntary liquidation, dissolution or winding up of the affairs of the Corporation. A consolidation, reorganization or merger of the Corporation with any other Person or Persons (as defined below), a conversion of the Corporation or a sale of all or substantially all of the assets of the Corporation, shall not be considered to be a dissolution, liquidation or winding up of the Corporation within the meaning of this <u>Section 4.4(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Class A Interests</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The aggregate number of Class A Interests outstanding at any time must be equal to the aggregate number of LLC Interests held of record at such time by the Corporation under the LLC Agreement. As used in this Certificate of Incorporation, "***LLC Interests***" has the meaning set forth in the Amended and Restated Limited Liability Company Agreement of Bally's Chicago Operating Company, LLC, dated as of the date hereof, as such agreement may be further amended, restated, amended and restated, supplemented or otherwise modified from time to time (the "***LLC Agreement***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Corporation shall, to the fullest extent permitted by law, undertake all necessary and appropriate action within its control to ensure that the aggregate number of Class A Interests issued by the Corporation at any time shall be equal to the aggregate number of LLC Interests held of record by the Corporation in accordance with the terms of the LLC Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Class B Interests</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (x) Class B Interests may be issued only to, and registered only in the name of, Bally's Chicago Holding Company, LLC, a Delaware limited liability company and a wholly-owned subsidiary of Bally's Corporation, and its Affiliates (collectively, the "Permitted Class B Owners") and (y) the aggregate number of Class B Interests outstanding at any time must be equal to the aggregate number of LLC Interests held of record at such time by the Permitted Class B Owners under the LLC Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Corporation shall, to the fullest extent permitted by law, undertake all necessary and appropriate action within its control to ensure that the aggregate number of Class B Interests issued by the Corporation at any time to, or otherwise held of record by, the holders of Class B Interests shall be equal to the aggregate number of LLC Interests held of record by the Permitted Class B Owners in accordance with the terms of the LLC Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) In the event that there is a merger, consolidation, conversion, transfer or Change of Control (as defined below) of the Corporation that was approved by the Board of Directors, prior to such merger, consolidation, conversion, transfer or Change of Control, the holders of Class B Interests shall be entitled to receive $0.001 per Class B Interest and nothing further, whether in the form of consideration for such shares or in the form of a distribution of the proceeds of a sale of all or substantially all of the assets of the Corporation with respect to such shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Adjustments for Subdivisions, Combinations or Reclassifications of Class A Interests and Class B Interests.</u> If the Corporation in any manner subdivides, combines or reclassifies the outstanding Class A-1 Interests, Class A-2 Interests, Class A-3 Interest, Class A-4 Interests or Class B Interests, the outstanding shares of each other such class (or classes) shall, concurrently therewith, be subdivided, combined or reclassified in the same proportion and manner such that the same proportionate equity ownership between the holders of outstanding Class A-1 Interests, Class A-2 Interests, Class A-3 Interest, Class A-4 Interests and Class B Interests on the record date for such subdivision, combination or reclassification is preserved, unless different treatment of the shares of each such class is approved by (i) the holders of a majority of the outstanding Class A Interests and (ii) the holders of a majority of the outstanding Class B Interests, each of (i) and (ii) voting as separate classes. In the event of any such subdivision, combination or reclassification, the Corporation shall cause Bally's Chicago Operating Company, LLC to make corresponding changes to the LLC Interests to give effect to such subdivision, combination or reclassification, as applicable.

Section 4.5 <u>Transfer of Class A Interests</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Transfer with the Corporation's Consent</u>. A holder of Class A Interests may Transfer their Class A Interests only with the Corporation's consent and only to a Permitted Transferee. In addition, a holder of Class A-1 Interests, Class A-2 Interests or Class A-3 Interests may Transfer their Class A-1 Interests, Class A-2 Interests or Class A-3 Interests only if the Subordinated Loans attributable to such Class of Equity Interest is paid in full in accordance with the Subordinated Loan Agreement and such Interests are converted to Class A-4 Interests before or substantially concurrently with the Transfer. In the event that a holder of Class A-1 Interests, Class A-2 Interests or Class A-3 Interests desires to Transfer their Class A-1 Interests, Class A-2 Interests or Class A-3 Interests and the Subordinated Loans attributable to such shares have not been paid in full, such holder or the transferee may repay in full the pro rata amount of the remaining balance of the Subordinated Loans attributable to such Class of Equity Interest in accordance with the Subordinated Loan Agreement and <u>Section 4.11</u> below. Upon such repayment, the Subordinated Loans attributable to such Class of Equity Interest will be deemed to be fully satisfied. For the avoidance of doubt, in no circumstances, such holder will be deemed a successor lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Transfer without the Corporation's Consent</u>. Notwithstanding the foregoing, holders of our Class A Interests may transfer their Class A Interest without our consent (each a "***Permitted Transferee***"): (i) to any individual or entity who, directly or indirectly (including through one or more intermediaries), controls, is controlled by or is under common control with, such person or entity, including any partner, member, stockholder or other equity holder of such person or entity or manager, director, officer or employee of such person or entity; (ii) as a bona fide gifts to any individual or entity that is the legal representative, heir, beneficiary or a member of the immediate family of such holder; (iii) by operation of law pursuant to a court order, decree or judgment to any person or entity; or (iv) to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Class A Interests cannot be transferred to employee benefit plans that are subject to Title I of the Employee Retirement Income Security Act of 1974, as amended ("***ERISA***"), plans, individual retirement accounts ("***IRAs***") and other arrangements that are subject to Section 4975 of the U.S. Internal Revenue Code of 1986, as amended (the "***Code***"), or provisions under any federal, state, local, non-U.S. or other laws or regulations that are similar to such provisions of ERISA or the Code (collectively, "***Similar Laws***"), and entities whose underlying assets are considered to include "plan assets" of such plans, accounts and arrangements pursuant to 29 C.F.R. Section 2510.3-101, as modified by Section 3(42) of ERISA, or any Similar Law (each, a "***Plan***"). The Transfer restrictions described in <u>Section 4.5(a)-(c)</u> are referred to as the "***Class A Restrictions***".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Any purported Transfer of Class A Interests in violation of the Class A Restrictions shall be null and void *ab initio*. If, notwithstanding the Class A Restrictions, a Person, voluntarily or involuntarily (including by way of a foreclosure), purportedly becomes or attempts to become, the purported owner (the "***Purported Class A Owner***") of Class A Interests, in violation of the Class A Restrictions, then (A) the Purported Class A Owner shall not obtain any rights in, to or with respect to such (i) Class A Interests, and the purported Transfer of the Class A Interests to the Purported Class A Owner shall not be recognized by the Corporation, the Corporation's transfer agent (the "***Transfer Agent***") or the Secretary of the Corporation and (ii) each holder of such Class A Interests shall, to the fullest extent permitted by law, automatically, without any further action on the part of the Corporation, the holder thereof, the Purported Class A Owner or any other party, not be entitled to any voting rights with respect to those Class A Interests and (B) the Corporation may redeem the Class A Interests for $0.001 per share (the "***Redemption Price***"). With respect to any such redemption, the Class A Interests shall be redeemable by the Corporation, out of funds legally available therefor as and to the extent deemed necessary or advisable by the Board of Directors. In connection with such redemption, the Corporation shall deliver a notice (the "***Redemption Notice***") to the holder of the Class A Interests and shall redeem or purchase the Class A Interests on a date set forth therein (the "***Redemption Date***") and for the Redemption Price set forth in the Redemption Notice. From and after the Redemption Date, such Class A Interests shall no longer be deemed to be outstanding, such holder of Class A Interests shall cease to be a stockholder of the Corporation with respect to such Class A Interests, and all rights of such holder in such Class A Interests, other than the right to receive the Redemption Price, shall cease. In accordance with the requirements of the Redemption Notice, such holder shall surrender the certificate(s), if any, representing the Class A Interests to be so redeemed. In the event that the Corporation exercises its right to redeem such Class A Interests, the Corporation shall also be required to redeem, out of funds legally available therefor, an amount of Class B Interests that is three times the number of Class A Interests being redeemed for $0.001 per share from any Permitted Class B Owner(s) as determined by the Board of Directors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Upon a determination by the Board of Directors that a Person has attempted or may attempt to Transfer or to acquire Class A Interests in violation of the Class A Restrictions, the Corporation may take such action as it deems necessary or advisable to refuse to give effect to such Transfer or acquisition on the books and records of the Corporation, including without limitation to cause the Transfer Agent or the Secretary of the Corporation, as applicable, to not record the Purported Class A Owner as the record owner of the Class A Interests on the books and records of the Corporation and to institute proceedings to enjoin or rescind any such Transfer or acquisition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Board of Directors may, to the extent permitted by law, from time to time establish, modify, amend or rescind, by bylaw or otherwise, regulations and procedures not inconsistent with the provisions of this <u>Section 4.5</u> for determining whether any Transfer or acquisition of Class A Interests would violate the Class A Restrictions, and for the orderly application, administration and implementation of the provisions of this <u>Section 4.5</u>. Any such procedures and regulations shall be kept on file with the Secretary of the Corporation and with the Transfer Agent and shall be made available for inspection by and, upon written request shall be mailed to, any requesting holders of shares of stock of the Corporation.

Section 4.6 <u>Certificates</u>. All certificates or book entries representing Class A Interests shall bear a legend substantially in the following form (or in such other form as the Board of Directors may determine):

THE SECURITIES REPRESENTED BY THIS [CERTIFICATE][BOOK ENTRY] ARE SUBJECT TO THE RESTRICTIONS (INCLUDING RESTRICTIONS ON TRANSFER) SET FORTH IN THE CERTIFICATE OF INCORPORATION OF THE CORPORATION AS IT MAY BE AMENDED AND/OR RESTATED (A COPY OF WHICH IS ON FILE WITH THE SECRETARY OF THE CORPORATION AND SHALL BE PROVIDED FREE OF CHARGE TO ANY STOCKHOLDER MAKING A REQUEST THEREFOR).

Section 4.7 <u>Right of First Refusal</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Commencing on the fifth anniversary of the initial registration of the Corporation's Class A Interests pursuant to the Exchange Act, each of the Corporation and Bally's Corporation will have a right of first refusal (the "***Right of First Refusal***") to purchase any Class A Interests that holders of Class A Interests may Transfer (the "***Offered Interests***") at a price equal to the offer price set forth in the Transfer Offer Notice (as defined below). Within five (5) business days of receiving an offer to purchase any Offered Interests and prior to accepting such offer, the holder thereof must deliver a notice (the "***Transfer Offer Notice***") to the Corporation specifying in reasonable detail the terms of the offer, including the number of Offered Interests to be Transferred and the offer price for the Offered Interests. The Corporation will have twenty (20) days from the date the Transfer Offer Notice is delivered to it to decide if it wants to purchase any of the Offered Interests at the offer price set forth in the Transfer Offer Notice. If the Corporation does not choose to purchase all of the Offered Interests, the holder thereof must deliver the Transfer Offer Notice to Bally's Corporation specifying in reasonable detail the terms of the offer, including the number of the remaining Offered Interests to be Transferred and the offer price for the Offered Interests. Bally's Corporation will have twenty (20) days from the date the Transfer Offer Notice is delivered to it to decide if it wants to purchase any of the remaining Offered Interests at the offer price set forth in the Transfer Offer Notice.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If the Corporation and Bally's Corporation do not exercise the Right of First Refusal partially or in full, the remaining Offered Interests may be purchased by the prospective purchaser at the offer price set forth in the Transfer Offer Notice and transferred to the prospective purchaser. The Right of First Refusal will not apply to (i) Transfers pursuant to <u>Sections 4.5(b)</u>, <u>4.8 and 4.9</u> or (ii) Transfers made in connection with <u>Section 4.10</u> after the Corporation and Bally's Corporation decline to exercise the Right of First Refusal in full.

Section 4.8 <u>Drag-Along Right</u>. In the event that Bally's Corporation (or any successor entity) and/or the Corporation (as applicable) proposes to sell the Corporation or all or substantially all of the Corporation's assets to a third party purchaser, or agrees to any other transaction that would result in Bally's Corporation no longer directly or indirectly controlling a majority of the voting power of the stock of the Corporation (each a "***Drag-Along Sale***"), Bally's Corporation will have the right, after delivering a notice thereof to the stockholders of the Corporation (the "***Drag-Along Notice***"), to require each other stockholder to participate in such Drag-Along Sale, on substantially the same terms and conditions as Bally's Corporation (the "***Drag-Along Right***"). If Bally's Corporation exercises its Drag-Along Right, the other stockholders will be required to (i) sell their shares if the transaction is structured as an equity sale; (ii) vote in favor of the proposed transaction if the transaction is structured as an asset sale, merger, reorganization or recapitalization or otherwise requires a stockholder vote for approval and (iii) not object to the proposed transaction and waive any dissenters', appraisal or similar rights they may have in connection with the proposed transaction. If Bally's Corporation wants to exercise its Drag-Along Right, it must do so by delivering notice to the other stockholders within ten (10) days after execution of the definitive documents for the proposed transaction, and no later than twenty (20) business days before the closing of the proposed transaction. The notice must describe the terms of the proposed Drag-Along Sale in reasonable detail.

Section 4.9 <u>Tag-Along Right</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If any holder of Class B Interests (the "***Selling Holder***") proposes to transfer any of its Class B Interests (the "***Tag-Along Interest***") to any person, each holder of Class A Interests (each, a "***Tag-Along Holder***") will be permitted to participate in such sale (a "***Tag-Along Sale***") on the terms and conditions set forth below (the "***Tag-Along Right***"), except for transfers made in connection with the Drag-Along Rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If a Selling Holder proposes to transfer any Tag-Along Interests, they must give notice to the Corporation and each other Tag-Along Holder, describing the terms of the proposed Tag-Along Sale. Upon receipt of such notice:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Tag-Along Holders will then have ten (10) business days to decide if they want to participate in the Tag-Along Sale by selling some of their Class A Interests; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the Selling Holder and each Tag-Along Holder that elects to participate in the Tag-Along Sale shall deliver a notice to the Corporation within ten (10) business days of receiving the notice from the Seller Holder pursuant to Section 4.9(b) and such Tag-Along Holder will have the right to transfer their pro rata portion of the Tag-Along Interests, based on the amount of Class A Interests owned by each such holder and the aggregate amount of Class A Interests and Class B Interests outstanding at such time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) A Tag-Along Holder can choose to sell less than their entire pro rata portion of the Class A Interests it is entitled to sell in the Tag-Along Sale, and any such number of Class A Interests not sold by a Tag-Along Holder may be substituted for additional shares of Class B Interests sold by the Selling Holder.

Section 4.10 <u>Transfers of Class A Interests by Death</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In the event of the death of a holder of Class A Interests, the Corporation will have the right to elect to repurchase the Class A Interests held by such holder, which it may exercise by delivering a notice (the "***Repurchase Notice***") to the estate of the deceased holder within sixty (60) days after the date on which the Corporation was notified of such death. The Corporation will then have ninety (90) days from the date on which it delivers the Repurchase Notice to purchase the Class A Interests of such holder, at a price equal to eight times its latest four fiscal quarters EBITDA divided by the aggregate number of Interests then outstanding (the "***Repurchase Price***"), which price shall be set forth in the Repurchase Notice. With respect to any such repurchase, the Class A Interests shall be repurchased by the Corporation, out of funds legally available therefor as and to the extent deemed necessary or advisable by the Board of Directors. From the date of such repurchase, such Class A Interests shall no longer be deemed to be outstanding, such holder of Class A Interests shall cease to be a stockholder of the Corporation with respect to such Class A Interests, and all rights of such holder in such Class A Interests, other than the right to receive the Repurchase Price, shall cease. In the event that the Corporation exercises its right to repurchase such Class A Interests, the Corporation shall at the same time also be required to redeem, out of funds legally available therefor, an amount of Class B Interests that is three times the number of Class A Interests being redeemed for $0.001 per share from any Permitted Class B Owner(s) as determined by the Board of Directors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event of the death of a holder of our Class A Interests, the Corporation will have the right to elect to repurchase the Class A Interests held by such holder, which it may exercise by delivering a Repurchase Notice to the estate of the deceased holder at any time after the date on which the Corporation was notified of such death, unless the transferee or transferees deliver a notice to the Corporation, in which case the Corporation may exercise its repurchase right by delivering the Repurchase Notice within sixty (60) days of such date. The Corporation will then have ninety (90) days from the date on which it delivers the Repurchase Notice to purchase the Class A Interests of such holder, at the Repurchase Price. With respect to any such repurchase, the Class A Interests shall be repurchased by the Corporation, out of funds legally available therefor as and to the extent deemed necessary or advisable by the Board of Directors. From the date of such repurchase, such Class A Interests shall no longer be deemed to be outstanding, such holder of Class A Interests shall cease to be a stockholder of the Corporation with respect to such Class A Interests, and all rights of such holder in such Class A Interests, other than the right to receive the Repurchase Price, shall cease. In the event that the Corporation exercises its right to repurchase such Class A Interests, the Corporation shall at the same time also be required to redeem an amount of Class B Interests that is three times the amount of Class A Interests being redeemed for $0.001 per share.

Section 4.11 <u>Optional Conversion of Class A-1, A-2 and A-3 Interests</u>. Each Class A-1 Interest, Class A-2 Interest and Class A-3 Interest shall be convertible into one (1) fully paid and nonassessable Class A-4 Interest at the option of the holder thereof at any time upon written notice to the Corporation (an "***Class A-4 Conversion Event***"), *provided that*, if the Subordinated Loans attributable to such Class of Equity Interest remains outstanding, the holder of such Interest, or a transferee, shall pay to the Corporation an amount equal to the pro rata amount of the remaining balance of the Subordinated Loans attributable to such Class of Equity Interest and the Corporation shall use such proceeds to repay such remaining balance of the Subordinated Loans attributable to such Class of Equity Interest in accordance with the Subordinated Loan Agreement, in each case before or substantially concurrently with the conversion. Upon such repayment, the Subordinated Loans attributable to such Class of Equity Interest will be deemed to be fully satisfied. For the avoidance of doubt, in no circumstances, such holder or transferee will be deemed a successor lender. Once such amount has been repaid in full, or substantially conurrently with such repayment in full, such holder shall surrender the certificate or certificates therefor (if any), duly endorsed, at the principal corporate office of the Corporation or of any transfer agent for such Class of Equity Interest, and shall provide written notice to the Corporation at its principal corporate office, of such conversion election and shall state therein the name or names (i) in which the certificate or certificates representing the Class A-4 Interests into which the Class A-1 Interests, Class A-2 Interests or Class A-3 Interests are to be converted (if such Class A-4 Interests are certificated) or (ii) in which such Class A-4 Interests are to be registered in book-entry form (if such Class A-4 Interests are uncertificated). If the Class A-4 Interests into which the Class A-1 Interests, Class A-2 Interests or Class A-3 Interests are to be converted are to be issued in a name or names other than the name of the holder of the Class A-1 Interests, Class A-2 Interests or Class A-3 Interests being converted, such notice shall be accompanied by a written instrument or instruments of transfer, in form satisfactory to the Corporation, duly executed by the holder. The Corporation shall, as soon as practicable thereafter, issue and deliver at such office to such holder, or to the nominee or nominees of such holder, a certificate or certificates representing the number of Class A-4 Interests to which such holder converted such holders' Class A-1 Interests, Class A-2 Interests or Class A-3 Interests (if such Class A-4 Interests are certificated) or shall register such Class A-4 Interests in book-entry form (if such Class A-4 Interests are uncertificated). Such conversion shall be deemed to be effective immediately prior to the close of business on the date of such surrender of the Class A-1 Interests, Class A-2 Interests or Class A-3 Interests to be converted following or contemporaneously with the provision of written notice of such conversion election as required by this <u>Section 4.11</u>, the Class A-4 Interests issuable upon such conversion shall be deemed to be outstanding as of such time, and the Person or Persons entitled to receive the Class A-4 Interests issuable upon such conversion shall be deemed to be the record holder or holders of such shares of Class A-4 Interests as of such time. Notwithstanding anything herein to the contrary, Class A-1 Interests, Class A-2 Interests or Class A-3 Interests represented by a lost, stolen or destroyed stock certificate may be converted pursuant to an Class A-4 Conversion Event if the holder thereof notifies the Corporation or its transfer agent that such certificate has been lost, stolen or destroyed and makes an affidavit of that fact acceptable to the Corporation and executes an agreement acceptable to the Corporation to indemnify the Corporation from any loss incurred by it in connection with such certificate.

**Article V.**

In furtherance and not in limitation of the powers conferred upon it by the DGCL, the Board of Directors shall have the power to adopt, amend, alter or repeal the Bylaws of the Corporation. The stockholders may not adopt, amend, alter or repeal the Bylaws of the Corporation unless such action is approved, in addition to any other vote required by this Certificate of Incorporation or applicable law, by the affirmative vote of the holders of at least sixty-six and two-thirds percent (66 2/3%) of the voting power of all of the then-outstanding shares of the Corporation entitled to vote thereon, voting together as a single class.

**Article VI.**

Section 6.1 <u>Ballot</u>. Elections of directors (each such director, in such capacity, a "***Director***" and collectively the "***Directors***") need not be by written ballot unless the Bylaws shall so provide.

Section 6.2 <u>Number of Directors</u>. Except as otherwise provided by the DGCL or this Certificate of Incorporation, the business and affairs of the Corporation shall be managed by or under the direction of the Board of Directors. The number of Directors shall be fixed from time to time exclusively by a majority of the Whole Board of Directors. For purposes of this Certificate of Incorporation, the term "***Whole Board of Directors***" shall mean the total number of authorized Directors (from time to time) whether or not there exist any vacancies.

Section 6.3 <u>Terms of Office</u>. Each director of the Corporation shall serve for a term expiring at the first annual meeting of the stockholders following the initial registration of the Corporation's Class A Interests pursuant to the Securities Exchange Act of 1934, as amended (the "***Exchange Act***"). At each annual meeting of stockholders of the Corporation beginning with the first annual meeting of stockholders following the initial registration of the Corporation's Class A Interests pursuant to the Exchange Act, the successors of all directors shall be elected to hold office for a term expiring at the next succeeding annual meeting of stockholders. Each director shall hold office until his or her successor is duly elected and qualified or until his or her earlier death, resignation, disqualification or removal. No decrease in the number of directors shall shorten the term of any incumbent director.

Section 6.4 <u>Newly Created Directorships and Vacancies</u>. Except as otherwise provided by law, any vacancies on the Board of Directors resulting from death, resignation, disqualification, retirement, removal or other causes and any newly created directorships resulting from any increase in the number of Directors shall be filled exclusively by the affirmative vote of a majority of the Directors then in office, even if less than a quorum, or by a sole remaining Director, and shall not be filled by the stockholders. Any Director appointed in accordance with the preceding sentence shall hold office until the expiration of the term to which such Director shall have been appointed or until his or her earlier death, resignation, retirement, disqualification, or removal. When the number of Directors is increased or decreased, the Board of Directors shall determine the class or classes to which the increased or decreased number of Directors shall be apportioned.

Section 6.5 <u>Removal</u>. The Board of Directors or any individual Director may be removed from office either with or without cause by the affirmative vote of the holders of shares representing at least sixty-six and two-thirds percent (66 2/3%) of the voting power of all of the then outstanding shares of stock of the Corporation entitled to vote thereon, voting together as a single class.

Section 6.6 <u>Notice</u>. Advance notice of stockholder nominations for election of Directors and other business to be brought by stockholders before a meeting of stockholders shall be given in the manner provided by the Bylaws.

**Article VII.**

Section 7.1 <u>Consent of Stockholders In Lieu of Meeting</u>. Any action required or permitted to be taken by the stockholders of the Corporation may be taken without a meeting, without prior notice and without a vote, if a consent or consents, setting forth the action so taken, are (1) signed by the holders of outstanding shares of stock of the Corporation representing not less than the minimum number of votes that would be necessary to authorize or take such action at a meeting at which all shares of stock of the Corporation then issued and outstanding entitled to vote thereon were present and voted and (2) delivered to the Corporation in accordance with applicable law.

Section 7.2 <u>Special Meetings of Stockholders</u>. Subject to the requirements of applicable law, special meetings of the stockholders of the Corporation may be called, for any purpose or purposes, at any time only by or at the direction of (i) the Chairperson of the Board of Directors (if any), (ii) the President, (iii) the Board of Directors pursuant to a resolution adopted by a majority of the Whole Board of Directors or (iv) the holders of at least twenty-five percent (25%) of the voting power of all of the then-outstanding shares of the Corporation, and shall not be called by any other person or persons.

**Article VIII.**

The Corporation reserves the right to amend, alter, change, adopt or repeal any provision contained in this Certificate of Incorporation, in the manner now or hereafter prescribed by statute, and all rights conferred upon stockholders herein are granted subject to this reservation; <u>provided, however</u>, that the affirmative vote of the holders of at least sixty-six and two-thirds percent (66 2/3%) of the voting power of all of the then-outstanding shares of the Corporation entitled to vote thereon, voting together as a single class, shall be required to amend or repeal, or adopt any provision of this Certificate of Incorporation inconsistent with <u>Sections 4.2</u>, <u>4.3</u>, <u>4.4</u> and <u>4.5</u> of Article IV or with Articles V, VI, VII, VIII, IX, XI and XII; <u>provided further</u>, that any amendment (including by merger, consolidation, conversion, transfer or otherwise) to this Certificate of Incorporation that gives holders of the Class B Interests (i) any rights to receive dividends (other than as set forth in the last sentence of <u>Section 4.4(b)</u> of Article IV) or any other kind of distribution, (ii) any right to convert into or be exchanged for Class A Interests or (iii) any other economic rights (except for payments in cash in lieu of receipt of fractional shares) shall, in addition to the vote of the holders of any class or series of shares of the Corporation required by law or by this Certificate of Incorporation, also require the affirmative vote of the holders of a majority of the voting power of the outstanding Class A-1 Interests, Class A-2 Interests, Class A-3 Interests and Class A-4 Interests voting together as a separate class. Notwithstanding anything herein to the contrary, any amendment to this Certificate of Incorporation effecting changes set forth in (i) Section 242(d)(1) of the DGCL can be affected without a stockholder vote and (ii) Section 242(d)(2) of the DGCL shall only require the vote of stockholders set forth in Section 242(d)(2) of the DGCL.

**Article IX.**

The Corporation is authorized to indemnify, and to advance expenses to, each current or former Director, officer, employee or agent of the Corporation to the fullest extent permitted by Section 145 of the DGCL (or any successor provision thereto) as it presently exists or may hereafter be amended. To the fullest extent permitted by the laws of the State of Delaware as it exists on the date hereof or as it may hereafter be amended, no Director or officer shall be personally liable to the Corporation or its stockholders for monetary damages for any breach of his or her fiduciary duties as a Director or officer, as applicable. No amendment to, or modification or repeal of, this <u>Article IX</u>, or adoption of any provision of this Certificate of Incorporation, or, to the fullest extent permitted by the DGCL, any modification of law, shall eliminate, reduce or otherwise adversely affect any right or protection of a Director, officer, employee or agent of the Corporation existing hereunder with respect to any act or omission occurring prior to such amendment, adoption, modification or repeal.

**Article X.**

Section 10.1 <u>Corporate Opportunity</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the fullest extent permitted by the laws of the State of Delaware and in accordance with Section 122(17) of the DGCL (or any successor provision thereto), (i) the Corporation hereby renounces all interest and expectancy that it otherwise would be entitled to have in, and all rights to be offered an opportunity to participate in, any business opportunity that from time to time may be presented to any Director or stockholder who is not employed by the Corporation or its subsidiaries (each such Person, an "***Exempt Person***"); (ii) no Exempt Person will have any duty to refrain from (1) engaging in a corporate opportunity in the same or similar lines of business in which the Corporation or its subsidiaries from time to time is engaged or proposes to engage or (2) otherwise competing, directly or indirectly, with the Corporation or any of its subsidiaries; and (iii) if any Exempt Person acquires knowledge of a potential transaction or other business opportunity which may be a corporate opportunity both for such Exempt Person or any of his or her respective Affiliates (as defined below), on the one hand, and for the Corporation or its subsidiaries, on the other hand, such Exempt Person shall have no duty to communicate or offer such transaction or business opportunity to the Corporation or its subsidiaries and such Exempt Person or any of his or her respective Affiliates may take any and all such transactions or opportunities for itself or offer such transactions or opportunities to any other Person. Notwithstanding the foregoing, the preceding sentence of this <u>Section 10.1(a)</u> shall not apply to any potential transaction or business opportunity that is expressly offered to a Director, executive officer or employee of the Corporation or its subsidiaries, solely in his or her capacity as a Director, executive officer or employee of the Corporation or its subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the fullest extent permitted by the laws of the State of Delaware, no potential transaction or business opportunity may be deemed to be a corporate opportunity of the Corporation or its subsidiaries unless (i) the Corporation or its subsidiaries would be permitted to undertake such transaction or opportunity in accordance with this Certificate of Incorporation, (ii) the Corporation or its subsidiaries at such time have sufficient financial resources to undertake such transaction or opportunity, (iii) the Corporation or its subsidiaries have an interest or expectancy in such transaction or opportunity and (iv) such transaction or opportunity would be in the same or similar line of business in which the Corporation or its subsidiaries are then engaged or a line of business that is reasonably related to, or a reasonable extension of, such line of business.

Section 10.2 <u>Liability</u>. To the fullest extent permitted by law, no stockholder and no Director will be liable to the Corporation or its subsidiaries or stockholders for breach of any duty solely by reason of any activities or omissions of the types referred to in this <u>Article X</u>, except to the extent such actions or omissions are in breach of this <u>Article X</u>.

**Article XI.**

Section 11.1 <u>Section 203 of the DGCL</u>. The Corporation expressly elects not to be governed by Section 203 of the DGCL and the restrictions and limitations set forth therein.

**Article XII.**

Section 12.1 <u>Definitions</u>. As used in this Certificate of Incorporation, the following terms shall have the following meaning:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "***A-1 Subordinated Loan***" means the $[·] tranche A-1 subordinated term loan issued to the Corporation pursuant to the Subordinated Loan Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "***A-2 Subordinated Loan***" means the $[·] tranche A-2 subordinated term loan issued to the Corporation pursuant to the Subordinated Loan Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) "***A-3 Subordinated Loan***" means the $[·] tranche A-3 subordinated term loan issued to the Corporation pursuant to the Subordinated Loan Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) "***Affiliate***" means a Person that directly, or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, another Person and, for purposes of the definition of Affiliate, "***control***" (including the terms "controlling," "controlled by" and "under common control with,") means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through the ownership of voting stock, by contract, or otherwise. A Person who is the owner, of twenty percent (20%) or more of the outstanding voting stock of a corporation, partnership, unincorporated association or other entity shall be presumed to have control of such entity, in the absence of proof by a preponderance of the evidence to the contrary. Notwithstanding the foregoing, a presumption of control shall not apply where such Person holds voting stock, in good faith and not for the purpose of circumventing this ‎Article XII, as an agent, bank, broker, nominee, custodian or trustee for one or more owners who do not individually or as a group have control of such entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) "***Applicable Ratio***" means, for each Tranche and as of any date of determination, the percentage equal to (i) the number of outstanding shares of stock of such Tranche divided by (ii) the aggregate number of outstanding shares of stock of all Tranches.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) "***Associate***", when used to indicate a relationship with any Person, means: (i) any corporation, partnership, unincorporated association or other entity of which such Person is a Director, officer or partner or is, directly or indirectly, the owner of twenty percent (20%) or more of any class of shares of the Corporation; (ii) any trust or other estate in which such Person has at least a twenty percent (20%) beneficial interest or as to which such Person serves as trustee or in a similar fiduciary capacity and (iii) any relative or spouse of such Person, or any relative of such spouse, who has the same residence as such Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) "***Change of Control***" means the occurrence of any of the following events: (1) any "Person" or "group" (within the meaning of Sections 13(d) and 14(d) of the Exchange Act, but excluding any employee benefit plan of such Person and its subsidiaries, and any person or entity acting in its capacity as trustee, agent or other fiduciary or administrator of any such plan) becomes the "beneficial owner" (within the meaning of Rules 13d-3 and 13d-5 under the Exchange Act), directly or indirectly, of Class A Interests, Class B Interests and/or any other class or classes of stock of the Corporation (if any) representing in the aggregate more than fifty percent (50%) of the voting power of all of the outstanding stock of the Corporation entitled to vote generally in the election of directors; (2) the stockholders of the Corporation approve a plan of complete liquidation or dissolution of the Corporation or there is consummated a transaction or series of related transactions for the sale, lease or exchange, directly or indirectly, by the Corporation of all or substantially all of the Corporation's assets (including a sale of all or substantially all of the assets of Bally's Chicago Operating Company LLC); (3) there is consummated a merger or consolidation of the Corporation with any other corporation or entity, and, immediately after the consummation of such merger or consolidation, the voting securities of the Corporation immediately prior to such merger or consolidation do not continue to represent, or are not converted into, voting securities representing more than fifty percent (50%) of the combined voting power of the outstanding voting securities of the Person resulting from such merger or consolidation or, if the surviving company is a subsidiary, the ultimate parent thereof or (4) the Corporation ceases to be the sole managing member of Bally's Chicago Operating Company LLC; <u>provided</u>, <u>however</u>, that a "Change of Control" shall not be deemed to have occurred by virtue of the consummation of any transaction or series of related transactions immediately following which the beneficial owners of the Class A Interests, Class B Interests and/or any other class or classes of shares of the Corporation (if any) immediately prior to such transaction or series of transactions continue to have substantially the same proportionate ownership in and voting control over, and own substantially all of the shares of, an entity which owns all or substantially all of the assets of the Corporation immediately following such transaction or series of transactions or (b) in the case of the foregoing clauses (1) or (3), the Permitted Transferees are the "beneficial owner" (within the meaning of Rules 13d-3 and 13d-5 under the Exchange Act), directly or indirectly, of Class A Interests, Class B Interests and/or any other class or classes of stock of the Corporation (if any) representing in the aggregate more than fifty percent (50%) of the voting power of all of the outstanding stock of the Corporation entitled to vote generally in the election of directors (or, in the case of a transaction described in the foregoing clause (3), more than fifty percent (50%) of the combined voting power of the then outstanding voting securities of the Person resulting from such merger of consolidation or, if the surviving company is a subsidiary, the ultimate parent thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) "***Class of Equity Interest***" shall mean each of the Class A-1 Interests, Class A-2 Interests and Class A-3 Interests, respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) "***owner***," including the terms "own" and "owned," when used with respect to any stock, means, for purposes of this Article XII, a Person that individually or with or through any of its Affiliates or Associates:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) beneficially owns such stock, directly or indirectly;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) has (A) the right to acquire such stock (whether such right is exercisable immediately or only after the passage of time) pursuant to any agreement, arrangement or understanding, or upon the exercise of conversion rights, exchange rights, warrants or options, or otherwise; <u>provided</u>, <u>however</u>, that a Person shall not be deemed the owner of stock tendered pursuant to a tender or exchange offer made by such Person or any of such Person's Affiliates or Associates until such tendered stock is accepted for purchase or exchange; or (B) the right to vote such stock pursuant to any agreement, arrangement or understanding; <u>provided</u>, <u>however</u>, that a Person shall not be deemed the owner of any stock because of such Person's right to vote such stock if the agreement, arrangement or understanding to vote such stock arises solely from a revocable proxy or consent given in response to a proxy or consent solicitation made to ten (10) or more Persons; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) has any agreement, arrangement or understanding for the purpose of acquiring, holding, voting (except voting pursuant to a revocable proxy or consent as described in clause (B) of subsection (ii) above), or disposing of such stock with any other person that beneficially owns, or whose Affiliates or Associates beneficially own, directly or indirectly, such stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) "***Person***" means any individual, corporation, partnership, limited liability company, unincorporated association or other entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) "***stock***" means, for purposes of this Article XII, with respect to any corporation, capital stock and, with respect to any other entity, any equity interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) "***Subordinated Loan Agreement***" means that certain Subordinated Loan Agreement, dated as of [·], 2025, by and between the Corporation and Bally's Chicago Operating Company, LLC, as such agreement may be amended from time to time in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) "***Subordinated Loans***" means, collectively, the A-1 Subordinated Loan, the A-2 Subordinated Loan and the A-3 Subordinated Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) "***Subordinated Loan Tranche***" means, each of the A-1 Subordinated Loan, the A-2 Subordinated Loan and the A-3 Subordinated Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) "***Tranche***" means each of (i) the Class A-1 Interests and the Class A-1 Subordinated Loan, (ii) the Class A-2 Interests and the Class A-2 Subordinated Loan, (iii) the Class A-3 Interests and the Class A-3 Subordinated Loan and (iv) the Class A-4 Interests (and collectively, the "***Tranches***").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) "***Transfer***" (and, with correlative meanings, "***Transferred and Transferring***") means any sale, transfer, assignment, redemption or other disposition of (whether directly or indirectly, whether with or without consideration and whether voluntarily or involuntarily or by operation of law) (a) any shares (legal or beneficial) of the Corporation or (b) any equity or other interest (legal or beneficial) in any stockholder if substantially all of the assets of such stockholder consist solely of shares of the Corporation; <u>provided</u>, <u>however</u>, that the following shall not be considered a Transfer:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the granting of a revocable proxy to officers or directors of the Corporation at the request of the Board of Directors in connection with (i) actions to be taken at an annual or special meeting of stockholders, or (ii) any other action of the stockholders permitted by this Certificate of Incorporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the pledge of Class A Interests by a stockholder that creates a mere security interest in such shares pursuant to a bona fide loan or indebtedness transaction for so long as such stockholder continues to exercise voting control over such pledged shares; <u>provided</u>, <u>however</u>, that a foreclosure on such shares or other similar action by the pledgee shall constitute a Transfer unless such foreclosure or similar action results in a transfer or assignment of the Class A Interests (or any legal or beneficial interest in such shares) to one or more Permitted Transferees at such time; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) entering into a support, voting, tender or similar agreement or arrangement (with or without granting a proxy) or tendering any shares in any tender or exchange offer for the outstanding Class A Interests and Class B Interests, in each case, in connection with a Change of Control transaction, sale of all or substantially all assets, or any merger, consolidation or other business combination involving the Corporation, whether effectuated through one transaction or series of related transactions, that, in each case, has been approved by the Board of Directors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) "***voting stock***" means stock of any class or series entitled to vote generally in the election of directors and, with respect to any entity that is not a corporation, any equity interest entitled to vote generally in the election of the governing body of such entity. Every reference in this ‎Article XII to a percentage or proportion of voting stock shall refer to such percentage or other proportion of the votes of such voting stock.

**Article XIII.**

If any provision or provisions of this Certificate of Incorporation shall be held to be invalid, illegal or unenforceable as applied to any Person or circumstance for any reason whatsoever, then, to the fullest extent permitted by law, the validity, legality and enforceability of such provisions in any other circumstance and of the remaining provisions of this Certificate of Incorporation (including, without limitation, each portion of any sentence of this Certificate of Incorporation containing any such provision held to be invalid, illegal or unenforceable that is not itself held to be invalid, illegal or unenforceable) and the application of such provision to other Persons and circumstances shall not in any way be affected or impaired thereby.

[Signature Page Follows]

IN WITNESS WHEREOF, the Corporation has caused this Amended and Restated Certificate of Incorporation to be signed on this [·] day of [·], 2025.

---

| | |
|:---|:---|
| **BALLY'S CHICAGO, INC.** | **BALLY'S CHICAGO, INC.** |
| By: |  |
| Name: | Ameet Patel |
| Title: | President |

---

## Exhibit 10.15

**Exhibit 10.15**

**BALLY'S CHICAGO OPERATING COMPANY, LLC**

**PROMISSORY NOTE**

---

| | |
|:---|:---|
| **March 31, 2025** | $48544204.87 |

---

Effective as of the date set forth above (the "***Effective Date***"), Bally's Chicago Operating Company, LLC, a Delaware limited liability company (the "***Company***"), for value received, promises to pay to the order of Bally's Chicago Holding Company LLC, a Delaware limited liability company (together with its successors and assigns, the "***Holder***"), the sum of FORTY-EIGHT MILLION FIVE HUNDRED FORTY-FOUR THOUSAND TWO HUNDRED FOUR DOLLARS AND EIGHTY-SEVEN CENTS ($48,544,204.87). The outstanding principal hereof and all accrued but unpaid interest thereon (the "***Debt***") shall be payable at the principal office of the Company or by mail to the registered address of the Holder on December 31, 2025 (the "***Repayment Date***").

The following is a statement of the rights of the Holder and the conditions to which this Note is subject, and to which the Holder, by the acceptance of this Note, agrees:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. ***Defaults***. The Holder may declare the Debt immediately due and payable, by a notice in writing to the Company if any of the following events shall occur:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 Default in the payment of principal of this Note and accrued interest thereon when due; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 The institution by the Company of proceedings to be adjudicated as bankrupt or insolvent, or the consent by it to institution of bankruptcy or insolvency proceedings against it under the Bankruptcy Act, or any other applicable federal or state law, or the consent by it to, or acquiescence in, the filing of any such petition or the appointment of a receiver, liquidator, assignee, trustee, or other similar official, of the Company, or of any substantial part of its property, or the making by it of an assignment for the benefit of creditors, or the admission by it in writing of its inability to pay its debts generally as they become due; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3 Within 30 days after the commencement of proceedings against the Company seeking any bankruptcy, insolvency, liquidation, dissolution or similar relief under any present or future statute, law or regulation, such action shall not have been dismissed or all orders or proceedings thereunder affecting the operations or the business of the Company stayed, or the stay of any such order or proceedings shall thereafter be set aside, or, within 30 days after the appointment without the consent or acquiescence of the Company of any trustee, receiver or liquidator of the Company or of all or any substantial part of the properties of the Company, such appointment shall not have been vacated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. ***Miscellaneous***.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 ***Waiver and Amendment***. Any provision of this Note may be amended, waived or modified only upon the written consent of the Company and the Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 ***Restrictions on Transfer; Assignment***. The Holder may not transfer or assign all or any part of this Note without the approval of the Company. All rights and obligations of the Company and the Holder shall be binding upon and benefit the successors, assigns, heirs and administrators of the parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 ***Fees and Expenses***. All expenses incurred in connection with this Note, including attorneys' fees, shall be paid by the parties incurring such expenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 ***Governing Law***. This Note and all acts and transactions pursuant hereto and the rights and obligations of the parties hereto shall be governed by, and construed in accordance with, the laws of the State of New York, without regard to conflict of law principles that would result in the application of any law other than the law of the State of New York. Each party hereto consents to exclusive jurisdiction and venue in New York, if in state court, and in the United States District Court for the New York, if in United States federal court, for any suit or proceeding relating to, arising out of or arising under this Note; such courts shall have the sole and exclusive in personam, subject matter and other jurisdiction in connection with such suit or proceeding and venue shall be appropriate for all purposes in such courts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 ***Prepayment***. The Debt may be prepaid by the Company prior to the Repayment Date without the consent of the Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 ***Lost or Stolen Note***. Upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction, or mutilation of this Note and, in the case of any such loss, theft or destruction, upon receipt of an indemnity reasonably satisfactory to the Company, or in the case of any such mutilation, upon surrender and cancellation of such Note, the Company, at its expense, will make and deliver a new Note, of like tenor, in lieu of the lost, stolen, destroyed or mutilated Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 ***Notices***. Any notice required or permitted hereunder shall be given in writing and shall be conclusively deemed effectively given upon personal delivery or delivery by courier, or on the first business day after transmission if sent by confirmed facsimile transmission or electronic mail transmission, or five business days after deposit in the United States first class mail, by registered or certified mail, postage prepaid, addressed as set forth below the Company's or the Holder's name, as applicable, on the signature page hereto, or at such other address as the Company or the Holder may designate by 10 business days' advance written notice to the other party hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8 ***Severability***. If one or more provisions of this Note are held unenforceable under applicable law, such provision shall be excluded from this Note and the balance of this Note shall be interpreted as if such provision were so excluded and shall be enforceable in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.9 ***Heading; References***. All headings used herein are used for convenience only and shall not be used to construe or interpret this Note. Except where otherwise indicated, all references herein to Sections refer to Sections hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.10 ***Entire Agreement***. This instrument represents the entire agreement between the parties hereto with respect to this Note and its terms and conditions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.11 ***Counterparts***. This Note may be executed in counterparts, all of which together will constitute one and the same agreement. Delivery of an executed counterpart of a signature page of this Note by facsimile, portable document format (.pdf) or other electronic transmission will be as effective as delivery of a manually executed counterpart hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.12 ***Electronic Execution of Certain Other Documents***. The words "execution," "execute", "signed," "signature," and words of like import in or related to any document to be signed in connection with this Note and the transactions contemplated hereby (including without limitation assignments, assumptions, amendments, waivers and consents) shall be deemed to include electronic signatures, the electronic matching of assignment terms and contract formations on electronic platforms approved by the Holder, or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.

*[Remainder of Page Intentionally Left Blank]*

IN WITNESS WHEREOF, the Company has caused this Promissory Note to be issued as of the Effective Date.

---

| | | |
|:---|:---|:---|
| **Company:** | **BALLY'S CHICAGO OPERATING COMPANY, LLC** | **BALLY'S CHICAGO OPERATING COMPANY, LLC** |
|  | By: | /s/ Ameet Patel |
|  | Name: | Ameet Patel |
|  | Title: | President |
| **Holder**: | **BALLY'S CHICAGO HOLDING COMPANY, LLC** | **BALLY'S CHICAGO HOLDING COMPANY, LLC** |
|  | By: | /s/ Ameet Patel |
|  | Name: | Ameet Patel |
|  | Title: | President |

---

*[Signature Page to Promissory Note]*

## Exhibit 10.16

**Exhibit 10.16**

**BALLY'S CHICAGO INC.**

**PROMISSORY NOTE**

---

| | |
|:---|:---|
| **March 31, 2025** | $1428069.60 |

---

Effective as of the date set forth above (the "***Effective Date***"), Bally's Chicago Inc., a Delaware corporation (the "***Company***"), for value received, promises to pay to the order of Bally's

Chicago Holding Company, LLC, a Delaware a limited liability company (together with its successors and assigns, the "***Holder***"), the sum of ONE MILLION FOUR HUNDRED TWENTY-EIGHT THOUSAND SIXTY-NINE DOLLARS AND SIXTY CENTS ($1,428,069.60). The outstanding principal hereof(the "***Debt***") shall be payable at the principal office of the Company or by mail to the registered address of the Holder on December 31, 2025 (the "***Repayment Date***").

The following is a statement of the rights of the Holder and the conditions to which this Note is subject, and to which the Holder, by the acceptance of this Note, agrees:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. ***Defaults***. The Holder may declare the Debt immediately due and payable, by a notice in writing to the Company if any of the following events shall occur:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 Default in the payment of principal of this Note and accrued interest thereon when due; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 The institution by the Company of proceedings to be adjudicated as bankrupt or insolvent, or the consent by it to institution of bankruptcy or insolvency proceedings against it under the Bankruptcy Act, or any other applicable federal or state law, or the consent by it to, or acquiescence in, the filing of any such petition or the appointment of a receiver, liquidator, assignee, trustee, or other similar official, of the Company, or of any substantial part of its property, or the making by it of an assignment for the benefit of creditors, or the admission by it in writing of its inability to pay its debts generally as they become due; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3 Within 30 days after the commencement of proceedings against the Company seeking any bankruptcy, insolvency, liquidation, dissolution or similar relief under any present or future statute, law or regulation, such action shall not have been dismissed or all orders or proceedings thereunder affecting the operations or the business of the Company stayed, or the stay of any such order or proceedings shall thereafter be set aside, or, within 30 days after the appointment without the consent or acquiescence of the Company of any trustee, receiver or liquidator of the Company or of all or any substantial part of the properties of the Company, such appointment shall not have been vacated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. ***Miscellaneous***.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 ***Waiver and Amendment***. Any provision of this Note may be amended, waived or modified only upon the written consent of the Company and the Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 ***Restrictions on Transfer; Assignment***. The Holder may not transfer or assign all or any part of this Note without the approval of the Company. All rights and obligations of the Company and the Holder shall be binding upon and benefit the successors, assigns, heirs and administrators of the parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 ***Fees and Expenses***. All expenses incurred in connection with this Note, including attorneys' fees, shall be paid by the parties incurring such expenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 ***Governing Law***. This Note and all acts and transactions pursuant hereto and the rights and obligations of the parties hereto shall be governed by, and construed in accordance with, the laws of the State of New York, without regard to conflict of law principles that would result in the application of any law other than the law of the State of New York. Each party hereto consents to exclusive jurisdiction and venue in New York, if in state court, and in the United States District Court for the New York, if in United States federal court, for any suit or proceeding relating to, arising out of or arising under this Note; such courts shall have the sole and exclusive in personam, subject matter and other jurisdiction in connection with such suit or proceeding and venue shall be appropriate for all purposes in such courts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5 ***Prepayment***. The Debt may be prepaid by the Company prior to the Repayment Date without the consent of the Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6 ***Lost or Stolen Note***. Upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction, or mutilation of this Note and, in the case of any such loss, theft or destruction, upon receipt of an indemnity reasonably satisfactory to the Company, or in the case of any such mutilation, upon surrender and cancellation of such Note, the Company, at its expense, will make and deliver a new Note, of like tenor, in lieu of the lost, stolen, destroyed or mutilated Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7 ***Notices***. Any notice required or permitted hereunder shall be given in writing and shall be conclusively deemed effectively given upon personal delivery or delivery by courier, or on the first business day after transmission if sent by confirmed facsimile transmission or electronic mail transmission, or five business days after deposit in the United States first class mail, by registered or certified mail, postage prepaid, addressed as set forth below the Company's or the Holder's name, as applicable, on the signature page hereto, or at such other address as the Company or the Holder may designate by 10 business days' advance written notice to the other party hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8 ***Severability***. If one or more provisions of this Note are held unenforceable under applicable law, such provision shall be excluded from this Note and the balance of this Note shall be interpreted as if such provision were so excluded and shall be enforceable in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.9 ***Heading; References***. All headings used herein are used for convenience only and shall not be used to construe or interpret this Note. Except where otherwise indicated, all references herein to Sections refer to Sections hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.10 ***Entire Agreement***. This instrument represents the entire agreement between the parties hereto with respect to this Note and its terms and conditions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.11 ***Counterparts***. This Note may be executed in counterparts, all of which together will constitute one and the same agreement. Delivery of an executed counterpart of a signature page of this Note by facsimile, portable document format (.pdf) or other electronic transmission will be as effective as delivery of a manually executed counterpart hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.12 ***Electronic Execution of Certain Other Documents***. The words "execution," "execute", "signed," "signature," and words of like import in or related to any document to be signed in connection with this Note and the transactions contemplated hereby (including without limitation assignments, assumptions, amendments, waivers and consents) shall be deemed to include electronic signatures, the electronic matching of assignment terms and contract formations on electronic platforms approved by the Holder, or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act.

*[Remainder of Page Intentionally Left Blank]*

IN WITNESS WHEREOF, the Company has caused this Promissory Note to be issued as of the Effective Date.

---

| | | |
|:---|:---|:---|
| **Company:** | **BALLY'S CHICAGO INC.** | **BALLY'S CHICAGO INC.** |
|  | By: | /s/ Ameet Patel |
|  | Name: | Ameet Patel |
|  | Title: | President |
| **Holder**: | **BALLY'S CHICAGO HOLDING COMPANY, LLC** | **BALLY'S CHICAGO HOLDING COMPANY, LLC** |
|  | By: | /s/ Ameet Patel |
|  | Name: | Ameet Patel |
|  | Title: | President |

---

*[Signature Page to Promissory Note]*

## Exhibit 10.17

**Exhibit 10.17**

**ASSIGNMENT AND ASSUMPTION AGREEMENT**

**March 31, 2025**

Reference is made to those certain Promissory Notes, as listed on <u>Annex A</u> hereto (the "<u>Notes</u>") issued by the individuals listed as party to the Notes on <u>Annex A</u> hereto from Bally's Management Group, LLC (the "<u>Transferor</u>") in favor of Bally's Chicago Holding Company, LLC, a Delaware limited liability company (the "<u>Transferee</u>").

The undersigned hereby irrevocably and unconditionally agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Assignment</u>. The Transferor hereby assigns all right, title and interest in the Notes to the Transferee, and Transferee hereby accepts such assignment and assumes all right, title and interest in the Notes. Following the assignment and assumption set forth in this Section 1, the Transferor shall have no further interest in and/or rights under the Notes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Governing Law</u>. This Assignment and Assumption Agreement (this "<u>Agreement</u>") and all acts and transactions pursuant hereto and the rights and obligations of the parties hereto shall be governed by, and construed in accordance with, the laws of the State of New York, without regard to conflict of law principles that would result in the application of any law other than the law of the State of New York. Each party hereto consents to exclusive jurisdiction and venue in New York, if in state court, and in the United States District Court for the New York, if in United States federal court, for any suit or proceeding relating to, arising out of or arising under this Agreement; such courts shall have the sole and exclusive in personam, subject matter and other jurisdiction in connection with such suit or proceeding and venue shall be appropriate for all purposes in such courts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Counterparts</u>. This Agreement may be executed in counterparts, all of which together will constitute one and the same agreement. Delivery of an executed counterpart of a signature page of this Agreement by facsimile, portable document format (.pdf) or other electronic transmission will be as effective as delivery of a manually executed counterpart hereof.

*[Signature Page Follows]*

IN WITNESS WHEREOF, the parties undersigned below have executed this Assignment and Assumption Agreement as of the date first above written.

---

| | |
|:---|:---|
| <u>TRANSFEREE</u> | <u>TRANSFEREE</u> |
| **BALLY'S CHICAGO HOLDING COMPANY, LLC** | **BALLY'S CHICAGO HOLDING COMPANY, LLC** |
| By: | /s/ Ameet Patel |
| Name: | Ameet Patel |
| Title: | President |

---

[*Assignment and Assumption of Promissory Notes*]

---

| | | |
|:---|:---|:---|
| <u>TRANSFEROR:</u> | <u>TRANSFEROR:</u> | <u>TRANSFEROR:</u> |
| **BALLY'S MANAGEMENT GROUP, LLC** | **BALLY'S MANAGEMENT GROUP, LLC** | **BALLY'S MANAGEMENT GROUP, LLC** |
| By: | /s/ Craig Eaton | /s/ Craig Eaton |
|  | Name: | Craig Eaton |
|  | Title: | Senior VP and Secretary |

---

[*Assignment and Assumption of Promissory Notes*]

**<u>Annex A</u>**

&nbsp;&nbsp;&nbsp;&nbsp;1. Promissory Note, dated as of December 31, 2023, between Bally's Chicago Operating Company,
LLC and Bally's Management Group, LLC.

&nbsp;&nbsp;&nbsp;&nbsp;2. Promissory Note, dated as of September 30, 2024, between Bally's Chicago Operating Company,
LLC and Bally's Management Group, LLC.

&nbsp;&nbsp;&nbsp;&nbsp;3. Promissory Note, dated as of December 31, 2024, between Bally's Chicago Operating Company,
LLC and Bally's Management Group, LLC.

Annex A

## Exhibit 10.31

**Exhibit 10.31**

**BALLY'S CHICAGO OPERATING COMPANY, LLC**

**AMENDED AND RESTATED<br> LIMITED LIABILITY COMPANY AGREEMENT**

Dated as of March 10, 2025

THE LIMITED LIABILITY COMPANY INTERESTS REPRESENTED BY THIS AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR UNDER ANY OTHER APPLICABLE SECURITIES LAWS. SUCH LIMITED LIABILITY COMPANY INTERESTS MAY NOT BE SOLD, ASSIGNED, PLEDGED OR OTHERWISE DISPOSED OF AT ANY TIME WITHOUT EFFECTIVE REGISTRATION UNDER SUCH ACT AND LAWS OR EXEMPTION THEREFROM, AND COMPLIANCE WITH THE OTHER SUBSTANTIAL RESTRICTIONS ON TRANSFERABILITY SET FORTH HEREIN.

**TABLE OF CONTENTS**

---

| | | |
|:---|:---|:---|
| **Page** | **Page** | **Page** |
| Article I. DEFINITIONS | Article I. DEFINITIONS | 2 |
| Article II. ORGANIZATIONAL MATTERS | Article II. ORGANIZATIONAL MATTERS | 10 |
| Section 2.01 | Formation of Company | 10 |
| Section 2.02 | Amended and Restated Limited Liability Company Agreement | 10 |
| Section 2.03 | Name | 11 |
| Section 2.04 | Purpose; Powers | 11 |
| Section 2.05 | Principal Office; Registered Office | 11 |
| Section 2.06 | Term | 11 |
| Section 2.07 | No State-Law Partnership | 11 |
| Section 2.08 | Liability | 11 |
| Article III. MEMBERS; LLC INTERESTS; CAPITALIZATION | Article III. MEMBERS; LLC INTERESTS; CAPITALIZATION | 12 |
| Section 3.01 | Members | 12 |
| Section 3.02 | LLC Interests | 12 |
| Section 3.03 | Cancellation; the Corporation's Purchase of Common LLC Interests; issuance of Common LLC Interests to HoldCo. | 13 |
| Section 3.04 | Authorization and Issuance of Additional LLC Interests | 14 |
| Section 3.05 | Repurchase or Redemption of Class A Interests; Other Redemptions or Repurchases | 15 |
| Section 3.06 | Certificates Representing LLC Interests; Lost, Stolen or Destroyed Certificates; Registration and Transfer of LLC | 16 |
| Section 3.07 | Negative Capital Accounts | 16 |
| Section 3.08 | No Withdrawal | 17 |
| Section 3.09 | Loans From Members | 17 |
| Article IV. DISTRIBUTIONS | Article IV. DISTRIBUTIONS | 17 |
| Section 4.01 | Distributions | 17 |
| Article V. CAPITAL ACCOUNTS; ALLOCATIONS; TAX MATTERS | Article V. CAPITAL ACCOUNTS; ALLOCATIONS; TAX MATTERS | 19 |
| Section 5.01 | Capital Accounts | 19 |
| Section 5.02 | Allocations | 20 |
| Section 5.03 | Regulatory Allocations | 20 |
| Section 5.04 | Final Allocations | 21 |
| Section 5.05 | Tax Allocations | 21 |
| Section 5.06 | Indemnification and Reimbursement for Payments on Behalf of a Member | 23 |

---

---

| | | |
|:---|:---|:---|
| Article VI. MANAGEMENT | Article VI. MANAGEMENT | 23.0 |
| Section 6.01 | Authority of Manager | 23.0 |
| Section 6.02 | Actions of the Manager | 24.0 |
| Section 6.03 | Resignation; No Removal | 24.0 |
| Section 6.04 | Vacancies | 25.0 |
| Section 6.05 | Transactions Between the Company and the Manager | 25.0 |
| Section 6.06 | Reimbursement for Expenses | 25.0 |
| Section 6.07 | Delegation of Authority | 25.0 |
| Section 6.08 | Limitation of Liability of Manager | 26.0 |
| Section 6.09 | Investment Company Act | 26.0 |
| Article VII. RIGHTS AND OBLIGATIONS OF MEMBERS AND MANAGER | Article VII. RIGHTS AND OBLIGATIONS OF MEMBERS AND MANAGER | 27.0 |
| Section 7.01 | Limitation of Liability and Duties of Members | 27.0 |
| Section 7.02 | Lack of Authority | 27.0 |
| Section 7.03 | No Right of Partition | 28.0 |
| Section 7.04 | Indemnification | 28.0 |
| Article VIII. BOOKS, RECORDS, ACCOUNTING AND REPORTS, AFFIRMATIVE COVENANTS | Article VIII. BOOKS, RECORDS, ACCOUNTING AND REPORTS, AFFIRMATIVE COVENANTS | 29.0 |
| Section 8.01 | Records and Accounting | 29.0 |
| Section 8.02 | Fiscal Year | 29.0 |
| Section 8.03 | Inspection Rights | 30.0 |
| Article IX. TAX MATTERS | Article IX. TAX MATTERS | 30.0 |
| Section 9.01 | Preparation of Tax Returns | 30.0 |
| Section 9.02 | Tax Elections | 30.0 |
| Section 9.03 | Tax Controversies | 30.0 |
| Article X. RESTRICTIONS ON TRANSFER OF LLC INTERESTS; CERTAIN TRANSACTIONS | Article X. RESTRICTIONS ON TRANSFER OF LLC INTERESTS; CERTAIN TRANSACTIONS | 31.0 |
| Section 10.01 | Transfers by Members | 31.0 |
| Section 10.02 | Permitted Transfers | 31.0 |
| Section 10.03 | Restricted LLC Interests Legend | 32.0 |
| Section 10.04 | Transfer | 32.0 |
| Section 10.05 | Assignee's Rights | 33.0 |
| Section 10.06 | Assignor's Rights and Obligations | 33.0 |
| Section 10.07 | Overriding Provisions | 34.0 |
| Section 10.08 | Reserved | 34.0 |
| Section 10.09 | Certain Transactions with respect to the Corporation | 35.0 |
| Article XI. ADMISSION OF MEMBERS | Article XI. ADMISSION OF MEMBERS | 36.0 |
| Section 11.01 | Substituted Members | 36.0 |
| Section 11.02 | Additional Members | 36.0 |

---

iii

---

| | | |
|:---|:---|:---|
| Article XII. RESIGNATION; TERMINATION OF RIGHTS | Article XII. RESIGNATION; TERMINATION OF RIGHTS | 37.0 |
| Section 12.01 | Resignation of Members | 37.0 |
| Article XIII. DISSOLUTION AND LIQUIDATION | Article XIII. DISSOLUTION AND LIQUIDATION | 37.0 |
| Section 13.01 | Dissolution | 37.0 |
| Section 13.02 | Winding Up | 38.0 |
| Section 13.03 | Deferment; Distribution in Kind | 38.0 |
| Section 13.04 | Cancellation of Certificate | 39.0 |
| Section 13.05 | Reasonable Time for Winding Up | 39.0 |
| Section 13.06 | Return of Capital | 39.0 |
| Article XIV. GENERAL PROVISIONS | Article XIV. GENERAL PROVISIONS | 39.0 |
| Section 14.01 | Power of Attorney | 39.0 |
| Section 14.02 | Confidentiality | 40.0 |
| Section 14.03 | Amendments | 41.0 |
| Section 14.04 | Title to Company Assets | 42.0 |
| Section 14.05 | Addresses and Notices | 42.0 |
| Section 14.06 | Binding Effect | 43.0 |
| Section 14.07 | Creditors | 43.0 |
| Section 14.08 | Waiver | 43.0 |
| Section 14.09 | Counterparts | 43.0 |
| Section 14.10 | Applicable Law | 43.0 |
| Section 14.11 | Severability | 43.0 |
| Section 14.12 | Further Action | 44.0 |
| Section 14.13 | Execution and Delivery by Electronic Signature and Electronic Transmission | 44.0 |
| Section 14.14 | Right of Offset | 44.0 |
| Section 14.15 | Entire Agreement | 44.0 |
| Section 14.16 | Remedies | 44.0 |
| Section 14.17 | Descriptive Headings; Interpretation | 45.0 |

---

**<u>Schedules</u>**

Schedule 1 – Schedule of Members

**<u>Exhibits</u>**

Exhibit A – Form of Joinder Agreement

iv

**BALLY'S CHICAGO OPERATING COMPANY, LLC**

**AMENDED AND RESTATED<br> LIMITED LIABILITY COMPANY AGREEMENT**

This AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT (as the same may be amended, restated, amended and restated, supplemented or otherwise modified from time to time, this "***Agreement***") of Bally's Chicago Operating Company, LLC, a Delaware limited liability company (the "***Company***"), dated as of March 10, 2025 (the "***Effective Date***"), is entered into by and among the Company, Bally's Chicago, Inc., a Delaware corporation (the "***Corporation***"), as the sole Manager (as defined herein) of the Company, and each of the other Members (as defined herein).

**RECITALS**

WHEREAS, unless the context otherwise requires, capitalized terms used herein have the respective meaning ascribed to them in <u>Article I</u>;

WHEREAS, the Company was formed pursuant to and in accordance with the Delaware Act (as defined below) by the filing of the Certificate of Formation of the Company with the Secretary of State of the State of Delaware on May 24, 2022;

WHEREAS, immediately prior to the date hereof, the Company was governed by that certain Limited Liability Company Agreement, dated as of May 24, 2022 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, together with all schedules, exhibits and annexes thereto, the "***Original LLC Agreement***");

WHEREAS, immediately prior to the date hereof, the Corporation was the sole member of the Company;

WHEREAS, in connection with the private placement and as of the Effective Date, the Company and the Corporation desire to cancel all of the Corporation's limited liability company interests in the Company (the "***Cancellation***") held by the Corporation prior to the Effective Date as provided herein;

WHEREAS, as of the Effective Date, the Corporation will sell its Class A Interests (as defined below) to investors in a private placement and will use the net proceeds received from such private placement and the Subordinated Loans (as defined below) (the "***Net Proceeds***"), together with other financing sources, to purchase newly issued Common LLC Interests from the Company pursuant to the LLC Subscription Agreement (as defined below);

WHEREAS, Bally's Chicago Holding Company, LLC, a Delaware limited liability company (the "***HoldCo***") has agreed to fund the Subordinated Loans for any Class A-1 Interests, Class A-2 Interests and Class A-3 Interests issued by the Corporation ("***Subordinated Loans Commitment***") and in consideration for such commitment the Company has agreed to issue 30,000 new Common LLC Interests to HoldCo;

WHEREAS, in connection with the foregoing matters, the Corporation desires to continue the Company without dissolution and amend and restate the Original LLC Agreement in its entirety as of the Effective Date to reflect, among other things, (a) the Cancellation, (b) the admission of the Corporation and the HoldCo as Members, (c) the designation of the Corporation as sole Manager of the Company and (d) the other rights and obligations of the Members as provided and agreed upon in the terms of this Agreement as of the Effective Date, at which time the Original LLC Agreement shall be superseded entirely by this Agreement and shall be of no further force or effect; and

WHEREAS, the managers of the Company, by resolution dated, February 11, 2025, have consented to the amendment and restatement of the Original LLC Agreement and the adoption of this Agreement.

NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Original LLC Agreement is hereby amended and restated in its entirety and the Corporation and the other Members, each intending to be legally bound, each hereby agrees, and hereby amends and restates the Original LLC Agreement, as follows:

Article I.<br> DEFINITIONS

The following definitions shall be applied to the terms used in this Agreement for all purposes, unless otherwise clearly indicated to the contrary.

"***Additional Member***" has the meaning set forth in <u>Section 11.02</u>.

"***Adjusted Capital Account Deficit***" means, with respect to the Capital Account of any Member as of the end of any Taxable Year, the amount by which the balance in such Capital Account is less than zero. For this purpose, such Member's Capital Account balance shall be:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) reduced for any items described in Treasury Regulations Sections 1.704- 1(b)(2)(ii)(d)(4), (5), and (6);
and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) increased for any amount such Member is obligated to contribute or is treated as being obligated to contribute
to the Company pursuant to Treasury Regulations Sections 1.704-1(b)(2)(ii)(c) (relating to partner liabilities to a partnership)
or 1.704-2(g)(1) and 1.704-2(i)(5) (relating to minimum gain).

"***Admission Date***" has the meaning set forth in <u>Section 10.06</u>.

"***Affiliate***" (and, with a correlative meaning, "***Affiliated***") means, with respect to a specified Person, each other Person that directly, or indirectly through one or more intermediaries, controls or is controlled by, or is under common control with, the Person specified. As used in this definition, "control" (including with correlative meanings, "controlled by" and "under common control with") means possession, directly or indirectly, of power to direct or cause the direction of management or policies (whether through ownership of voting securities or by contract or other agreement or otherwise).

"***Agreement***" has the meaning set forth in the Preamble.

"***Assignee***" means a Person to whom an LLC Interest has been transferred but who has not become a Member pursuant to <u>Article XI</u>.

"***Assumed Tax Liability***" means, with respect to any Member, an amount equal to the excess of (i) the product of (A) the Distribution Tax Rate *multiplied by* (B) the estimated or actual cumulative taxable income or gain of the Company, as determined for U.S. federal income tax purposes, allocated to such Member for Taxable Years (or portions thereof) commencing on or after the Effective Date, *less* prior losses of the Company allocated to such Member for Taxable Years (or portions thereof) commencing on or after the Effective Date, to the extent such prior losses are available to reduce such income and have not previously been taken into account in the calculation of Assumed Tax Liability for any prior period, in each case, as determined by the Manager and, for the avoidance of doubt, taking into account any Code Section 704(c) allocations (including "reverse" Section 704(c) allocations) *over* (ii) the cumulative Tax Distributions made to such Member after the Effective Date pursuant to <u>Sections 4.01(b)(i)</u>, <u>4.01(b)(ii)</u> and <u>4.01(b)(iii)</u>; *provided* that, in the case of the Corporation, such Assumed Tax Liability shall in no event be less than an amount that will enable the Corporation to meet its tax obligations for the relevant Taxable Year.

"***Base Rate***" means, on any date, a variable rate per annum equal to the rate of interest most recently published by *The Wall Street Journal* as the "prime rate" at large U.S. money center banks.

"***Book Value***" means, with respect to any property of the Company, the Company's adjusted basis for U.S. federal income tax purposes, adjusted from time to time to reflect the adjustments required or permitted by Treasury Regulations Sections 1.704-1(b)(2)(iv)(d) through (g) and (m) and 1.704-1(b)(2)(iv)(s).

"***Business Day***" means any day other than a Saturday, Sunday or day on which banks located in New York City, New York are authorized or required by Law to close.

"***Cancellation***" has the meaning set forth in the Recitals.

"***Capital Account***" means the capital account maintained for a Member in accordance with <u>Section 5.01</u>.

"***Capital Contribution***" means, with respect to any Member, the amount of any cash, cash equivalents, promissory obligations or the Fair Market Value of other property that such Member (or such Member's predecessor) contributes (or is deemed to contribute) to the Company pursuant to <u>Article III</u> hereof.

"***Certificate of Formation***" means the Certificate of Formation of the Company, as filed with the office of the Secretary of State of the State of Delaware on May 24, 2022, as amended and/or amended and restated from time to time.

"***Change of Control***" means the occurrence of any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) any "person" or "group" (within the meaning of Sections 13(d) and 14(d) of the Exchange Act, but excluding any employee benefit plan of such person and its subsidiaries, and any person or entity acting in its capacity as trustee, agent or other fiduciary or administrator of any such plan, and excluding the Permitted Transferees) becomes the "beneficial owner" (within the meaning of Rules 13d-3 and 13d-5 under the Exchange Act), directly or indirectly, of voting securities representing in the aggregate more than fifty percent (50%) of the voting power of all of the outstanding voting securities of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) the stockholders of the Corporation approve a plan of complete liquidation or dissolution of the Corporation or there is consummated a sale or other disposition, directly or indirectly, by the Corporation of all or substantially all of the Corporation's assets (including a sale of all or substantially all of the assets of the Company);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) there is consummated a merger or consolidation of the Corporation with any other corporation or entity, and, immediately after the consummation of such merger or consolidation, the voting securities of the Corporation outstanding immediately prior to such merger or consolidation do not continue to represent, or are not converted into, voting securities representing in the aggregate more than fifty percent (50%) of the voting power of all of the outstanding voting securities of the Person resulting from such merger or consolidation or, if the surviving company is a Subsidiary, the ultimate parent thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) the Corporation ceases to be the sole Manager of the Company.

Notwithstanding the foregoing, a "Change of Control" shall not be deemed to have occurred by virtue of the consummation of any transaction or series of integrated transactions immediately following which the record holders of the Class A Interests and Class B Interests and/or any other class or classes of stock of the Corporation immediately prior to such transaction or series of transactions continue to have substantially the same proportionate ownership in and voting control over, and own substantially all of the shares of, an entity which owns all or substantially all of the assets of the Corporation immediately following such transaction or series of transactions.

"***Change of Control Date***" has the meaning set forth in <u>Section 10.09(a)</u>.

"***Change of Control Transaction***" means any Change of Control that was approved by the Corporate Board prior to such Change of Control.

"***Class A Interests***" means, collectively, the Class A-1 Interests, the Class A-2 Interests, the Class A-3 Interests and the Class A-4 Interests.

"***Class A-1 Interests***" means the Class A-1 common stock, par value $0.001 per share, of the Corporation.

"***Class A-2 Interests***" means the Class A-2 common stock, par value $0.001 per share, of the Corporation.

"***Class A-3 Interests***" means the Class A-3 common stock, par value $0.001 per share, of the Corporation.

"***Class A-4 Interests***" means the Class A-4 common stock, par value $0.001 per share, of the Corporation.

"***Class B Interests***" means the Class B common stock, par value $0.001 per share, of the Corporation.

"***Code***" means the United States Internal Revenue Code of 1986, as amended. Unless the context requires otherwise, any reference herein to a specific section of the Code shall be deemed to include any corresponding provisions of future Law as in effect for the relevant taxable period.

"***Common LLC Interests***" means an LLC Interest designated as a "Common LLC Interest" and having the rights and obligations specified with respect to the Common LLC Interests in this Agreement.

"***Company***" has the meaning set forth in the Preamble.

"***Confidential Information***" has the meaning set forth in <u>Section 14.02(a)</u>.

"***Corporate Board***" means the board of directors of the Corporation.

"***Corporation***" has the meaning set forth in the Recitals, together with its successors and assigns.

"***Corporation Offer***" has the meaning set forth in <u>Section 10.09(b)</u>.

"***Corresponding Rights***" means any rights issued with respect to a Class A Interest or Class B Interest pursuant to a "poison pill" or similar stockholder rights plan approved by the Corporate Board.

"***Credit Agreements***" means any promissory note, mortgage, loan agreement, indenture or similar instrument or agreement to which the Company or any of its Subsidiaries is or becomes a borrower, as such instruments or agreements may be amended, restated, supplemented or otherwise modified from time to time and including any one or more refinancing or replacements thereof, in whole or in part, with any other debt facility or debt obligation, for as long as the payee or creditor to whom the Company or any of its Subsidiaries owes such obligation is not an Affiliate of the Company.

"***Delaware Act***" means the Delaware Limited Liability Company Act, 6 Del. C. § 18-101, *et seq.*, as it may be amended from time to time.

"***DGCL***" means the General Corporation Law of the State of Delaware, as it may be amended from time to time.

"***Disinterested Majority***" means a majority of the directors of the Corporate Board who are disinterested, as determined by the Corporate Board in accordance with the DGCL, with respect to the matter being considered by the Corporate Board; *provided,* that to the extent a matter being considered by the Corporate Board is required to be considered by disinterested directors under the rules adopted under the Securities Act or the Exchange Act, such rules with respect to the definition of disinterested director shall apply solely with respect to such matter.

"***Distributable Cash***" means, as of any relevant date on which a determination is being made by the Manager regarding a potential distribution pursuant to <u>Section 4.01(a)</u> or <u>Section 4.01(b)</u>, the amount of cash that could be distributed by the Company for such purposes in accordance with any applicable Credit Agreements (and without otherwise violating any applicable provisions of any applicable Credit Agreements) and applicable Law.

"***Distribution***" (and, with a correlative meaning, "***Distribute***") means each distribution made by the Company to a Member with respect to such Member's LLC Interests, whether in cash, property or securities of the Company and whether by liquidating distribution or otherwise; *provided, however*, that none of the following shall be a Distribution: (a) any recapitalization or any exchange of securities of the Company, in each case, that does not result in the distribution of cash or property (other than securities of the Company) to Members, and any subdivision (by LLC Interest split or otherwise) or any combination (by reverse LLC Interest split or otherwise) of any outstanding LLC Interests or (b) any other payment made by the Company to a Member that is not properly treated as a "distribution" for purposes of Sections 731, 732, or 733 or other applicable provisions of the Code.

"***Distribution Tax Rate***" means a rate equal to the highest effective marginal combined U.S. federal, state and local income tax rate for a Taxable Year applicable to a corporate taxpayer resident in Illinois, taking into account the character of the relevant items of income or gain (*e.g.*, ordinary or capital) and the estimated deductibility of state and local income taxes for U.S. federal income tax purposes (but only to the extent such taxes are deductible under the Code), as reasonably determined by the Manager. For the avoidance of doubt, there shall be a single Distribution Tax Rate for all Members.

"***Effective Date***" has the meaning set forth in the Preamble.

"***Equity Securities***" means, with respect to any Person, (a) equity interests in such Person or any Subsidiary of such Person (including, with respect to the Company and its Subsidiaries, other classes or groups thereof having such relative rights, powers and duties as may from time to time be established by the Manager pursuant to the provisions of this Agreement, including rights, powers and/or duties senior to existing classes and groups of LLC Interests and other equity interests in the Company or any Subsidiary of the Company), (b) obligations, evidences of indebtedness or other securities or interests convertible or exchangeable into any equity interests in such Person or any Subsidiary of such Person, and (c) warrants, options or other rights to purchase or otherwise acquire any equity interests in such Person or any Subsidiary of such Person.

"***Event of Withdrawal***" means the occurrence of any event that terminates the continued membership of a Member in the Company. "Event of Withdrawal" shall not include an event that (a) terminates the existence of a Member for income tax purposes (including, without limitation, (i) a change in entity classification of a Member under Treasury Regulations Section 301.7701-3, (ii) a sale of assets by, or liquidation of, a Member pursuant to an election under Code Sections 336 or 338, or (iii) merger, severance, or allocation within a trust or among sub-trusts of a trust that is a Member) but that (b) does not terminate the existence of such Member under applicable state law (or, in the case of a trust that is a Member, does not terminate the trusteeship of the fiduciaries under such trust with respect to all the LLC Interests of such trust that is a Member).

"***Exchange Act***" means the U.S. Securities Exchange Act of 1934, as amended, and any applicable rules and regulations promulgated thereunder, and any successor to such statute, rules or regulations.

"***Fair Market Value***" of a specific asset of the Company will mean the amount which the Company would receive in an all-cash sale of such asset in an arms-length transaction with a willing unaffiliated third party, with neither party having any compulsion to buy or sell, consummated on the day immediately preceding the date on which the event occurred which necessitated the determination of the Fair Market Value (and after giving effect to any transfer taxes payable in connection with such sale), as such amount is determined by the Manager (or, if pursuant to <u>Section 13.03</u>, the Liquidators) in its good faith judgment using all factors, information and data it deems to be pertinent.

"***Fiscal Period***" means any interim accounting period within a Taxable Year established by the Manager and which is permitted or required by Section 706 of the Code.

"***Fiscal Year***" means the Company's annual accounting period established pursuant to <u>Section 8.02</u>.

"***Governmental Entity***" means (a) the United States of America, (b) any other sovereign nation, (c) any state, province, county, municipal, district, territory or other political subdivision of (a) or (b) of this definition, including, but not limited to, any county, municipal or other local subdivision of the foregoing, or (d) any agency, arbitrator or arbitral body (public or private), authority, board, body, bureau, commission, court, department, entity, instrumentality, organization (including any public international organization such as the United Nations) or tribunal exercising executive, legislative, judicial, quasi-judicial, regulatory or administrative functions of or pertaining to government on behalf of (a), (b) or (c) of this definition.

"***HoldCo***" has the meaning set forth in the Recitals.

"***Indemnified Person***" has the meaning set forth in <u>Section 7.04(a)</u>.

"***Internal Revenue Service***" means the U.S. Internal Revenue Service.

"***Investment Company Act***" means the U.S. Investment Company Act of 1940, as amended from time to time.

"***Joinder***" means a joinder to this Agreement, in form and substance substantially similar to <u>Exhibit A</u> to this Agreement.

"***Law***" means all laws, statutes, acts, constitutions, treaties, principles of common law, codes, ordinances, rules and regulations of any Governmental Entity.

"***Liquidator***" has the meaning set forth in <u>Section 13.02</u>.

"***LLC Interests***" means the fractional interest of a Member in Profits, Losses and Distributions of the Company, and otherwise having the rights and obligations specified with respect to "LLC Interests" in this Agreement; *provided, however*, that any class or group of LLC Interests issued shall have the relative rights, powers and duties set forth in this Agreement applicable to such class or group of LLC Interests.

"***LLC Subscription***" has the meaning set forth in <u>Section 3.03(b)</u>.

"***LLC Subscription Agreement***" means that certain Subscription Agreement, dated as of the Effective Date, by and among the Corporation and the Company, relating to the subscription by the Corporation for Common LLC Interests.

"***Losses***" means items of loss or deduction of the Company determined according to <u>Section 5.01(b)</u>.

"***Manager***" has the meaning set forth in <u>Section 6.01</u>.

"***Member***" means, as of any date of determination, (a) each of the members named on the Schedule of Members and (b) any Person admitted to the Company as a Substituted Member or Additional Member in accordance with <u>Article XI</u>, but in each case only so long as such Person is shown on the Company's books and records as the owner of one or more LLC Interests, each in its capacity as a member of the Company.

"***Minimum Gain***" means "partnership minimum gain" determined pursuant to Treasury Regulations Section 1.704-2(d).

"***Net Loss***" means, with respect to a Taxable Year, the excess if any, of Losses for such Taxable Year over Profits for such Taxable Year (excluding Profits and Losses specially allocated pursuant to <u>Section 5.03</u> and <u>Section 5.04</u>).

"***Net Proceeds***" has the meaning set forth in the Recitals.

"***Net Profit***" means, with respect to a Taxable Year, the excess if any, of Profits for such Taxable Year over Losses for such Taxable Year (excluding Profits and Losses specially allocated pursuant to <u>Section 5.03</u> and <u>Section 5.04</u>).

"***Officer***" has the meaning set forth in <u>Section 6.01(b)</u>.

"***Original LLC Agreement***" has the meaning set forth in the Recitals.

"***Other Agreements***" has the meaning set forth in <u>Section 10.04</u>.

"***Partnership Representative***" has the meaning set forth in <u>Section 9.03</u>.

"***Percentage Interest***" means, with respect to a Member at a particular time, such Member's percentage interest in the Company determined by dividing the number of such Member's LLC Interests by the total number of LLC Interests of all Members at such time. The Percentage Interest of each Member shall be calculated to the fourth decimal place.

"***Permitted Transfer***" has the meaning set forth in <u>Section 10.02</u>.

"***Permitted Transferee***" has the meaning set forth in <u>Section 10.02</u>.

"***Person***" means an individual or any corporation, partnership, limited liability company, trust, unincorporated organization, association, joint venture or any other organization or entity, whether or not a legal entity.

"***Pro rata***," "***pro rata portion***," "***according to their interests***," "***ratably***," "***proportionately***," "***proportional***," "***in proportion to***," "***based on the number of LLC Interests held***," "***based upon the percentage of LLC Interests held***," "***based upon the number of LLC Interests outstanding***," and other terms with similar meanings, when used in the context of a number of LLC Interests of the Company relative to other LLC Interests, means as amongst an individual class of LLC Interests, pro rata based upon the number of such LLC Interests within such class of LLC Interests.

"***Profits***" means items of income and gain of the Company determined according to <u>Section 5.01(b)</u>.

"***Quarterly Tax Distribution***" has the meaning set forth in <u>Section 4.01(b)(i)</u>.

"***Regulatory Allocations***" has the meaning set forth in <u>Section 5.03(f)</u>.

"***Revised Partnership Audit Provisions***" means Section 1101 of Title XI (Revenue Provisions Related to Tax Compliance) of the Bipartisan Budget Act of 2015, H.R. 1314, Public Law Number 114-74, as amended. Unless the context requires otherwise, any reference herein to a specific section of the Revised Partnership Audit Provisions shall be deemed to include any corresponding provisions of future Law as in effect for the relevant taxable period.

"***Schedule of Members***" has the meaning set forth in <u>Section 3.01(b)</u>.

"***SEC***" means the U.S. Securities and Exchange Commission, including any governmental body or agency succeeding to the functions thereof.

"***Securities Act***" means the U.S. Securities Act of 1933, as amended, and applicable rules and regulations thereunder, and any successor to such statute, rules or regulations. Any reference herein to a specific section, rule or regulation of the Securities Act shall be deemed to include any corresponding provisions of future Law.

"***Subordinated Loan Agreement***" means that certain Subordinated Loan Agreement, dated as of March 10, 2025, by and between the Corporation and HoldCo, as may be amended, restated, supplemented or otherwise modified from time to time.

"***Subordinated Loans***" shall have the meaning assigned to it in the Subordinated Loan Agreement.

"***Subsidiary***" means, with respect to any Person, any corporation, limited liability company, partnership, association, variable interest entity, or business entity of which (a) if a corporation, a majority of the total voting power of shares of stock entitled (without regard to the occurrence of any contingency) to vote in the election of directors, managers or trustees thereof is at the time owned or controlled, directly or indirectly, by that Person or one or more of the other Subsidiaries of that Person or a combination thereof, or (b) if a limited liability company, partnership, association, variable interest entity, or other business entity (other than a corporation), a majority of the voting interests thereof are at the time owned or controlled, directly or indirectly, by any Person or one or more Subsidiaries of that Person or a combination thereof. For purposes hereof, references to a "Subsidiary" of the Company shall be given effect only at such times that the Company has one or more Subsidiaries, and, unless otherwise indicated, the term "Subsidiary" refers to a Subsidiary of the Company. For the avoidance of doubt, the "Subsidiaries" of the Company shall include any and all of the Company's direct and indirect, greater than fifty percent (50%) owned joint ventures.

"***Substituted Member***" means a Person that is admitted as a Member to the Company pursuant to <u>Section 11.01</u>.

"***Tax Distributions***" has the meaning set forth in <u>Section 4.01(b)(i)</u>.

"***Taxable Year***" means the Company's accounting period for U.S. federal income tax purposes determined pursuant to <u>Section 9.02</u>.

"***Transfer***" (and, with a correlative meaning, "***Transferred***" and "***Transferring***") means any sale, transfer, assignment, redemption, pledge, encumbrance or other disposition of (whether directly or indirectly, whether with or without consideration and whether voluntarily or involuntarily or by operation of Law) (a) any interest (legal or beneficial) in any Equity Securities of the Company or (b) any equity or other interest (legal or beneficial) in any Member that is not an institutional investor if substantially all of the assets of such Member consist solely of LLC Interests.

"***Treasury Regulations***" means the final, temporary and (to the extent they can be relied upon) proposed regulations under the Code, as promulgated from time to time (including corresponding provisions and succeeding provisions) as in effect for the relevant taxable period.

Article II.ORGANIZATIONAL MATTERS

<u>Section 2.01</u> <u>Formation of Company</u>. The Company was formed on May 24, 2022 pursuant to the provisions of the Delaware Act. The execution, delivery and filing of the Certificate of Formation of the Company is hereby ratified, confirmed and approved in all respects.

<u>Section 2.02</u> <u>Amended and Restated Limited Liability Company Agreement</u>. The Members hereby execute this Agreement for the purpose of amending, restating and superseding the Original LLC Agreement in its entirety and otherwise establishing the affairs of the Company and the conduct of its business in accordance with the provisions of the Delaware Act. The Members hereby agree that during the term of the Company set forth in <u>Section 2.06</u> the rights and obligations of the Members with respect to the Company will be determined in accordance with the terms and conditions of this Agreement and the Delaware Act. No provision of this Agreement shall be in violation of the Delaware Act and to the extent any provision of this Agreement is in violation of the Delaware Act, such provision shall be void and of no effect to the extent of such violation without affecting the validity of the other provisions of this Agreement. Neither any Member nor the Manager nor any other Person shall have appraisal rights with respect to any LLC Interests.

<u>Section 2.03</u> <u>Name</u>. The name of the Company is "Bally's Chicago Operating Company, LLC". The Manager in its sole discretion may change the name of the Company at any time and from time to time. Notification of any such change shall be given to all of the Members. The Company's business may be conducted under its name and/or any other name or names deemed advisable by the Manager.

<u>Section 2.04</u> <u>Purpose; Powers</u>. The primary business and purpose of the Company shall be to engage in such activities as are permitted under the Delaware Act and determined from time to time by the Manager in accordance with the terms and conditions of this Agreement. The Company shall have the power and authority to take (directly or indirectly through its Subsidiaries) any and all actions and engage in any and all activities necessary, appropriate, desirable, advisable, ancillary or incidental to accomplish the foregoing purpose.

<u>Section 2.05</u> <u>Principal Office; Registered Office</u>. The principal office of the Company shall be located at such place or places as the Manager may from time to time designate, each of which may be within or outside the State of Delaware. The address of the registered office of the Company in the State of Delaware shall be c/o The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, County of New Castle, Delaware 19801, and the registered agent for service of process on the Company in the State of Delaware at such registered office shall be The Corporation Trust Company. The Manager may from time to time change the Company's registered agent and registered office in the State of Delaware.

<u>Section 2.06</u> <u>Term</u>. The Company shall continue in perpetuity unless dissolved in accordance with the provisions of <u>Article XIII</u>.

<u>Section 2.07</u> <u>No State-Law Partnership</u>. The Members intend that the Company not be a partnership (including, without limitation, a limited partnership) or joint venture, and that no Member be a partner or joint venturer of any other Member by virtue of this Agreement, for any purposes other than as set forth in the last sentence of this <u>Section 2.07</u>, and neither this Agreement nor any other document entered into by the Company or any Member relating to the subject matter hereof shall be construed to suggest otherwise. The Members intend that the Company shall be treated as a partnership for U.S. federal and, if applicable, state or local income tax purposes, and that each Member and the Company shall file all tax returns and shall otherwise take all tax and financial reporting positions in a manner consistent with such treatment.

<u>Section 2.08</u> <u>Liability</u>. Except as otherwise provided by the Delaware Act, the debts, obligations and liabilities of the Company, whether arising in contract, tort or otherwise, shall be solely the debts, obligations and liabilities of the Company, and no Member or Manager shall be obligated personally for any such debt, obligation or liability of the Company solely by reason of being a Member or acting as Manager.

Article III.<br> MEMBERS; LLC INTERESTS; CAPITALIZATION

<u>Section 3.01</u> <u>Members</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Corporation was previously admitted as a member of the Company and hereby continues as a member of the Company. HoldCo is hereby admitted as a member of the Company upon its execution of this Agreement. The Corporation will acquire Common LLC Interests pursuant to the LLC Subscription Agreement and HoldCo will acquire Common LLC Interests in consideration for the Subordinated Loans Commitment pursuant to Section 3.03(b) of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall maintain a schedule setting forth: (i) the name and address of each Member and (ii) the aggregate number of outstanding LLC Interests and the number and class of LLC Interests held by each Member (such schedule, the "***Schedule of Members***"). The applicable Schedule of Members in effect as of the Effective Date and after giving effect to the Cancellation, the LLC Subscription Agreement and the issuance of Common LLC Interests to HoldCo pursuant to Section 3.03(b) of this Agreement is set forth as <u>Schedule 1</u> to this Agreement. The Company shall also maintain a record of (1) the Capital Account of each Member on the Effective Date; (2) the aggregate amount of cash Capital Contributions that has been made by the Members with respect to their LLC Interests; and (3) the Fair Market Value of any property other than cash contributed by the Members with respect to their LLC Interests (including, if applicable, a description and the amount of any liability assumed by the Company or to which contributed property is subject) in its books and records. The Schedule of Members may be updated by the Manager without the consent of any Member in the Company's books and records from time to time, and as so updated, it shall be the definitive record of ownership of each LLC Interest of the Company and all relevant information with respect to each Member. The Company shall be entitled to recognize the exclusive right of a Person properly registered on its records as the owner of LLC Interests for all purposes and shall not be bound to recognize any equitable or other claim to or interest in LLC Interests on the part of any other Person, whether or not it shall have express or other notice thereof, except as otherwise provided by the Delaware Act or other applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No Member shall be required or permitted, except for a Capital Contribution by the Corporation pursuant to <u>Section 3.04(c)</u>, or except as approved by the Manager pursuant to <u>Section 6.01</u> and in accordance with the other provisions of this Agreement, or except for a loan by the Corporation pursuant to <u>Section 3.04(c)</u> to (i) loan any money or property to the Company, (ii) borrow any money or property from the Company or (iii) make any additional Capital Contributions.

<u>Section 3.02</u> <u>LLC Interests</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Interests in the Company shall be represented by LLC Interests, or such other securities of the Company, in each case as the Manager may create in its discretion in accordance with the terms and subject to the restrictions hereof. At the Effective Date, the LLC Interests will be comprised of a single class of Common LLC Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Subject to <u>Section 3.04(a)</u>, the Manager may (i) issue additional Common LLC Interests at any time in its sole discretion and (ii) create one or more classes or series of LLC Interests solely to the extent such new class or series of LLC Interests are substantially economically equivalent to a class or series of stock of the Corporation; *provided,* that as long as there are any Members (other than the Corporation and its Subsidiaries) (i) no such new class or series of LLC Interests may deprive such Members of, or dilute or reduce, the allocations and distributions they would have received, and the other rights and benefits to which they would have been entitled, in respect of their LLC Interests if such new class or series of LLC Interests had not been created and (ii) no such new class or series of LLC Interests may be issued, in each case, except to the extent (and solely to the extent) the Company actually receives cash in an aggregate amount, or other property with a Fair Market Value in an aggregate amount, equal to the aggregate distributions that would be made in respect of such new class or series of LLC Interests if the Company were liquidated immediately after the issuance of such new class or series of LLC Interests. When any such other LLC Interests or other Equity Securities are authorized and issued, the Schedule of Members and this Agreement shall be amended by the Manager without the consent of any Member or any other Person to reflect such additional issuances.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to <u>Sections 14.03(b)</u> and <u>Section 14.03(c)</u>, the Manager may amend this Agreement, without the consent of any Member or any other Person, in connection with the creation and issuance of such classes or series of LLC Interests, pursuant to <u>Sections 3.02(b)</u> or <u>3.04(b)</u>.

<u>Section 3.03</u> <u>Cancellation; the Corporation's Purchase of Common LLC Interests; issuance of Common LLC Interests to HoldCo</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All limited liability company interests in the Company held by the Corporation prior to the Effective Date are hereby cancelled, as of the Effective Date, and the Corporation hereby continues as a member of the Company and the Company is hereby continued without dissolution.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Immediately following the Cancellation, (i) the Company shall issue to the Corporation, and the Corporation will acquire 3,326 newly issued Common LLC Interests in exchange for the Net Proceeds payable to the Company upon consummation of the private placement referenced in the Recitals, together with other financing sources, pursuant to the LLC Subscription Agreement and (ii) the Company hereby issues to HoldCo, and HoldCo hereby acquires 30,000 newly issued Common LLC Interests in consideration for the Subordinated Loans Commitment (together, the "***LLC Subscription***"). For the avoidance of doubt, the Corporation and the HoldCo shall be automatically admitted to the Company as Members with respect to all Common LLC Interests they hold from time to time.

<u>Section 3.04</u> <u>Authorization and Issuance of Additional LLC Interests.</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company and the Corporation shall, notwithstanding any other provision of this Agreement, undertake all actions, including, without limitation, an issuance, reclassification, distribution, division, repurchase, redemption, cancellation or recapitalization, with respect to the Common LLC Interests, the Class A Interests or the Class B Interests, as applicable, to maintain at all times (i) a one-to-one ratio between the number of Common LLC Interests owned by the Corporation, directly or indirectly, and the number of outstanding Class A Interests and (ii) a one-to-one ratio between the number of Common LLC Interests owned by the HoldCo, directly or indirectly, and the number of outstanding Class B Interests owned by the HoldCo, directly or indirectly, in each case disregarding, for purposes of maintaining the one-to-one ratio, (A) treasury stock or (B) other debt or Equity Securities (including any Corresponding Rights) issued by the Corporation that are convertible into or exercisable or exchangeable for Class A Interests or Class B Interests (except to the extent the net proceeds from such other securities, including any exercise or purchase price payable upon conversion, exercise or exchange thereof, has been contributed by the Corporation to the equity capital of the Company). In the event the Corporation issues, transfers or delivers from treasury stock or repurchases or redeems Class A Interests in a transaction not contemplated in this Agreement, the Manager, the Company and the Corporation shall, notwithstanding any other provision of this Agreement to the contrary, take all actions such that, after giving effect to all such issuances, transfers, deliveries, repurchases or redemptions, the number of outstanding Common LLC Interests owned, directly or indirectly, by the Corporation will equal on a one-for-one basis the number of outstanding shares of Class A Interests. In the event the Corporation issues, transfers or delivers from treasury stock or repurchases or redeems the Corporation's capital stock (other than the Class A Interests or Class B Interests) in a transaction not contemplated in this Agreement, the Manager, the Company and the Corporation shall, notwithstanding any other provision of this Agreement to the contrary, take all actions such that, after giving effect to all such issuances, transfers, deliveries, repurchases or redemptions, the Corporation, directly or indirectly, holds (in the case of any issuance, transfer or delivery) or ceases to hold (in the case of any repurchase or redemption) Equity Securities issued by the Company which (in the good faith determination by the Manager) are in the aggregate substantially economically equivalent to the outstanding capital stock (other than the Class A Interests or Class B Interests) of the Corporation so issued, transferred, delivered, repurchased or redeemed. In the event the Corporation issues, transfers or delivers from treasury stock or repurchases or redeems Class B Interests in a transaction not contemplated in this Agreement, the Manager, the Company, and the Corporation shall, notwithstanding any other provision of this Agreement to the contrary, take all actions such that, after giving effect to all such issuances, transfers, deliveries, repurchases or redemptions, the number of outstanding Common LLC Interests owned, directly or indirectly, by the HoldCo, directly or indirectly, will equal on a one-for-one basis the number of outstanding shares of Class B Interests. The Company, the Manager and the Corporation shall not undertake any subdivision (by any Common LLC Interests split, stock split, Common LLC Interests distribution, stock distribution, reclassification, division, recapitalization or similar event) or combination (by reverse Common LLC Interests split, reverse stock split, reclassification, division, recapitalization or similar event) of the Common LLC Interests or the Class A Interests or Class B Interests, as applicable, that is not accompanied by an identical subdivision or combination of Class A Interests or Class B Interests or Common LLC Interests respectively, to maintain at all times (x) a one-to-one ratio between the number of Common LLC Interests owned, directly or indirectly, by the Corporation and the number of outstanding Class A Interests and (y) a one-to-one ratio between the number of Common LLC Interests owned by the HoldCo and the number of outstanding Class B Interests, in each case, unless such action is necessary to maintain at all times a one-to-one ratio between each of (i) the number of Common LLC Interests owned, directly or indirectly, by the Corporation and the aggregate number of outstanding Class A Interests and (ii) the number of Common LLC Interests owned by the HoldCo and the number of outstanding Class B Interests, in each case as contemplated by the first sentence of this <u>Section 3.04(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Company shall only be permitted to issue additional Common LLC Interests, and/or create other classes or series of LLC Interests or other Equity Securities in the Company to the Persons and on the terms and conditions provided for in <u>Section 3.02</u> and this <u>Section 3.04</u>. Subject to the foregoing, the Manager may cause the Company to issue additional Common LLC Interests authorized under this Agreement and/or create other classes or series of LLC Interests or other Equity Securities in the Company at such times and upon such terms as the Manager shall determine and the Manager shall amend this Agreement solely to the extent necessary in connection with the issuance of additional Common LLC Interests, to create other classes or series of LLC Interests or other Equity Securities in the Company, or admission of additional Members under this <u>Section 3.04</u>, in each case without the requirement of any consent or acknowledgement of any other Member or any other Person and notwithstanding anything to the contrary herein, including <u>Section 14.03</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything to the contrary herein, except to the extent described in <u>Section 3.04(a)</u> and <u>(b)</u>, from time to time at its sole discretion, (i) the Corporation may make loans to the Company and its Subsidiaries, and (ii) the Corporation may contribute property (including cash and/or the loans described in the foregoing clause (i)) to the Company. Upon each contribution described in the foregoing clause (ii), and after giving proper effect to all related transactions, the Company shall (x) issue to the Corporation such number of Common LLC Interests or Equity Securities of the Company as necessary to maintain the one-to-one ratios, if any, and (y) cancel such number of Common LLC Interests or Equity Securities of the Company held by Members other than the Corporation on a pro rata basis (based on the number of Common LLC Interests held by each such Member) as necessary to maintain the one-to-one ratios.

<u>Section 3.05</u> <u>Repurchase or Redemption of Class A Interests; Other Redemptions or Repurchases</u>. If at any time, any of the Class A Interests are repurchased or redeemed (whether by exercise of a put or call, automatically or by means of another arrangement) by the Corporation for cash, then the Manager shall cause the Company, immediately prior to such repurchase or redemption of Class A Interests, to redeem a corresponding number of Common LLC Interests held (directly or indirectly) by the Corporation, at an aggregate redemption price equal to the aggregate purchase or redemption price of the Class A Interests being repurchased or redeemed by the Corporation (plus any expenses related thereto) and upon such other terms as are the same for the Class A Interests being repurchased or redeemed by the Corporation; *provided*, if the Corporation uses funds received from distributions from the Company or the net proceeds from an issuance of Class A Interests to fund such repurchase or redemption, then the Company shall cancel a corresponding number of Common LLC Interests held (directly or indirectly) by the Corporation for no consideration. The Corporation may not redeem, repurchase or otherwise acquire any other Equity Securities of the Corporation unless substantially simultaneously the Company redeems, repurchases or otherwise acquires (and the Company agrees to so redeem, repurchase or otherwise acquire) an equal number of Equity Securities of the Company held (directly or indirectly) by the Corporation that are of a corresponding class or series with substantially the same rights to dividends and distributions (including distributions upon liquidation) and other economic rights as those of such Equity Securities of the Corporation for the same price per security (and the Corporation agrees to deliver, or cause to be delivered, such Equity Securities of the Company to the Company). Notwithstanding any provision to the contrary contained in this Agreement, neither the Company nor the Corporation shall make any repurchase, redemption or other acquisition if such repurchase, redemption or other acquisition, or the corresponding repurchase, redemption or other acquisition at the other of the Company or the Corporation, would violate any applicable Law.

<u>Section 3.06</u> <u>Certificates Representing LLC Interests; Lost, Stolen or Destroyed Certificates; Registration and Transfer of LLC</u> Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) LLC Interests shall not be certificated unless otherwise determined by the Manager. If the Manager determines that one or more LLC Interests shall be certificated, each such certificate shall be signed by or in the name of the Company, by the Chief Executive Officer, Chief Financial Officer, General Counsel, Secretary or any other officer designated by the Manager, representing the number of LLC Interests held by such holder. Such certificate shall, subject to <u>Section 10.03</u>, be in such form (and shall contain such legends) as the Manager may determine. Any or all of such signatures on any certificate representing one or more LLC Interests may be a facsimile, engraved or printed, to the extent permitted by applicable Law. Unless otherwise determined by the Manager, no LLC Interests shall be treated as a "security" within the meaning of Article 8 of the Uniform Commercial Code unless all LLC Interests then outstanding are certificated; notwithstanding anything to the contrary herein, including <u>Section 14.03</u>, the Manager is authorized to amend this Agreement in order for the Company to opt-in to the provisions of Article 8 of the Uniform Commercial Code without the consent or approval of any Member or any other Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If LLC Interests are certificated, the Manager may direct that a new certificate representing one or more LLC Interests be issued in place of any certificate theretofore issued by the Company alleged to have been lost, stolen or destroyed, upon delivery to the Manager of an affidavit of the owner or owners of such certificate, setting forth such allegation. The Manager may require the owner of such lost, stolen or destroyed certificate, or such owner's legal representative, to give the Company a bond sufficient to indemnify it against any claim that may be made against it on account of the alleged loss, theft or destruction of any such certificate or the issuance of any such new certificate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To the extent LLC Interests are certificated, upon surrender to the Company or the transfer agent of the Company, if any, of a certificate for one or more LLC Interests, duly endorsed or accompanied by appropriate evidence of succession, assignment or authority to transfer, in compliance with the provisions hereof, the Company shall issue a new certificate representing one or more LLC Interests to the Person entitled thereto, cancel the old certificate and record the transaction upon its books. Subject to the provisions of this Agreement, the Manager may prescribe such additional rules and regulations as it may deem appropriate relating to the issue, Transfer and registration of LLC Interests.

<u>Section 3.07</u> <u>Negative Capital Accounts</u>. No Member shall be required to pay to any other Member or the Company any deficit or negative balance which may exist from time to time in such Member's Capital Account (including upon and after dissolution of the Company).

<u>Section 3.08</u> <u>No Withdrawal</u>. No Person shall be entitled to withdraw any part of such Person's Capital Contribution or Capital Account or to receive any Distribution from the Company, except as expressly provided in this Agreement.

<u>Section 3.09</u> <u>Loans From Members</u>. Loans by Members to the Company shall not be considered Capital Contributions. Subject to the provisions of <u>Section 3.01(c)</u> and/or <u>Section 3.04(c)</u>, the amount of any such loans shall be a debt of the Company to such Member and shall be payable or collectible in accordance with the terms and conditions upon which such loans are made.

Article IV.<br> DISTRIBUTIONS

<u>Section 4.01</u> <u>Distributions</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) *Distributable Cash; Other Distributions*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To the extent permitted by applicable Law and hereunder, Distributions to Members may be declared by the Manager out of Distributable Cash or other funds or property legally available therefor in such amounts, at such time and on such terms (including the payment dates of such Distributions) as the Manager in its sole discretion shall determine using such record date as the Manager may designate. All Distributions made under this <u>Section 4.01</u> shall be made to the Members holding Common LLC Interests as of the close of business on such record date on a *pro rata* basis in accordance with each Member's Percentage Interest as of the close of business on such record date; *provided, however*, that the Manager shall have the obligation to make Distributions as set forth in <u>Sections 4.01(b)</u> and <u>13.02</u>; *provided*, *further*, that notwithstanding any other provision herein to the contrary, no distributions shall be made to any Member to the extent such distribution would render the Company insolvent or violate the Delaware Act. For purposes of the foregoing sentence, "insolvent" means the inability of the Company to meet its payment obligations when due. In furtherance of the foregoing, it is intended that the Manager shall, to the extent permitted by applicable Law and hereunder, have the right in its sole discretion to cause the Company to make Distributions of Distributable Cash to the Members pursuant to this <u>Section 4.01(a)</u> in such amounts as shall enable the Corporation to meet its obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) *Tax Distributions*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) With respect to each Taxable Year, the Company shall, to the extent it has Distributable Cash, make cash distributions ("***Tax Distributions***") to each Member in accordance with this <u>Section 4.01(b)</u> and such Member's Assumed Tax Liability. Tax Distributions pursuant to this <u>Section 4.01(b)(i)</u> shall be estimated by the Company on a quarterly basis and, to the extent feasible, shall be distributed to the Members (together with a statement showing the calculation of such Tax Distribution and an estimate of the Company's net taxable income allocable to each Member for such period) on a quarterly basis on April 15<sup>th</sup>, June 15<sup>th</sup>, September 15<sup>th</sup> and December 15<sup>th</sup> (or such other dates for which corporations are required to make quarterly estimated tax payments for U.S. federal income tax purposes) (each, a "***Quarterly Tax Distribution***"); *provided*, that the foregoing shall not restrict the Company from making a Tax Distribution on any other date as the Company determines is necessary to enable the Members to timely make estimated income tax payments. Quarterly Tax Distributions shall take into account the estimated taxable income or loss of the Company for the Taxable Year through the end of the relevant quarterly period. A final accounting for Tax Distributions shall be made for each Taxable Year after the allocation of the Company's actual net taxable income or loss has been determined and any shortfall in the amount of Tax Distributions a Member received for such Taxable Year based on such final accounting shall promptly be distributed to such Member. For the avoidance of doubt, any excess Tax Distributions a Member receives with respect to any Taxable Year shall reduce future Tax Distributions otherwise required to be made to such Member with respect to any subsequent Taxable Year. For the avoidance of doubt, Tax Distributions shall not be treated as an advance on any Distributions. Notwithstanding anything to the contrary in this Agreement, the Manager shall make, in its reasonable discretion, equitable adjustments (downward (but not below zero) or upward) to the Members' Tax Distributions to take into account increases or decreases in the number of Common LLC Interests held by each Member during the relevant taxable period or portion thereof; provided that any such equitable adjustments are made in a manner that results in Tax Distributions being made pro rata in proportion to the Members' respective Percentage Interests for any relevant taxable period or portion thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To the extent a Member otherwise would be entitled to receive less than its Percentage Interest of the aggregate Tax Distributions to be paid pursuant to this <u>Section 4.01(b)</u> (other than any distributions made pursuant to the last sentence of this <u>Section 4.01(b)(ii)</u> in respect of a shortfall or pursuant to the last sentence of <u>Section 4.01(b)(iii)</u> in respect of a shortfall) on any given date, the Tax Distributions to such Member shall be increased to ensure that all Distributions made pursuant to this <u>Section 4.01(b)</u> are made *pro rata* in accordance with the Members' respective Percentage Interests. If, on the date of a Tax Distribution, there are insufficient funds on hand to distribute to the Members the full amount of the Tax Distributions to which such Members are otherwise entitled, Distributions pursuant to this <u>Section 4.01(b)</u> shall be made to the Members to the extent of available funds in accordance with their Percentage Interests and the Company shall make future Tax Distributions in accordance with the Members' Percentage Interests at the time of such shortfalls as soon as sufficient funds become available to pay the remaining portion of the Tax Distributions to which such Members are otherwise entitled.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) In the event of any audit by, or similar event with, a Governmental Entity that affects the calculation of any Member's Assumed Tax Liability for any Taxable Year (other than an audit conducted pursuant to the Revised Partnership Audit Provisions for which no election is made pursuant to Section 6226 thereof and the Treasury Regulations promulgated thereunder), or in the event the Company files an amended tax return or administrative adjustment request, each Member's Assumed Tax Liability with respect to such year shall be recalculated by giving effect to such event (for the avoidance of doubt, taking into account interest or penalties). Any shortfall in the amount of Tax Distributions the Members and former Members received for the relevant Taxable Years based on such recalculated Assumed Tax Liability promptly shall be distributed to such Members and the successors of such former Members in accordance with the applicable Members' and former Members' Percentage Interests at the time of such shortfalls, except, for the avoidance of doubt, to the extent Distributions were made to such Members and former Members pursuant to <u>Section 4.01(a)</u> and this <u>Section 4.01(b)</u> in the relevant Taxable Years sufficient to cover such shortfall.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Notwithstanding the foregoing, Tax Distributions pursuant to this <u>Section 4.01(b</u>), if any, shall be made to a Member only to the extent all previous Tax Distributions to such Member pursuant to <u>Section 4.01(b)</u> with respect to the Taxable Year are less than the Tax Distributions such Member otherwise would have been entitled to receive with respect to such Taxable Year pursuant to this <u>Section 4.01(b)</u>.

Article V.<br> CAPITAL ACCOUNTS; ALLOCATIONS; TAX MATTERS

<u>Section 5.01</u> <u>Capital Accounts</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company shall maintain a separate Capital Account for each Member according to the rules of Treasury Regulations Section 1.704-1(b)(2)(iv). For this purpose, the Company may (in the discretion of the Manager), upon the occurrence of the events specified in Treasury Regulations Section 1.704-1(b)(2)(iv)(f), increase or decrease the Capital Accounts in accordance with the rules of such Treasury Regulations and Treasury Regulations Section 1.704-1(b)(2)(iv)(g) to reflect a revaluation of the Company's property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For purposes of computing the amount of any item of income, gain, loss or deduction with respect to the Company to be allocated pursuant to this <u>Article V</u> and to be reflected in the Capital Accounts of the Members, the determination, recognition and classification of any such item shall be the same as its determination, recognition and classification for U.S. federal income tax purposes (including any method of depreciation, cost recovery or amortization used for this purpose); *provided, however*, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the computation of all items of income, gain, loss and deduction shall include those items described in Code Section 705(a)(l)(B) or Code Section 705(a)(2)(B) and Treasury Regulations Section 1.704-1(b)(2)(iv)(i), without regard to the fact that such items are not includable in gross income or are not deductible for U.S. federal income tax purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if the Book Value of any property of the Company is adjusted pursuant to Treasury Regulations Section 1.704-1(b)(2)(iv)(e) or (f), the amount of such adjustment shall be taken into account as gain or loss from the disposition of such property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) items of income, gain, loss or deduction attributable to the disposition of property of the Company having a Book Value that differs from its adjusted basis for tax purposes shall be computed by reference to the Book Value of such property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) items of depreciation, amortization and other cost recovery deductions with respect to property of the Company having a Book Value that differs from its adjusted basis for tax purposes shall be computed by reference to the property's Book Value in accordance with Treasury Regulations Section 1.704-1(b)(2)(iv)(g); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) to the extent an adjustment to the adjusted tax basis of any asset of the Company pursuant to Code Sections 732(d), 734(b) or 743(b) is required, pursuant to Treasury Regulations Section 1.704-1(b)(2)(iv)(m), to be taken into account in determining Capital Accounts, the amount of such adjustment to the Capital Accounts shall be treated as an item of gain (if the adjustment increases the basis of the asset) or loss (if the adjustment decreases such basis).

<u>Section 5.02</u> <u>Allocations</u>. Except as otherwise provided in <u>Section 5.03</u> and <u>Section 5.04</u>, Net Profits and Net Losses for any Taxable Year or Fiscal Period shall be allocated among the Capital Accounts of the Members *pro rata* in accordance with their respective Percentage Interests.

<u>Section 5.03</u> <u>Regulatory Allocations</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Losses attributable to partner nonrecourse debt (as defined in Treasury Regulations Section 1.704-2(b)(4)) shall be allocated in the manner required by Treasury Regulations Section 1.704-2(i). Except as otherwise provided for in Section 5.03(b), if there is a net decrease during a Taxable Year in partner nonrecourse debt minimum gain (as defined in Treasury Regulations Section 1.704-2(i)(3)), Profits for such Taxable Year (and, if necessary, for subsequent Taxable Years) shall be allocated to the Members in the amounts and of such character as determined according to Treasury Regulations Section 1.704-2(i)(4).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Nonrecourse deductions (as determined according to Treasury Regulations Section 1.704-2(b)(1)) for any Taxable Year shall be allocated pro rata among the Members in accordance with their Percentage Interests. If there is a net decrease in the Minimum Gain during any Taxable Year, each Member shall be allocated Profits for such Taxable Year (and, if necessary, for subsequent Taxable Years) in the amounts and of such character as determined according to Treasury Regulations Section 1.704-2(f). This <u>Section 5.03(b)</u> is intended to be a minimum gain chargeback provision that complies with the requirements of Treasury Regulations Section 1.704-2(f), and shall be interpreted in a manner consistent therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If any Member that unexpectedly receives an adjustment, allocation or Distribution described in Treasury Regulations Sections 1.704-1(b)(2)(ii)(d)(4), (5) and (6) has an Adjusted Capital Account Deficit as of the end of any Taxable Year, after all other allocations pursuant to <u>Sections 5.02</u>, <u>5.03</u>, <u>5.04</u> and <u>5.05</u> have been tentatively made as if this <u>Section 5.03(c)</u> were not in this Agreement, then Profits for such Taxable Year shall be allocated to such Member in proportion to, and to the extent of, such Adjusted Capital Account Deficit. This <u>Section 5.03(c)</u> is intended to be a qualified income offset provision as described in Treasury Regulations Section 1.704-1(b)(2)(ii)(d) and shall be interpreted in a manner consistent therewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If the allocation of Net Losses (or items of Losses) to a Member as provided in <u>Section 5.02</u> would create or increase an Adjusted Capital Account Deficit, there shall be allocated to such Member only that amount of Losses as will not create or increase an Adjusted Capital Account Deficit. The Net Losses that would, absent the application of the preceding sentence, otherwise be allocated to such Member shall be allocated to the other Members in accordance with their relative Percentage Interests, subject to this <u>Section 5.03(d)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Profits and Losses described in <u>Section 5.01(b)(v)</u> shall be allocated in a manner consistent with the manner that the adjustments to the Capital Accounts are required to be made pursuant to Treasury Regulations Section 1.704-1(b)(2)(iv)(j) and (m).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The allocations set forth in <u>Section 5.03(a)</u> through and including <u>Section 5.03(e)</u> (the "***Regulatory Allocations***") are intended to comply with certain requirements of Sections 1.704-1(b) and 1.704-2 of the Treasury Regulations. The Regulatory Allocations may not be consistent with the manner in which the Members intend to allocate Net Profit and Net Loss of the Company or make Distributions. Accordingly, notwithstanding the other provisions of this <u>Article V</u>, but subject to the Regulatory Allocations, income, gain, deduction and loss with respect to the Company shall be reallocated among the Members so as to eliminate the effect of the Regulatory Allocations and thereby cause the respective Capital Accounts of the Members to be in the amounts (or as close thereto as possible) they would have been if Net Profit and Net Loss (and such other items of income, gain, deduction and loss) had been allocated without reference to the Regulatory Allocations. In general, the Members anticipate that this will be accomplished by specially allocating other Profit and Loss (and such other items of income, gain, deduction and loss) among the Members so that the net amount of the Regulatory Allocations and such special allocations to each such Member is zero. In addition, if in any Taxable Year or Fiscal Period there is a decrease in partnership minimum gain, or in partner nonrecourse debt minimum gain, and application of the minimum gain chargeback requirements set forth in <u>Section 5.03(a)</u> or <u>Section 5.03(b)</u> would cause a distortion in the economic arrangement among the Members, the Manager may, if it does not expect that the Company will have sufficient other income to correct such distortion, request the Internal Revenue Service to waive either or both of such minimum gain chargeback requirements pursuant to Treasury Regulations Section 1.704-2(f)(4). If such request is granted, this Agreement shall be applied in such instance as if it did not contain such minimum gain chargeback requirement.

<u>Section 5.04</u> <u>Final Allocations</u>. Notwithstanding any contrary provision in this Agreement except <u>Section 5.03</u>, the Manager shall make appropriate adjustments to allocations of Net Profits and Net Losses to (or, if necessary, allocate items of gross income, gain, loss or deduction of the Company among) the Members upon the liquidation of the Company (within the meaning of Section 1.704-1(b)(2)(ii)(g) of the Treasury Regulations), upon the transfer of substantially all the LLC Interests (whether by sale or exchange or merger), upon the sale of all or substantially all the assets of the Company, to the extent necessary in the connection with a distribution in respect of a shortfall pursuant to <u>Section 4.01(b)(ii)</u> or <u>Section 4.01(b)(iii)</u> or at any other time reasonably determined by the Manager, such that, to the maximum extent possible, the Capital Accounts of the Members are proportionate to their Percentage Interests. In each case, such adjustments or allocations shall occur, to the maximum extent possible, in the Taxable Year of the event requiring such adjustments or allocations.

<u>Section 5.05</u> <u>Tax Allocations</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The income, gains, losses, deductions and credits of the Company will be allocated, for federal, state and local income tax purposes, among the Members in accordance with the allocation of such income, gains, losses, deductions and credits among the Members for computing their Capital Accounts; *provided* that if any such allocation is not permitted by the Code or other applicable Law, the Company's subsequent income, gains, losses, deductions and credits will be allocated among the Members so as to reflect as nearly as possible the allocation set forth herein in computing their Capital Accounts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Items of taxable income, gain, loss and deduction of the Company with respect to any property contributed to the capital of the Company shall be allocated among the Members in accordance with Code Section 704(c) so as to take account of any variation between the adjusted basis of such property to the Company for federal income tax purposes and its Book Value using the method set forth in Treasury Regulations Section 1.704-3 as chosen by the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If the Book Value of any asset of the Company is adjusted pursuant to <u>Section 5.01(b)</u>, including adjustments to the Book Value of any asset of the Company in connection with the execution of this Agreement, subsequent allocations of items of taxable income, gain, loss and deduction with respect to such asset shall take account of any variation between the adjusted basis of such asset for federal income tax purposes and its Book Value using the method set forth in Treasury Regulations Section 1.704-3 as chosen by the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Allocations of tax credits, tax credit recapture, and any items related thereto shall be allocated to the Members as determined by the Manager taking into account the principles of Treasury Regulations Section 1.704-1(b)(4)(ii).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) For purposes of determining a Member's share of the Company's "excess nonrecourse liabilities" within the meaning of Treasury Regulations Section 1.752-3(a)(3), each Member's interest in income and gain shall be determined pursuant to any proper method, as reasonably determined by the Manager; *provided*, that each year the Manager shall use its reasonable best efforts (using in all instances any proper method permitted under applicable Law, including without limitation the "additional method" described in Treasury Regulations Section 1.752-3(a)(3)) to allocate a sufficient amount of the excess nonrecourse liabilities to those Members who would have at the end of the applicable Taxable Year, but for such allocation, taxable income due to the deemed distribution of money to such Member pursuant to Section 752(b) of the Code that is in excess of such Member's adjusted tax basis in its LLC Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Allocations pursuant to this <u>Section 5.05</u> are solely for purposes of federal, state and local income taxes and shall not affect, or in any way be taken into account in computing, any Member's Capital Account or share of Profits, Losses, Distributions or other items of the Company pursuant to any provision of this Agreement.

<u>Section 5.06</u> <u>Indemnification and Reimbursement for Payments on Behalf of a Member</u>. Except as otherwise determined by the Manager, if the Company or any other Person in which the Company holds an interest is obligated to pay any amount to a Governmental Entity (or otherwise makes a payment to a Governmental Entity) that is specifically attributable to a Member or a Member's status as such (including federal income taxes, additions to tax, interest and penalties as a result of obligations of the Company pursuant to the Revised Partnership Audit Provisions, federal withholding taxes, state personal property taxes and state unincorporated business taxes), then such Member shall indemnify the Company in full for the entire amount paid (including interest, penalties and related expenses). The Manager may offset Distributions to which a Member is otherwise entitled under this Agreement against such Member's obligation to indemnify the Company under this <u>Section 5.06</u>. A Member's obligation to make payments to the Company under this <u>Section 5.06</u> shall survive the transfer or termination of any Member's interest in any LLC Interests of the Company, the termination of this Agreement and the dissolution, liquidation, winding up and termination of the Company. In the event that the Company has been terminated prior to the date such payment is due, such Member shall make such payment to the Manager (or its designee), which shall distribute such funds in accordance with this Agreement. The Company may pursue and enforce all rights and remedies it may have against each Member under this <u>Section 5.06</u>, including instituting a lawsuit to collect such contribution with interest calculated at a rate per annum equal to the sum of the Base Rate plus 300 basis points (but not in excess of the highest rate per annum permitted by Law). Each Member hereby agrees to furnish to the Company such information and forms as required or reasonably requested by the Company in order to comply with any Laws and regulations governing withholding of tax or in order to claim any reduced rate of, or exemption from, withholding to which the Member is legally entitled. The Company may withhold any amount that it determines is required to be withheld from any amount otherwise payable to any Member hereunder, and any such withheld amount shall be deemed to have been paid to such Member for all purposes of this Agreement, unless otherwise reimbursed by such Member under this <u>Section 5.06</u>. For the avoidance of doubt, any income taxes, penalties, additions to tax and interest payable by the Company or any fiscally transparent entity in which the Company owns an interest that are attributable to income or gain that is (or otherwise would be) passed through to the Members under applicable Law shall be treated as specifically attributable to the Members and shall be allocated among the Members such that the burden of (or any diminution in distributable proceeds resulting from) any such amounts is borne by those Members to whom such amounts are specifically attributable, in each case as reasonably determined by the Manager.

Article VI.<br> MANAGEMENT

<u>Section 6.01</u> <u>Authority of Manager; Officer Delegation</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except for situations in which the approval of any Member(s) is specifically required by this Agreement, (i) all management powers over the business and affairs of the Company shall be exclusively vested in the Corporation, as the sole managing member of the Company (the Corporation, in such capacity, the "***Manager***"), (ii) the Manager shall conduct, direct and exercise full control over all activities of the Company and (iii) no other Member shall have any right, authority or power to vote, consent or approve any matter, whether under the Delaware Act, this Agreement or otherwise. The Manager shall be the "manager" of the Company for the purposes of the Delaware Act. Except as otherwise expressly provided for herein and subject to the other provisions of this Agreement, the Members hereby consent to the exercise by the Manager of all such powers and rights conferred on the Members by the Delaware Act with respect to the management and control of the Company. Any vacancies in the position of Manager shall be filled in accordance with <u>Section 6.04</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Without limiting the authority of the Manager to act on behalf of the Company, the day-to-day business and operations of the Company shall be overseen and implemented by officers of the Company (each, an "***Officer***" and collectively, the "***Officers***"), subject to the limitations imposed by the Manager. An Officer may, but need not, be a Member. Each Officer shall be appointed by the Manager and shall hold office until his or her successor shall be duly designated and shall qualify or until his or her death or until he or she shall resign or shall have been removed in the manner hereinafter provided. Any one Person may hold more than one office. Subject to the other provisions of this Agreement (including in <u>Section 6.07</u>), the salaries or other compensation, if any, of the Officers of the Company shall be fixed from time to time by the Manager. The authority and responsibility of the Officers shall be limited to such duties as the Manager may, from time to time, delegate to them. Unless the Manager decides otherwise, if the title is one commonly used for officers of a business corporation formed under the DGCL, the assignment of such title shall constitute the delegation to such person of the authorities and duties that are normally associated with that office. All Officers shall be, and shall be deemed to be, officers and employees of the Company. An Officer may also perform one or more roles as an officer of the Manager. Any Officer may be removed at any time, with or without cause, by the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to the other provisions of this Agreement, the Manager shall have the power and authority to effectuate the sale, lease, transfer, exchange or other disposition of any, all or substantially all of the assets of the Company (including the exercise or grant of any conversion, option, privilege or subscription right or any other right available in connection with any assets at any time held by the Company) or the merger, consolidation, conversion, division, reorganization or other combination of the Company with or into another entity, for the avoidance of doubt, without the prior consent of any Member or any other Person being required.

<u>Section 6.02</u> <u>Actions of the Manager</u>. The Manager may act through any Officer or through any other Person or Persons to whom authority and duties have been delegated pursuant to <u>Section 6.07</u>.

<u>Section 6.03</u> <u>Resignation; No Removal</u>. The Manager may resign at any time by giving written notice to the Members; *provided, however*, that any such resignation shall be subject to the appointment of a new Manager in accordance with <u>Section 6.04</u>. Unless otherwise specified in the notice, the resignation shall take effect upon receipt thereof by the Members (subject to the appointment of a new Manager in accordance with <u>Section 6.04</u>), and the acceptance of the resignation shall not be necessary to make it effective. For the avoidance of doubt, the Members have no right under this Agreement to remove or replace the Manager. Notwithstanding anything to the contrary herein, no replacement of the Corporation as the Manager shall be effective unless proper provision is made, in compliance with this Agreement, so that the obligations of the Corporation, its successor or assign (if applicable), and any new Manager and the rights of all Members under this Agreement and applicable Law remain in full force and effect. No appointment of a Person other than the Corporation (or its successor or assign, as applicable) as the Manager shall be effective unless the Corporation (or its successor or assign, as applicable) and the new Manager (as applicable) provide all other Members with contractual rights, directly enforceable by such other Members against the Corporation (or its successor, as applicable) and the new Manager (as applicable), to cause (a) the Corporation to comply with all of the Corporation's obligations under this Agreement (in its capacity as a Member) and (b) the new Manager to comply with all of the Manager's obligations under this Agreement.

<u>Section 6.04</u> <u>Vacancies</u>. Vacancies in the position of Manager occurring for any reason shall be filled by the Corporation (or, if the Corporation has ceased to exist without any successor or assign, then by the holders of a majority in interest of the voting capital stock of the Corporation immediately prior to such cessation). For the avoidance of doubt, the Members (other than the Corporation) have no right under this Agreement to fill any vacancy in the position of Manager.

<u>Section 6.05</u> <u>Transactions Between the Company and the Manager</u>. The Manager may cause the Company to contract and deal with the Manager, or any Affiliate of the Manager, *provided*, that such contracts and dealings (other than contracts and dealings between the Company and its Subsidiaries) are (i) on terms comparable to and competitive with those available to the Company from others dealing at arm's length, (ii) approved by the disinterested Members (other than the Manager) holding a majority of the Percentage Interests of the disinterested Members (other than the Manager) or (iii) approved by the Disinterested Majority, and in each case, otherwise are permitted by the Credit Agreements; *provided* that the foregoing shall in no way limit the Manager's rights under <u>Sections 3.02</u>, <u>3.04</u> or <u>3.05</u>. The Members hereby approve each of the contracts or agreements between or among the Manager or its Affiliates (other than the Company and its Subsidiaries), on the one hand, and the Company or its Affiliates (other than the Manager and any of the Company's Subsidiaries), on the other hand, entered into on or prior to the date of this Agreement in accordance with the limited liability company agreement governing the Company at such time or that the managers of the Company or the Corporate Board has approved in connection with the Cancellation or the private placement referenced in the Recitals as of the date of this Agreement, including, but not limited to, the LLC Subscription Agreement, the Subordinated Loan Agreement and that certain Agreement to Provide Future Guarantee, dated as of March 10, 2025, among Bally's Corporation, a Delaware corporation, the Company and other subsidiary guarantors as may be designated from time to time party as provided therein.

<u>Section 6.06</u> <u>Reimbursement for Expenses</u>. The Manager shall not be compensated for its services as Manager of the Company except as expressly provided in this Agreement. The Members acknowledge and agree that the services performed by the Manager will inure to the benefit of the Company and all Members; therefore, the Manager shall be reimbursed by the Company for any reasonable out-of-pocket expenses incurred on behalf of the Company. To the extent practicable, expenses incurred by the Manager on behalf of or for the benefit of the Company shall be billed directly to and paid by the Company and, if and to the extent any reimbursements to the Manager or any of its Affiliates by the Company pursuant to this <u>Section 6.06</u> constitute gross income to such Person (as opposed to the repayment of advances made by such Person on behalf of the Company), such amounts shall be treated as "guaranteed payments" within the meaning of Code Section 707(c) (unless otherwise required by the Code and Treasury Regulations) and shall not be treated as distributions for purposes of computing the Members' Capital Accounts. Notwithstanding the foregoing, the Company shall not bear any obligations with respect to income tax of the Manager other than in a manner that is expressly contemplated under this Agreement.

<u>Section 6.07</u> <u>Delegation of Authority</u>. The Manager (a) may, from time to time, delegate to one or more Persons such authority and duties as the Manager may deem advisable, and (b) may assign titles (including, without limitation, chief executive officer, president, chief financial officer, chief operating officer, general counsel, senior vice president, vice president, secretary, assistant secretary, treasurer or assistant treasurer) and delegate certain authority and duties to such Persons, which may be amended, restated or otherwise modified from time to time. Any number of titles may be held by the same individual. The salaries or other compensation, if any, of such agents of the Company shall be fixed from time to time by the Manager, subject to the other provisions in this Agreement.

<u>Section 6.08</u> <u>Limitation of Liability of Manager</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Except as otherwise provided herein or in an agreement entered into by such Person and the Company, to the fullest extent permitted by applicable Law, neither the Manager nor any of the Manager's Affiliates or Manager's officers, directors, employees or other agents (collectively "***Manager's Representatives***") shall be liable to the Company, to any Member that is not the Manager or to any other Person (other than the Manager) bound by this Agreement for any act or omission performed or omitted by the Manager or such Manager's Representative in its capacity as the managing member of the Company or as an Affiliate, officer, director, employee or agent of the Manager, as applicable, pursuant to authority granted to the Manager by this Agreement; *provided, however*, that, except as otherwise provided herein, such limitation of liability shall not apply to the extent the act or omission was attributable to the Manager's or a Manager's Representative's fraud, willful misconduct or knowing violation of Law or for any present or future material breaches of any representations, warranties or covenants by the Manager or any Manager's Representative contained herein or in the Other Agreements with the Company. The Manager may exercise any of the powers granted to it by this Agreement and perform any of the duties imposed upon it hereunder either directly or by or through its agents, and, to the fullest extent permitted by law, shall not be responsible for any misconduct or negligence on the part of any such agent (so long as such agent was selected in good faith and with reasonable care). The Manager and each Manager's Representative shall be entitled to rely upon the advice of legal counsel, independent public accountants and other experts, including financial advisors, as to matters the Manager or such Manager's Representative reasonably believes are within such other Person's professional or expert competence and any act of or failure to act by the Manager or such Manager's Representative in good faith reliance on such advice shall in no event subject the Manager or any Manager's Representative to liability to the Company or any Member that is not the Manager or any other Person (other than the Manager) bound by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the fullest extent permitted by applicable Law, whenever this Agreement or any other agreement contemplated herein provides that the Manager shall act in its reasonable discretion or in a manner which is, or provide terms which are, "fair and reasonable" to the Company or any Member that is not the Manager, the Manager shall determine such appropriate action or provide such terms considering, in each case, the relative interests of each party to such agreement, transaction or situation and the benefits and burdens relating to such interests, any customary or accepted industry practices, and any applicable United States generally accepted accounting practices or principles, notwithstanding any other provision of this Agreement or in any agreement contemplated herein or applicable provisions of Law or equity or otherwise.

<u>Section 6.09</u> <u>Investment Company Act</u>. The Manager shall use its best efforts to ensure that the Company shall not be subject to registration as an investment company pursuant to the Investment Company Act.

Article VII.<br> RIGHTS AND OBLIGATIONS OF MEMBERS AND MANAGER

<u>Section 7.01</u> <u>Limitation of Liability and Duties of Members</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything contained herein to the contrary, to the fullest extent permitted by applicable Law, the failure of the Company to observe any formalities or requirements relating to the exercise of its powers or management of its business and affairs under this Agreement or the Delaware Act shall not be grounds for imposing personal liability on the Members or the Manager for liabilities of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In accordance with the Delaware Act and the laws of the State of Delaware, a Member may, under certain circumstances, be required to return amounts previously distributed to such Member. It is the intent of the Members that no Distribution to any Member pursuant to <u>Articles IV</u> or <u>XIII</u> shall be deemed a return of money or other property paid or distributed in violation of the Delaware Act. The payment of any such money or Distribution of any such property to a Member shall be deemed to be a compromise within the meaning of Section 18-502(b) of the Delaware Act, and, to the fullest extent permitted by Law, any Member receiving any such money or property shall not be required to return any such money or property to the Company or any other Person, unless such distribution was made by the Company to its Members in clerical error. However, if any court of competent jurisdiction holds that, notwithstanding the provisions of this Agreement, any Member is obligated to make any such payment, such obligation shall be the obligation of such Member and not of any other Member.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) To the fullest extent permitted by applicable Law, including Section 18-1101(c) of the Delaware Act, and notwithstanding any other provision of this Agreement or in any agreement contemplated herein or applicable provisions of Law or equity or otherwise, the parties hereto hereby agree that to the extent that any Member in its capacity as such (other than, for the avoidance of doubt, the Manager in its capacity as such) (or any Member's Affiliate or any manager, managing member, general partner, director, officer, employee, agent, fiduciary or trustee of any Member or of any Affiliate of a Member) has duties (including fiduciary duties) to the Company, to the Manager, to another Member, to any Person who acquires LLC Interests or to any other Person bound by this Agreement, all such duties (including fiduciary duties) are hereby eliminated, to the fullest extent permitted by Law, and replaced with the duties or standards expressly set forth herein, if any; *provided, however,* that the foregoing shall not eliminate the implied contractual covenant of good faith and fair dealing. The elimination of duties (including fiduciary duties) to the Company, the Manager, each of the Members, each other Person who acquires LLC Interests and each other Person bound by this Agreement and replacement thereof with the duties or standards expressly set forth herein, if any, are approved by the Company, the Manager, each of the Members, each other Person who acquires LLC Interests and each other Person bound by this Agreement. Any exculpation or indemnification standards contained in this Agreement shall not restore or create, whether in contract or otherwise, any duties otherwise restricted or eliminated by this Agreement.

<u>Section 7.02</u> <u>Lack of Authority</u>. No Member, other than the Manager or a duly appointed Officer or other agent of the Company, in each case in its capacity as such, has the authority or power to act for or on behalf of the Company, to do any act that would be binding on the Company or to make any expenditure on behalf of the Company. The Members hereby consent to the exercise by the Manager of the powers conferred on them by Law and this Agreement.

<u>Section 7.03</u> <u>No Right of Partition</u>. To the fullest extent permitted by applicable Law, no Member, other than the Manager, shall have the right to seek or obtain partition by court decree or operation of Law of any property of the Company, or the right to own or use particular or individual assets of the Company.

<u>Section 7.04</u> <u>Indemnification</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to <u>Section 5.06</u>, the Company hereby agrees to indemnify and hold harmless any Person (each an "***Indemnified Person***") to the fullest extent permitted under applicable Law, as the same now exists or may hereafter be amended, substituted or replaced (but, to the fullest extent permitted by applicable Law, in the case of any such amendment, substitution or replacement only to the extent that such amendment, substitution or replacement permits the Company to provide broader indemnification rights than the Company is providing immediately prior to such amendment, substitution or replacement), against all expenses, liabilities and losses (including attorneys' fees, judgments, fines, excise taxes or penalties) reasonably incurred or suffered by such Person (or one or more of such Person's Affiliates) by reason of the fact that such Person is or was a Member or an Affiliate thereof (other than solely as a result of an ownership interest in the Corporation) or is or was serving as the Manager or a director, officer, employee or other agent of the Manager, the Partnership Representative, or a director, manager, Officer, employee or other agent of the Company or is or was serving at the request of the Company as a manager, officer, director, principal, member, employee or agent of another Person; *provided, however*, that no Indemnified Person shall be indemnified for any expenses, liabilities and losses suffered that are attributable to such Indemnified Person's or its Affiliates' fraud, willful misconduct or knowing violation of Law or for any present or future material breaches of any representations, warranties or covenants by such Indemnified Person or its Affiliates contained herein or in Other Agreements with the Company; *provided*, that the foregoing shall not limit the Company's ability to provide indemnification to the Manager and its officers in respect of the performance of its or their duties to the fullest extent permitted by Law. Reasonable expenses, including out-of-pocket attorneys' fees, incurred by any such Indemnified Person in defending a proceeding shall be paid by the Company in advance of the final disposition of such proceeding, including any appeal therefrom, upon receipt of an undertaking by or on behalf of such Indemnified Person to repay such amount if it shall ultimately be determined that such Indemnified Person is not entitled to be indemnified by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The right to indemnification and the advancement of expenses conferred in this <u>Section 7.04</u> shall not be exclusive of any other right which any Person may have or hereafter acquire under any statute, agreement, bylaw, action by the Manager or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Company shall maintain directors' and officers' liability insurance, or substantially equivalent insurance, at its expense, to protect any Indemnified Person against any expense, liability or loss described in <u>Section 7.04(a)</u> whether or not the Company would have the power to indemnify such Indemnified Person against such expense, liability or loss under the provisions of this <u>Section 7.04</u>. The Company shall use its commercially reasonable efforts to purchase and maintain property, casualty and liability insurance in types and at levels customary for companies of similar size engaged in similar lines of business, as determined in good faith by the Manager, and the Company shall use its commercially reasonable efforts to purchase directors' and officers' liability insurance (including employment practices coverage) with a carrier and in an amount determined necessary or desirable as determined in good faith by the Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The indemnification and advancement of expenses provided for in this <u>Section 7.04</u> shall be provided out of and to the extent of Company assets only. No Member (unless such Member otherwise agrees in writing or is found in a non-appealable decision by a Governmental Entity of competent jurisdiction to have personal liability on account thereof) shall have personal liability on account thereof or shall be required to make additional Capital Contributions to help satisfy such indemnity of the Company. The Company (i) shall be the primary indemnitor of first resort for such Indemnified Person pursuant to this <u>Section 7.04</u> and (ii) shall be fully responsible for the advancement of all expenses and the payment of all damages or liabilities with respect to such Indemnified Person which are addressed by this <u>Section 7.04</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If this <u>Section 7.04</u> or any portion hereof shall be invalidated on any ground by any Governmental Entity of competent jurisdiction, then the Company shall nevertheless indemnify and hold harmless each Indemnified Person pursuant to this <u>Section 7.04</u> to the fullest extent permitted by any applicable portion of this <u>Section 7.04</u> that shall not have been invalidated and to the fullest extent permitted by applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Except as otherwise provided herein or in an agreement entered into by such Person and the Company, no Indemnified Person shall be liable to the Company, to any Member that is not the Manager or to any other Person (other than the Manager) bound by this Agreement for any act or omission performed or omitted by such Indemnified Person; *provided, however*, that, except as otherwise provided herein, such limitation of liability shall not apply to the extent the act or omission was attributable to such Indemnified Person's fraud, willful misconduct or knowing violation of Law. Notwithstanding the foregoing, the exculpation rights in this <u>Section 7.04(f)</u> shall not apply to the Manager or any Manager's Representative, whose exculpation rights shall be governed by <u>Section 6.08</u>.

Article VIII.<br> BOOKS, RECORDS, ACCOUNTING AND REPORTS, AFFIRMATIVE COVENANTS

<u>Section 8.01</u> <u>Records and Accounting</u>. The Company shall keep, or cause to be kept, appropriate books and records with respect to the Company's business, including all books and records necessary to provide any information, lists and copies of documents required pursuant to applicable Laws. All matters concerning (a) the determination of the relative amount of allocations and Distributions among the Members pursuant to <u>Articles IV</u> and <u>V</u> and (b) accounting procedures and determinations, and other determinations not specifically and expressly provided for by the terms of this Agreement, shall be determined by the Manager in a fair and reasonable manner, whose determination shall be final and conclusive as to all of the Members absent manifest clerical error or common law fraud.

<u>Section 8.02</u> <u>Fiscal Year</u>. The Fiscal Year of the Company shall end on December 31 of each year or such other date as may be established by the Manager.

<u>Section 8.03</u> <u>Inspection Rights</u>. The Company shall permit each Member and each of its designated representatives, at such Member's sole cost and expense, to examine the books and records of the Company or any of its Subsidiaries at the principal office of the Company or such other location as the Manager shall reasonably approve during normal business hours and upon reasonable notice for any purpose reasonably related to such Member's interest as a member of the Company; *provided*, that the Manager has a right to keep confidential from the Members certain information in accordance with Section 18-305 of the Delaware Act.

Article IX.<br> TAX MATTERS

<u>Section 9.01</u> <u>Preparation of Tax Returns</u>. The Manager shall arrange for the preparation and timely filing of all tax returns required to be filed by the Company. The Manager shall use reasonable efforts (taking into account applicable extensions of time to file tax returns) to furnish, within one hundred and fifty (150) days of the close of each Taxable Year, to each Member a completed IRS Schedule K-1 (and any comparable state and local income tax form) and such other information as is reasonably requested by such Member relating to the Company that is necessary for such Member to comply with its tax reporting obligations. Subject to the terms and conditions of this Agreement and except as otherwise provided in this Agreement, in its capacity as Partnership Representative, the Corporation shall have the authority to prepare the tax returns of the Company using such permissible methods and elections as it determines in its reasonable discretion, including without limitation the use of any permissible method under Section 706 of the Code for purposes of determining the varying LLC Interests of its Members.

<u>Section 9.02</u> <u>Tax Elections</u>. The Taxable Year shall be the Fiscal Year set forth in <u>Section 8.02</u>, unless otherwise required by Section 706 of the Code. The Manager may, at its discretion, cause the Company and each of its Subsidiaries that is treated as a partnership for U.S. federal income tax purposes to have in effect an election pursuant to Section 754 of the Code (or any similar provisions of applicable state, local or foreign tax Law) for the Taxable Year that includes the Effective Date and each subsequent Taxable Year, and the Manager may take commercially reasonable efforts to cause each Person in which the Company owns a direct or indirect equity interest (other than a Subsidiary) that is so treated as a partnership to have in effect any such election for such Taxable Years. Each Member will upon request supply any information reasonably necessary to give proper effect to any such elections.

<u>Section 9.03</u> <u>Tax Controversies</u>. The Manager shall cause the Company to take all necessary actions required by Law to designate the Corporation as the "partnership representative" of the Company as provided in Section 6223(a) of the Code with respect to any Taxable Year of the Company, and the Corporation is hereby authorized to designate an individual to be the sole individual through which such entity "partnership representative" will act (in such capacities, including in similar capacities under analogous provisions of state or local Law, collectively, the "***Partnership Representative***"). The Company and the Members shall cooperate fully with each other and shall use reasonable best efforts to cause the Corporation (or its designated individual, as applicable) to become the Partnership Representative with respect to any taxable period of the Company with respect to which the statute of limitations has not yet expired (and causing any tax matters partner, partnership representative or designated individual designated prior to the Effective Date to resign, be revoked or replaced, as applicable), including (as applicable) by filing certifications pursuant to Treasury Regulations Section 301.6231(a)(7)-1(d) and completing IRS Form 8979 or any other form or certificate required pursuant to Treasury Regulations Section 301.6223-1(e)(1). The Partnership Representative shall have the right and obligation to take all actions authorized and required, by the Code and Treasury Regulations (and analogous provisions of state or local Law) for the Partnership Representative and is authorized and required to represent the Company (at the Company's expense) in connection with all examinations of the Company's affairs by tax authorities, including any resulting administrative and judicial proceedings, and to expend Company funds for professional services reasonably incurred in connection therewith. Each Member agrees to cooperate with the Company and the Partnership Representative and to do or refrain from doing any or all things reasonably requested by the Company or the Partnership Representative with respect to the conduct of such proceedings. Without limiting the generality of the foregoing, with respect to any audit or other proceeding, the Partnership Representative shall be entitled to cause the Company (and any of its Subsidiaries) to make any available elections pursuant to Section 6226 of the Code (and similar provisions of state, local and other Law), and the Members shall cooperate to the extent reasonably requested by the Company in connection therewith. The Company shall reimburse the Partnership Representative for all reasonable out-of-pocket expenses incurred by the Partnership Representative, including reasonable fees of any professional attorneys, in carrying out its duties as the Partnership Representative. The provisions of this <u>Section 9.03</u> shall survive the transfer or termination of any Member's interest in any LLC Interests of the Company, the termination of this Agreement and the termination of the Company, and shall remain binding on each Member for the period of time necessary to resolve all tax matters relating to the Company. The Partnership Representative will, within ten (10) days of the receipt of any notice from the Internal Revenue Service or any other taxing authority of any audit, investigation or other proceeding relating to any flow-through income tax matters, mail a copy of such notice to each Member.

Article X.<br> RESTRICTIONS ON TRANSFER OF LLC INTERESTS; CERTAIN TRANSACTIONS

<u>Section 10.01</u> <u>Transfers by Members</u>. No holder of LLC Interests shall Transfer any interest in any LLC Interests, except Transfers (a) pursuant to and in accordance with <u>Sections 10.02</u> and <u>10.09</u> or (b) approved in advance and in writing by the Manager, in the case of Transfers by any Member other than the Manager, or (c) in the case of Transfers by the Manager, to any Person who succeeds to the Manager in accordance with <u>Section 6.04</u>. Notwithstanding the foregoing, "Transfer" shall not include (i) an event that terminates the existence of a Member for income tax purposes (including, without limitation, a change in entity classification of a Member under Treasury Regulations Section 301.7701-3, a sale of assets by, or liquidation of, a Member pursuant to an election under Code Sections 336 or 338, or merger, severance, or allocation within a trust or among sub-trusts of a trust that is a Member), but that does not terminate the existence of such Member under applicable state Law (or, in the case of a trust that is a Member, does not terminate the trusteeship of the fiduciaries under such trust with respect to all the LLC Interests of such trust that is a Member) or (ii) any indirect Transfer of LLC Interests held by the Manager by virtue of any Transfer of Equity Securities in the Corporation.

<u>Section 10.02</u> <u>Permitted Transfers</u>. The restrictions contained in <u>Section 10.01</u> shall not apply to any of the following Transfers (each, a "***Permitted Transfer***" and each transferee, a "***Permitted Transferee***"): (i)(A) a Transfer that is necessary or desirable to comply with <u>Sections 3.04</u> or <u>3.05</u> as determined by the Manager, or (B) a Transfer by a Member to the Corporation or any of its Subsidiaries or (ii) a Transfer to an Affiliate of such Member; *provided, however*, that (x) the restrictions contained in this Agreement will continue to apply to LLC Interests after any Permitted Transfer of such LLC Interests, and (y) in the case of the foregoing clause (ii), the Permitted Transferees of the LLC Interests so Transferred shall at the time of the Permitted Transfer agree in writing to be bound by the provisions of this Agreement and the Other Agreements pursuant to <u>Section 10.04</u>, and prior to such Transfer the transferor will deliver a written notice to the Company and the Members, which notice will disclose in reasonable detail the identity of the proposed Permitted Transferee. If a Permitted Transfer pursuant to clause (ii) of the immediately preceding sentence would result in a Change of Control, such Member must provide the Manager with written notice of such proposed Permitted Transfer at least sixty (60) calendar days prior to the consummation of such Permitted Transfer. In the case of a Permitted Transfer of any Common LLC Interests by any Member holding Class B Interests to a Permitted Transferee in accordance with this <u>Section 10.02</u>, such Member shall also transfer a number of Class B Interests equal to the number of Common LLC Interests that were transferred by such Member in the transaction to such Permitted Transferee. All Permitted Transfers are subject to the additional limitations set forth in <u>Section 10.07(b)</u>.

<u>Section 10.03</u> <u>Restricted LLC Interests Legend</u>. The LLC Interests have not been registered under the Securities Act and, therefore, in addition to the other restrictions on Transfer contained in this Agreement, cannot be sold unless subsequently registered under the Securities Act or if an exemption from such registration is then available with respect to such sale. To the extent such LLC Interests have been certificated, each certificate evidencing LLC Interests and each certificate issued in exchange for or upon the Transfer of any LLC Interests shall be stamped or otherwise imprinted with a legend in substantially the following form:

"THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), AND MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT UNDER THE ACT OR AN EXEMPTION FROM REGISTRATION THEREUNDER. THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE ALSO SUBJECT TO ADDITIONAL RESTRICTIONS ON TRANSFER SPECIFIED IN THE AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT OF BALLY'S CHICAGO OPERATING COMPANY, LLC, AS IT MAY BE AMENDED, RESTATED, AMENDED AND RESTATED, OR OTHERWISE MODIFIED FROM TIME TO TIME, AND BALLY'S CHICAGO OPERATING COMPANY, LLC RESERVES THE RIGHT TO REFUSE THE TRANSFER OF SUCH SECURITIES UNTIL SUCH CONDITIONS HAVE BEEN FULFILLED WITH RESPECT TO ANY TRANSFER. A COPY OF SUCH CONDITIONS SHALL BE FURNISHED BY SMITH DOUGLAS HOLDINGS LLC TO THE HOLDER HEREOF UPON WRITTEN REQUEST AND WITHOUT CHARGE."

The Company shall imprint such legend on certificates (if any) evidencing LLC Interests. The legend set forth above shall be removed from the certificates (if any) evidencing any LLC Interests which cease to be LLC Interests in accordance with the definition thereof.

<u>Section 10.04</u> <u>Transfer</u>. Prior to Transferring any LLC Interests, the Transferring holder of LLC Interests shall cause the prospective Permitted Transferee to be bound by this Agreement and any other agreements executed by the holders of LLC Interests and relating to such LLC Interests in the aggregate to which the Transferring Member was a party (collectively, the "***Other Agreements***") by the prospective Permitted Transferee executing and delivering to the Company counterparts of a Joinder and any applicable Other Agreements.

<u>Section 10.05</u> <u>Assignee's Rights</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Transfer of an LLC Interest in accordance with this Agreement shall be effective as of the date of such Transfer (assuming compliance with all of the conditions to such Transfer set forth herein), and such Transfer shall be shown on the books and records of the Company. Profits, Losses and other items of the Company shall be allocated between the transferor and the transferee according to Code Section 706, using any permissible method as determined in the reasonable discretion of the Manager. Distributions made before the effective date of such Transfer shall be paid to the transferor, and Distributions made on or after such date shall be paid to the Assignee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Unless and until an Assignee becomes a Member pursuant to <u>Article XI</u>, the Assignee shall not be entitled to any of the rights granted to a Member hereunder or under applicable Law, other than the rights granted specifically to Assignees pursuant to this Agreement; *provided, however*, that, without relieving the Transferring Member from any such limitations or obligations as more fully described in <u>Section 10.06</u>, such Assignee shall be bound by any limitations and obligations of a Member contained herein by which a Member would be bound on account of the Assignee's LLC Interests (including the obligation to make Capital Contributions on account of such LLC Interests).

<u>Section 10.06</u> <u>Assignor's Rights and Obligations</u>. Any Member who shall Transfer any LLC Interests in a manner in accordance with this Agreement shall cease to be a Member with respect to such LLC Interests and shall no longer have any rights or privileges, or, except as set forth in <u>Section 5.06</u>, <u>Section 9.03</u> or this <u>Section 10.06</u>, duties, liabilities or obligations, of a Member with respect to such LLC Interests (it being understood, however, that the applicable provisions of <u>Sections 6.08</u> and <u>7.04</u> shall continue to inure to such Person's benefit), except that unless and until the Assignee (if not already a Member) is admitted as a Substituted Member in accordance with the provisions of <u>Article XI</u> (the "***Admission Date***"), (i) such Transferring Member shall retain all of the duties, liabilities and obligations of a Member with respect to such LLC Interests, and (ii) the Manager may, in its sole discretion, reinstate all or any portion of the rights and privileges of such Member with respect to such LLC Interests for any period of time prior to the Admission Date. Nothing contained herein shall relieve any Member who Transfers any LLC Interests in the Company from any liability of such Member to the Company with respect to such LLC Interests that may exist as of the Admission Date or that is otherwise specified in the Delaware Act or for any liability to the Company or any other Person for any materially false statement made by such Member (in its capacity as such) or for any present or future breaches of any representations, warranties or covenants by such Member (in its capacity as such) contained herein or in the Other Agreements with the Company or as otherwise expressly set forth in <u>Section 5.06</u> or <u>Section 9.03</u> of this Agreement.

<u>Section 10.07</u> <u>Overriding Provisions</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any Transfer or attempted Transfer of any LLC Interests in violation of this Agreement (including any prohibited indirect Transfers) shall be, to the fullest extent permitted by applicable Law, null and void *ab initio*, and the provisions of <u>Sections 10.05</u> and <u>10.06</u> shall not apply to any such Transfers. For the avoidance of doubt, any Person to whom a Transfer is made or attempted in violation of this Agreement shall not become a Member and shall not have any other rights in or with respect to any rights of a Member of the Company with respect to the applicable LLC Interests. The approval of any Transfer in any one or more instances shall not limit or waive the requirement for such approval in any other or future instance. The Manager shall promptly amend the Schedule of Members without the consent or approval of any Member or any other Person to reflect any Permitted Transfer pursuant to this <u>Article X</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding anything contained herein to the contrary (including, for the avoidance of doubt, the provisions of <u>Section 10.01</u> and <u>Article XI</u>), in no event shall any Member Transfer any LLC Interests to the extent such Transfer would:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) result in the violation of the Securities Act, or any other applicable federal, state or foreign Laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) cause an assignment under the Investment Company Act;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) be a Transfer to a Person who is not legally competent or who has not achieved his or her majority of age under applicable Law (excluding trusts for the benefit of minors);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) cause the Company to be treated as a "publicly traded partnership" or to be taxed as a corporation pursuant to Section 7704 of the Code or any successor provision thereto under the Code; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) result in the Company having more than one hundred (100) partners, within the meaning of Treasury Regulations Section 1.7704-1(h)(1) (determined pursuant to the rules of Treasury Regulations Section 1.7704-1(h)(3)).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything contained herein to the contrary, in no event shall any Member that is not a "United States person" within the meaning of Section 7701(a)(30) of the Code Transfer any LLC Interests, unless such Member and the transferee have delivered to the Company, in respect of the relevant Transfer, written evidence that all required withholding under Section 1446(f) of the Code will have been done and duly remitted to the applicable Governmental Entity or duly executed certifications (prepared in accordance with the applicable Treasury Regulations or other authorities) of an exemption from such withholding.

<u>Section 10.08</u> <u>Reserved</u>.

<u>Section 10.09</u> <u>Certain Transactions with respect to the Corporation</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In connection with a Change of Control Transaction, the Manager shall have the right, in its sole discretion, to require each Member (other than the Corporation and its Subsidiaries) to effect a redemption of all or a portion of such Member's Common LLC Interests together with an equal number of Class B Interests, pursuant to which such Common LLC Interests and such Class B Interests will be exchanged for Class A Interests (or to the extent being received by or offered to other stockholders of the Corporation economically equivalent cash or securities of a successor entity (or an offer thereof)), *provided, however,* that in the event of a Change of Control Transaction pursuant to which the Members (other than the Corporation) would be required to exchange Common LLC Interests for securities, without the written consent of such Members, such Members shall not be required to exchange Common LLC Interests pursuant to this <u>‎Section 10.09</u> unless, as a part of such transaction, the Members are permitted to exchange their Common LLC Interests for securities in a transaction that is expected to permit such exchange without current recognition of gain or loss, for U.S. and non-U.S. tax purposes, for such Members (or such Members' direct or indirect beneficial owners). Any such redemption pursuant to this <u>Section 10.09(a)</u> shall be effective immediately prior to the consummation of such Change of Control Transaction (and, for the avoidance of doubt, shall be contingent upon the consummation of such Change of Control Transaction and shall not be effective if such Change of Control Transaction is not consummated) (the date of such redemption pursuant to this <u>Section 10.09(a)</u>, the "***Change of Control Date***"). From and after the Change of Control Date, (i) the Common LLC Interests and any Class B Interests subject to such redemption shall be deemed to be transferred to the Company and the Corporation, as applicable, on the Change of Control Date and (ii) each such Member shall cease to have any rights with respect to the Common LLC Interests and any Class B Interests subject to such redemption (other than the right to receive Class A Interests (or economically equivalent cash or Equity Securities in a successor entity) pursuant to such redemption). In the event the Manager desires to initiate the provisions of this <u>Section 10.09</u>, the Manager shall provide written notice of an expected Change of Control Transaction to all Members no later than the earlier of (x) five (5) Business Days following the execution of a definitive agreement with respect to such Change of Control Transaction and (y) ten (10) Business Days before the proposed date upon which the contemplated Change of Control Transaction is to be effected, including in such notice such information as may reasonably describe the Change of Control Transaction, subject to applicable Law, including the date of execution of such definitive agreement or such proposed effective date, as applicable, the amount and types of consideration to be paid for Class A Interests in the Change of Control Transaction and any election with respect to types of consideration that a holder of Class A Interests, as applicable, shall be entitled to make in connection with a Change of Control Transaction (which election shall be available to each Member on the same terms as holders of Class A Interests). Following delivery of such notice and on or prior to the Change of Control Date, the Members shall take all actions necessary to effect such redemption, including taking any action and delivering any document required pursuant to this <u>Section 10.09(a)</u> to effect such redemption.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In the event that a tender offer, share exchange offer, issuer bid, take-over bid, recapitalization, or similar transaction with respect to Class A Interests (a "***Corporation Offer***") is proposed by the Corporation or is proposed to the Corporation or its stockholders and approved by the Corporate Board or is otherwise effected or to be effected with the consent or approval of the Corporate Board, the Manager shall provide written notice of the Corporation Offer to all Members no later than the earlier of (i) five (5) Business Days following the execution of a definitive agreement (if applicable) with respect to, or the commencement of (if applicable), such Corporation Offer and (ii) ten (10) Business Days before the proposed date upon which the Corporation Offer is to be effected, including in such notice such information as may reasonably describe the Corporation Offer, subject to applicable Law, including the date of execution of such definitive agreement (if applicable) or of such commencement (if applicable), the material terms of such Corporation Offer, including the amount and types of consideration to be received by holders of Class A Interests in the Corporation Offer, any election with respect to types of consideration that a holder of Class A Interests, as applicable, shall be entitled to make in connection with such Corporation Offer, and the number of Common LLC Interests (and the corresponding Class B Interests) held by such Member that is applicable to such Corporation Offer. The Members (other than the Corporation and its Subsidiaries) shall be permitted to participate in such Corporation Offer by delivering a written notice of participation that is effective immediately prior to the consummation of such Corporation Offer (and that is contingent upon consummation of such offer and shall not be effective if such Corporation Offer is not consummated), and shall include such information necessary for consummation of such offer as requested by the Corporation. In the case of any Corporation Offer that was initially proposed by the Corporation, the Corporation shall use reasonable best efforts to enable and permit the Members (other than the Corporation and its Subsidiaries) to participate in such transaction to the same extent or on an economically equivalent basis as the holders of Class A Interests, and to enable such Members to participate in such transaction without being required to exchange Common LLC Interests or Class B Interests prior to the consummation of such transaction. For the avoidance of doubt, in no event shall the Members be entitled to receive in such Corporation Offer aggregate consideration for each Common LLC Interests that is less or greater than the consideration payable in respect of each Class A Interests in connection with a Corporation Offer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the event that a transaction or proposed transaction constitutes both a Change of Control Transaction and a Corporation Offer, the provisions of <u>Section 10.09(b)</u> shall take precedence over the provisions of <u>Section 10.09(a)</u> with respect to such transaction, and the provisions of <u>Section 10.09(a)</u> shall be subordinate to provisions of <u>Section 10.09(b)</u>.

Article XI.<br> ADMISSION OF MEMBERS

<u>Section 11.01</u> <u>Substituted Members</u>. Subject to the provisions of <u>Article X</u> hereof, in connection with the Permitted Transfer of an LLC Interest hereunder, the Permitted Transferee shall become a Substituted Member on the effective date of such Transfer, which effective date shall not be earlier than the date of compliance with the conditions to such Transfer, and such admission shall be shown on the books and records of the Company, including the Schedule of Members.

<u>Section 11.02</u> <u>Additional Members</u>. Subject to the provisions of <u>Article X</u> hereof, any Person that is not a Member as of the Effective Date may be admitted to the Company as an additional Member (any such Person, an "***Additional Member***") only upon furnishing to the Manager (a) duly executed Joinder and counterparts to any applicable Other Agreements and (b) such other documents or instruments as may be reasonably necessary or appropriate to effect such Person's admission as a Member (including entering into such documents as may reasonably be requested by the Manager). Such admission shall become effective on the date on which the Manager determines in its sole discretion that such conditions have been satisfied and when any such admission is shown on the books and records of the Company, including the Schedule of Members.

Article XII.<br> RESIGNATION; TERMINATION OF RIGHTS

<u>Section 12.01</u> <u>Resignation of Members</u>. Except in the event of Transfers pursuant to <u>Section 10.06</u> or redemptions pursuant to <u>Section 3.05</u> and the Manager's right to resign pursuant to <u>Section 6.03</u>, no Member shall have the power or right to resign as a Member from the Company prior to the dissolution and winding up of the Company pursuant to <u>Article XIII</u>. Any Member, however, that attempts to resign as a Member from the Company without the prior written consent of the Manager upon or following the dissolution and winding up of the Company pursuant to <u>Article XIII</u>, but prior to such Member receiving the full amount of Distributions from the Company to which such Member is entitled pursuant to <u>Article XIII</u>, shall, to the fullest extent permitted by applicable Law, be liable to the Company for all damages (including all lost profits and special, indirect and consequential damages) directly or indirectly caused by the resignation of such Member. Upon a Transfer of all of a Member's LLC Interests in a Transfer or a redemption of all of a Member's LLC Interests, in each case as permitted by this Agreement, subject to the provisions of <u>Section 10.06</u>, such Member shall cease to be a member of the Company.

Article XIII.<br> DISSOLUTION AND LIQUIDATION

<u>Section 13.01</u> <u>Dissolution</u>. The Company shall not, in and of itself, be dissolved solely by the admission of Additional Members or Substituted Members or the attempted resignation, removal, dissolution, bankruptcy or resignation of a Member. The Company shall dissolve, and its affairs shall be wound up, upon the first to occur of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the decision of the Manager together with the written approval of the Members holding a majority of the LLC Interests then outstanding to dissolve the Company (excluding for purposes of such calculation the Corporation and all LLC Interests held directly or indirectly by it);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a dissolution of the Company under Section 18-801(a)(4) of the Delaware Act, unless the Company is continued without dissolution pursuant thereto; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the entry of a decree of judicial dissolution of the Company under Section 18-802 of the Delaware Act.

Except as otherwise set forth in this <u>Article XIII</u>, the Company is intended to have perpetual existence. An Event of Withdrawal shall not in and of itself cause a dissolution of the Company and the Company shall, to the fullest extent permitted by Law, continue in existence without dissolution subject to the terms and conditions of this Agreement.

<u>Section 13.02</u> <u>Winding Up</u>. Subject to <u>Section 13.05</u>, on dissolution of the Company, the Manager shall act as liquidating trustee or may appoint one or more Persons as liquidating trustee (each such Person, a "***Liquidator***"). The Liquidators shall proceed diligently to wind up the affairs of the Company and make final distributions as provided herein and in the Delaware Act. The costs of liquidation shall be borne as an expense of the Company. Until final distribution, the Liquidators shall, to the fullest extent permitted by applicable Law, continue to operate the properties of the Company with all of the power and authority of the Manager. The steps to be accomplished by the Liquidators are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) as promptly as possible after dissolution and again after final liquidation, the Liquidators shall cause a proper accounting to be made by a recognized firm of certified public accountants of the Company's assets, liabilities and operations through the last day of the calendar month in which the dissolution occurs or the final liquidation is completed, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Liquidators shall pay, satisfy or discharge from the Company's funds, or otherwise make adequate provision for payment and discharge thereof (including, without limitation, the establishment of a cash fund for contingent, conditional and unmatured liabilities in such amount and for such term as the Liquidators may reasonably determine) the following: first, all of the debts, liabilities and obligations of the Company owed to creditors of the Company other than the Members, including all expenses incurred in connection with the liquidation and winding up of the Company; and second, all of the debts, liabilities and obligations of the Company owed to the Members (other than any payments or distributions owed to such Members in their capacity as Members pursuant to this Agreement); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) following satisfaction of the Company's debts, liabilities and obligations pursuant to the foregoing <u>Section 13.02(b)</u>, all remaining assets of the Company shall be distributed to the Members in accordance with <u>Section 4.01(a)(i)</u> by the end of the Taxable Year during which the liquidation of the Company occurs (or, if later, by ninety (90) days after the date of the liquidation).

The distribution of cash and/or property to the Members in accordance with the provisions of this <u>Section 13.02</u> and <u>Section 13.03</u> below shall constitute a complete return to the Members of their Capital Contributions, a complete distribution to the Members of their interest in the Company and all of the Company's property and shall constitute a compromise to which all Members have consented within the meaning of the Delaware Act. To the extent that a Member returns funds to the Company, it has no claim against any other Member for those funds.

<u>Section 13.03</u> <u>Deferment; Distribution in Kind</u>. Notwithstanding the provisions of <u>Section 13.02</u>, but subject to the order of priorities set forth therein, if upon dissolution of the Company the Liquidators determine that an immediate sale of part or all of the Company's assets would be impractical or would cause undue loss (or would otherwise not be beneficial) to the Members, the Liquidators may, in their sole discretion and to the fullest extent permitted by applicable Law, defer for a reasonable time the liquidation of any assets except those necessary to satisfy the Company's liabilities (other than loans to the Company by any Member(s)) and reserves. Subject to the order of priorities set forth in <u>Section 13.02</u>, the Liquidators may, with the written approval of the Members holding a majority of the LLC Interests then outstanding, at any other time (excluding for purposes of such calculation the Corporation and all LLC Interests held directly or indirectly by it), distribute to the Members, in lieu of cash, either (a) all or any portion of such remaining assets in-kind of the Company in accordance with the provisions of <u>Section 13.02(c)</u>, (b) as tenants in common and in accordance with the provisions of <u>Section 13.02(c)</u>, undivided interests in all or any portion of such assets of the Company or (c) a combination of the foregoing. Any such Distributions in-kind shall be subject to (y) such conditions relating to the disposition and management of such assets as the Liquidators deem reasonable and equitable and (z) the terms and conditions of any agreements governing such assets (or the operation thereof or the holders thereof) at such time. Any assets of the Company distributed in kind will first be written up or down to their Fair Market Value, thus creating Profit or Loss (if any), which shall be allocated in accordance with <u>Article V</u>. The Liquidators shall determine the Fair Market Value of any property distributed.

<u>Section 13.04</u> <u>Cancellation of Certificate</u>. On completion of the winding up of the Company as provided herein, the Manager (or such other Person or Persons as the Delaware Act may require or permit) shall file a certificate of cancellation of the Certificate of Formation with the Secretary of State of the State of Delaware, cancel any other filings made pursuant to this Agreement that should be canceled and take such other actions as may be necessary to terminate the existence of the Company. The Company shall continue in existence for all purposes of this Agreement until it is terminated pursuant to this <u>Section 13.04</u>.

<u>Section 13.05</u> <u>Reasonable Time for Winding Up</u>. A reasonable time shall be allowed for the orderly winding up of the business and affairs of the Company and the liquidation of its assets pursuant to <u>Sections 13.02</u> and <u>13.03</u> in order to minimize any losses otherwise attendant upon such winding up.

<u>Section 13.06</u> <u>Return of Capital</u>. The Liquidators shall not be personally liable for the return of Capital Contributions or any portion thereof to the Members (it being understood that any such return shall be made solely from assets of the Company).

Article XIV.<br> GENERAL PROVISIONS

<u>Section 14.01</u> <u>Power of Attorney</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Member hereby constitutes and appoints the Manager (or the Liquidator, if applicable) with full power of substitution, as his or her true and lawful agent and attorney-in-fact, with full power and authority in his, her or its name, place and stead, to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) execute, swear to, acknowledge, deliver, file and record in the appropriate public offices (A) this Agreement, all certificates and other instruments and all amendments thereof which the Manager deems appropriate or necessary to form, qualify, or continue the qualification of, the Company as a limited liability company in the State of Delaware and in all other jurisdictions in which the Company may conduct business or own property; (B) all conveyances and other instruments or documents which the Manager deems appropriate or necessary to reflect the dissolution, winding up and termination of the Company pursuant to the terms of this Agreement, including a certificate of cancellation; and (C) all instruments relating to the admission, substitution or resignation of any Member pursuant to <u>Article XII</u> or <u>XIII</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) sign, execute, swear to and acknowledge all ballots, consents, approvals, waivers, certificates and other instruments appropriate or necessary, in the reasonable judgment of the Manager, to evidence, confirm or ratify any vote, consent, approval, agreement or other action which is made or given by the Members hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The foregoing power of attorney coupled with an interest and, to the fullest extent permitted by Law, is irrevocable, and shall survive the death, disability, incapacity, dissolution, bankruptcy, insolvency or termination of any Member and the transfer of all or any portion of his, her or its LLC Interests and shall extend to such Member's heirs, successors, assigns and personal representatives.

<u>Section 14.02</u> <u>Confidentiality</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each of the Members (other than the Corporation) agrees to hold the Company's Confidential Information in confidence and may not disclose or use such information except as otherwise authorized separately in writing by the Manager or as otherwise authorized by this <u>Section 14.02</u>. "***Confidential Information***" as used herein includes all information concerning the Corporation, the Company or their Subsidiaries, in whatever form, whether written, electronic or oral, including, but not limited to, ideas, financial product structuring, business strategies, innovations and materials, all aspects of the Corporation's and/or the Company's business plan, proposed operation and products, corporate structure, financial and organizational information, analyses, proposed partners, software code and system and product designs, employees and their identities, equity ownership, the methods and means by which either the Corporation or the Company plans to conduct its business, all trade secrets, trademarks, tradenames and all intellectual property associated with the Corporation's and/or Company's business. With respect to each Member, Confidential Information does not include information or material that: (a) is, or becomes, generally available to the public other than as a direct or indirect result of a disclosure by such Member or its Affiliates or representatives; (b) is, or becomes, available to such Member from a source other than the Corporation, the Company or their representatives, *provided* that such source is not, and was not, known to such Member to be bound by a confidentiality agreement with, or any other contractual, fiduciary or other legal obligation of confidentiality to, the Corporation, the Company or any of their Affiliates or representatives; (c) is approved for release by written authorization of the Chief Executive Officer, Chief Financial Officer or General Counsel of the Company or of the Corporation, or any other officer designated by the Manager; or (d) is or becomes independently developed by such Member or its respective representatives without use of or reference to the Confidential Information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Solely to the extent it is reasonably necessary or appropriate to fulfill its obligations or to exercise its rights under this Agreement, any Other Agreement or any other agreement to which such Member is party with the Corporation, the Company or any of its Subsidiaries, each of the Members may disclose Confidential Information to its Subsidiaries, Affiliates, partners, members, directors, officers, employees, counsel, advisers, consultants, outside contractors and other agents, on the condition that such Persons keep the Confidential Information confidential to the same extent as such Member is required to keep the Confidential Information confidential; *provided*, that such Member shall remain liable with respect to any breach of this <u>Section 14.02</u> by any such Subsidiaries, Affiliates, partners, directors, officers, employees, counsel, advisers, consultants, outside contractors and other agents (as if such Persons were party to this Agreement for purposes of this <u>Section 14.02</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding <u>Section 14.02(a)</u> or <u>Section 14.02(b)</u>, each of the Members may disclose Confidential Information (i) to the extent that such Member is required by Law (by oral questions, interrogatories, request for information or documents, subpoena, civil investigative demand or similar process) to disclose any of the Confidential Information or to regulatory authorities requesting information from such Member, (ii) for purposes of reporting to its stockholders and direct and indirect equity holders (each of whom are bound by customary confidentiality obligations) the performance of the Company and its Subsidiaries and for purposes of including applicable information in its financial statements to the extent required by applicable Law or applicable accounting standards, or (iii) to any *bona fide* prospective purchaser of the equity or assets of a Member, or the LLC Interests held by such Member, or a prospective merger partner of such Member (*provided*, that (i) such Persons will be informed by such Member of the confidential nature of such information and shall agree in writing to keep such information confidential in accordance with the contents of this Agreement and (ii) each Member will be liable for any breaches of this <u>Section 14.02</u> by any such Persons (as if such Persons were party to this Agreement for purposes of this <u>Section 14.02</u>)). Notwithstanding any of the foregoing, nothing in this <u>Section 14.02</u> will restrict in any manner the ability of the Corporation to comply with its disclosure obligations under Law, and the extent to which any Confidential Information is necessary or desirable to disclose.

<u>Section 14.03</u> <u>Amendments</u>. Except as otherwise contemplated by this Agreement, this Agreement may be amended or modified upon the prior written consent of the Manager, together with the prior written consent of the holders of a majority of the LLC Interests then outstanding (excluding all LLC Interests held directly or indirectly by the Corporation). Notwithstanding the foregoing, no amendment or modification:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to this <u>Section 14.03</u> that would materially adversely affect the Members may be made without the prior written consent of the Manager and each of the Members;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to any of the terms and conditions of this Agreement, which terms and conditions expressly require the approval or action of certain Persons, may be made without obtaining the consent of the requisite number or specified percentage of such Persons who are entitled to approve or take action on such matter; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) to any of the terms and conditions of this Agreement which would (A) reduce the amounts distributable to a Member pursuant to <u>Articles IV</u> and <u>XIII</u> in a manner that is not *pro rata* with respect to all Members, (B) increase the liabilities of such Member hereunder, (C) otherwise adversely affect in any material respect a holder of LLC Interests in a manner materially disproportionate to any other holder of LLC Interests (other than amendments, modifications and waivers necessary to implement the provisions of <u>Article XI</u>) or (D) adversely affect in any material respect the rights of any Member under <u>Section 7.01</u>, shall be effective against such affected Member or holder of LLC Interests, as the case may be, without the prior written consent of such Member or holder of LLC Interests, as the case may be.

Notwithstanding any of the foregoing, the Manager may make any amendment to this Agreement (i) of an administrative nature that is necessary in order to implement the substantive provisions hereof, without the consent of any other Member; *provided*, that any such amendment does not materially adversely change the rights of the Members hereunder in any respect, or (ii) to reflect any changes to the Class A Interests or Class B Interests or the issuance of any other capital stock of the Corporation without the consent of any Member or any other Person. The Manager shall deliver a copy of any amendment or modification to this Agreement that does not receive the consent of all Members promptly (but in any event within 30 days) after the effectiveness thereof to all Members that did not consent to such amendment or modification.

<u>Section 14.04</u> <u>Title to Company Assets</u>. Company assets shall be owned by the Company as an entity, and no Member, individually or collectively, shall have any ownership interest in such assets of the Company or any portion thereof. The Company shall hold title to all of its property in the name of the Company and not in the name of any Member. All assets of the Company shall be recorded as the property of the Company on its books and records, irrespective of the name in which legal title to such assets is held. The Company's credit and assets shall be used solely for the benefit of the Company, and no asset of the Company shall be transferred or encumbered for, or in payment of, any individual obligation of any Member.

<u>Section 14.05</u> <u>Addresses and Notices</u>. All notices and other communications to be given to any party hereunder shall be sufficiently given for all purposes hereunder if in writing and delivered by hand, courier or overnight delivery service, or when received in the form of an electronic transmission (receipt confirmation requested), and shall be directed to the address set forth, or at such address or to the attention of such other person as the recipient party has specified by prior written notice to the Company or the sending party.

To the Company:

Bally's Chicago Operating Company, LLC

100 Westminster Street

Providence, RI 02903

Attention: General Counsel – Chicago Equity Offering

with a copy (which copy shall not constitute notice) to:

Latham & Watkins LLP

1271 Avenue of the Americas

New York, New York 10020

Attn: Senet Bischoff and John Slater

E-mail: senet.bischoff@lw.com and john.slater@lw.com

To the Corporation:

Bally's Chicago, Inc.

100 Westminster Street

Providence, RI 02903

Attention: General Counsel – Chicago Equity Offering

with a copy (which copy shall not constitute notice) to:

Latham & Watkins LLP

1271 Avenue of the Americas

New York, New York 10020

Attn: Senet Bischoff and John Slater

E-mail: senet.bischoff@lw.com and john.slater@lw.com

To the Members, as set forth on <u>Schedule 1</u>.

<u>Section 14.06</u> <u>Binding Effect</u>. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their heirs, executors, administrators, successors, legal representatives and permitted assigns.

<u>Section 14.07</u> <u>Creditors</u>. None of the provisions of this Agreement shall be for the benefit of or enforceable by any creditors of the Company (other than Indemnified Persons) or any of its Affiliates, and no creditor who makes a loan to the Company or any of its Affiliates may have or acquire (except pursuant to the terms of a separate agreement executed by the Company in favor of such creditor) at any time as a result of making the loan any direct or indirect interest in Profits, Losses, Distributions, capital or property of the Company other than as a secured creditor.

<u>Section 14.08</u> <u>Waiver</u>. No failure by any party to insist upon the strict performance of any covenant, duty, agreement or condition of this Agreement or to exercise any right or remedy consequent upon a breach thereof shall, to the fullest extent permitted by applicable Law, constitute a waiver of any such breach or any other covenant, duty, agreement or condition.

<u>Section 14.09</u> <u>Counterparts</u>. This Agreement may be executed in separate counterparts, each of which will be an original and all of which together shall constitute one and the same agreement binding on all the parties hereto.

<u>Section 14.10</u> <u>Applicable Law</u>. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Delaware, without giving effect to any choice of law or conflict of law rules or provisions (whether of the State of Delaware or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Delaware. Any suit, dispute, action or proceeding seeking to enforce any provision of, or based on any matter arising out of or in connection with, this Agreement shall be heard in the state or federal courts of the State of Delaware, and the parties hereby consent to the exclusive jurisdiction of such court (and of the appropriate appellate courts) in any such suit, action or proceeding and waives any objection to venue laid therein. TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, PROCESS IN ANY SUCH SUIT, ACTION OR PROCEEDING MAY BE SERVED ON ANY PARTY ANYWHERE IN THE WORLD, WHETHER WITHIN OR WITHOUT THE JURISDICTION OF ANY SUCH COURT (INCLUDING BY PREPAID CERTIFIED MAIL WITH A VALIDATED PROOF OF MAILING RECEIPT) AND SHALL HAVE THE SAME LEGAL FORCE AND EFFECT AS IF SERVED UPON SUCH PARTY PERSONALLY WITHIN THE STATE OF DELAWARE. WITHOUT LIMITING THE FOREGOING, TO THE FULLEST EXTENT PERMITTED BY LAW, THE PARTIES AGREE THAT SERVICE OF PROCESS UPON SUCH PARTY AT THE ADDRESS REFERRED TO IN <u>SECTION 15.05</u> (INCLUDING BY PREPAID CERTIFIED MAIL WITH A VALIDATED PROOF OF MAILING RECEIPT), TOGETHER WITH WRITTEN NOTICE OF SUCH SERVICE TO SUCH PARTY, SHALL BE DEEMED EFFECTIVE SERVICE OF PROCESS UPON SUCH PARTY.

<u>Section 14.11</u> <u>Severability</u>. Whenever possible, each provision of this Agreement will be interpreted in such manner as to be effective and valid under applicable Law, but if any provision of this Agreement is held to be invalid, illegal or unenforceable in any respect under any applicable Law or rule in any jurisdiction, such invalidity, illegality or unenforceability will not affect any other provision or the effectiveness or validity of any provision in any other jurisdiction, and this Agreement will be reformed, construed and enforced in such jurisdiction as if such invalid, illegal or unenforceable provision had never been contained herein.

<u>Section 14.12</u> <u>Further Action</u>. The parties shall execute and deliver all documents, provide all information and take or refrain from taking such actions as may be necessary or appropriate to achieve the purposes of this Agreement.

<u>Section 14.13</u> <u>Execution and Delivery by Electronic Signature and Electronic Transmission</u>. This Agreement and any signed agreement or instrument entered into in connection with this Agreement or contemplated hereby or entered into by the Company in accordance herewith, and any amendments hereto or thereto, to the extent signed and delivered by means of an electronic signature and/or electronic transmission (including via DocuSign or otherwise), including by a facsimile machine or via email, shall be treated in all manner and respects as an original agreement or instrument and shall be considered to have the same binding legal effect as if it were the original signed version thereof delivered in person. At the request of any party hereto or to any such agreement or instrument, each other party hereto or thereto shall re-execute original forms thereof and deliver them to all other parties. No party hereto or to any such agreement or instrument shall raise the use of electronic signature or electronic transmission (including via DocuSign or otherwise) to execute and/or deliver a document or the fact that any signature or agreement or instrument was transmitted or communicated through such electronic transmission as a defense to the formation of a contract and each such party forever waives any such defense.

<u>Section 14.14</u> <u>Right of Offset</u>. Whenever the Company or the Corporation is to pay any sum (other than pursuant to <u>Article IV</u>) to any Member, any amounts that such Member owes to the Company or the Corporation which are not the subject of a good faith dispute may be deducted from that sum before payment. For the avoidance of doubt, the distribution of LLC Interests to the Corporation shall not be subject to this <u>Section 14.14</u>.

<u>Section 14.15</u> <u>Entire Agreement</u>. This Agreement, those documents expressly referred to herein, any indemnity agreements entered into in connection with the limited liability company agreement governing the Company prior to the Effective Date with any member of the board of directors, board of managers or other management body at that time and other documents of even date herewith embody the complete agreement and understanding among the parties and supersede and preempt any prior understandings, agreements or representations by or among the parties, written or oral, which may have related to the subject matter hereof in any way. For the avoidance of doubt, the Original LLC Agreement is superseded in its entirety by this Agreement as of the Effective Date and shall be of no further force and effect thereafter, except to the extent reference thereto is contemplated in this Agreement, and only for such limited purposes as stated herein.

<u>Section 14.16</u> <u>Remedies</u>. Each Member shall have all rights and remedies set forth in this Agreement and all rights and remedies which such Person has been granted at any time under any other agreement or contract and all of the rights which such Person has under any Law. To the fullest extent permitted by law, any Person having any rights under any provision of this Agreement or any other agreements contemplated hereby shall be entitled to enforce such rights specifically (without posting a bond or other security), to recover damages by reason of any breach of any provision of this Agreement and to exercise all other rights granted by Law.

<u>Section 14.17</u> <u>Descriptive Headings; Interpretation</u>. The descriptive headings of this Agreement are inserted for convenience only and do not constitute a substantive part of this Agreement. Whenever required by the context, any pronoun used in this Agreement shall include the corresponding masculine, feminine or neuter forms, and the singular form of nouns, pronouns and verbs shall include the plural and vice versa. The use of the word "including" in this Agreement shall be by way of example rather than by limitation. Reference to any agreement, document or instrument means such agreement, document or instrument as amended or otherwise modified from time to time in accordance with the terms thereof, and if applicable hereof. Without limiting the generality of the immediately preceding sentence, no amendment or other modification to any agreement, document or instrument that requires the consent of any Person pursuant to the terms of this Agreement or any other agreement will be given effect hereunder unless such Person has consented in writing to such amendment or modification. Wherever required by the context, references to a Fiscal Year shall refer to a portion thereof. The use of the words "or," "either" and "any" shall not be exclusive. Each of the parties hereto agrees that they have been represented by independent counsel of its own choice during the negotiation and execution of this Agreement and the parties hereto and their counsel have participated jointly in the negotiation and drafting of this Agreement. To the fullest extent permitted by Law, in the event an ambiguity or question of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the parties hereto, and no presumption or burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement.

IN WITNESS WHEREOF, the undersigned have executed or caused to be executed on their behalf this Amended and Restated Limited Liability Company Agreement as of the date first written above.

---

| |
|:---|
| **COMPANY:** |
| **BALLY'S CHICAGO OPERATING COMPANY, LLC** |
| By: |
| Name: |
| Title: |
| **MANAGER:** |
| **BALLY'S CHICAGO, INC.** |
| By: |
| Name: |
| Title: |
| **MEMBERS:** |
| **BALLY'S CHICAGO, INC.** |
| By: |
| Name: |
| Title: |
| **BALLY'S CHICAGO HOLDING COMPANY, LLC** |
| By: |
| Name: |
| Title: |

---

[*Signature Page to Amended and Restated Limited Liability Company Agreement*]

**<u>SCHEDULE 1</u>** **\***

**SCHEDULE OF MEMBERS**

March 10, 2025

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;**Member** | &nbsp;&nbsp;**Common LLC Interests** | &nbsp;&nbsp;**Contact Information for <br> Notice** |
| &nbsp;&nbsp;1. Bally's Chicago, Inc. | &nbsp;&nbsp;3326 | &nbsp;&nbsp;100 Westminster Street<br> Providence, RI 02903 |
| &nbsp;&nbsp;2. Bally's Chicago Holding Company, LLC | &nbsp;&nbsp;30000 | &nbsp;&nbsp;100 Westminster Street<br> Providence, RI 02903 |

---

\* This Schedule of Members shall be updated from time to time in accordance with this Agreement, including to reflect any adjustment with respect to any subdivision (by LLC Interest split or otherwise) or any combination (by reverse LLC Interest split or otherwise) of any outstanding LLC Interests, or to reflect any additional issuances of LLC Interests pursuant to this Agreement.

**<u>Exhibit A</u>**

**FORM OF JOINDER AGREEMENT**

This JOINDER AGREEMENT, dated as of _________________, 20___ (this "<u>Joinder</u>"), is delivered pursuant to that certain Amended and Restated Limited Liability Company Agreement of Bally's Chicago Operating Company, LLC, a Delaware limited liability company (the "<u>Company</u>"), dated as of [ ● ], 2025 (as amended, restated, amended and restated, supplemented or otherwise modified from time to time, the "<u>LLC Agreement</u>") by and among the Company, Bally's Chicago, Inc., a Delaware corporation and the sole managing member of the Company (the "<u>Corporation</u>"), and each of the Members from time to time party thereto. Capitalized terms used but not otherwise defined herein have the respective meanings set forth in the LLC Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Joinder to the LLC Agreement</u>. Upon the execution of this Joinder by the undersigned and delivery
hereof to the Corporation, the undersigned hereby is admitted as and hereafter will be a Member under the LLC Agreement and a party thereto,
with all the rights, privileges and responsibilities of a Member thereunder. The undersigned hereby agrees that it shall comply with and
be fully bound by the terms of the LLC Agreement as if it had been a signatory thereto as of the date thereof. The undersigned hereby
acknowledges, agrees and confirms that it has received a copy of the LLC Agreement and has reviewed the same and understands its contents.

&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Incorporation by Reference</u>. All terms and conditions of the LLC Agreement are hereby incorporated
by reference in this Joinder as if set forth herein in full.

&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Address</u>. All notices under the LLC Agreement to the undersigned shall be direct to:

[Name]<br> [Address]<br> [City, State, Zip Code]<br> Attn:<br> Facsimile:<br> E-mail:

IN WITNESS WHEREOF, the undersigned has duly executed and delivered this Joinder as of the day and year first above written.

**[NAME OF NEW MEMBER]**

By:   <br> Name: <br> Title:

Acknowledged and agreed<br> as of the date first set forth above:

**BALLY'S CHICAGO OPERATING COMPANY, LLC**

By: BALLY'S CHICAGO, INC., its Manager

By:   <br> Name: <br> Title:

## Exhibit 10.33

**Exhibit 10.33**

**Private Placement Subscription Agreement**

THE INTERESTS HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE OR ANY OTHER JURISDICTION. THERE ARE FURTHER RESTRICTIONS ON THE TRANSFERABILITY OF THE INTERESTS DESCRIBED HEREIN.

THE PURCHASE OF THE INTERESTS INVOLVES A HIGH DEGREE OF RISK AND SHOULD BE CONSIDERED ONLY BY PERSONS WHO CAN BEAR THE RISK OF THE LOSS OF THEIR ENTIRE INVESTMENT.

Bally's Chicago, Inc.

640 N Lasalle, Suite 460

Chicago, IL 60654

Attention: Charles Diao, Chief Financial Officer

Ladies and Gentlemen:

The undersigned understands that Bally's Chicago, Inc., a corporation organized under the laws of Delaware (the "**Company**"), is offering its Class A ownership interests, par value $0.001 per interest, including its (i) Class A-1 Interests, $0.001 par value per interest (the "**Class A-1 Interests**"), (ii) Class A-2 Interests, $0.001 par value per interest (the "**Class A-2 Interests**"), (iii) Class A-3 Interests, $0.001 par value per interest (the "**Class A-3 Interests**"), and (iv) Class A-4 Interests, $0.001 par value per interest (the "**Class A-4 Interests**" and, together with the Class A-1 Interests, the Class A-2 Interests, and the Class A-3 Interests, each an "**Interest**" and collectively, the "**Interests**") in private placements (the "**Placements**").

The Placements are contingent upon, and scheduled to close immediately subsequent to, the closing of the Company's concurrent public offering of the Interests (the "**Public Offering**"). The date on which the Placements are scheduled to close shall be referred to herein as the "Closing Date." The undersigned further understands that the Placements are being made without registration of the Securities under the Securities Act of 1933, as amended (the "**Securities Act**"), or any securities law of any state of the United States or of any other jurisdiction, and are being made only to "accredited investors" (as defined in Rule 501 of Regulation D under the Securities Act).

As used in this agreement, "Transaction Documents" shall mean this Agreement and the presentation that the Company provided in connection with the Placements.

In consideration of the mutual covenants contained in this subscription agreement (this "**Agreement**"), and for other good and valuable consideration the receipt and adequacy of which are hereby acknowledged, the Company and the undersigned agrees as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Subscription</u>. Subject to the terms and conditions hereof and the provisions of the Transaction Documents, the Company hereby accepts the offer the undersigned has made to purchase the Interests in the amounts set forth on the signature page hereto, which is payable as described in Section 4 hereof. The Company hereby sells and issues to the undersigned, and the undersigned hereby purchases from the Company the Interests, for an aggregate purchase price set forth in the signature page hereto, on the terms and subject to the conditions set forth in this Agreement. The undersigned acknowledges that the Interests will be subject to restrictions on transfer as set forth in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Acceptance of Subscription and Issuance of Interests</u>. It is understood and agreed that the Company shall have the sole right, at its complete discretion, to accept or reject this subscription, in whole or in part, for any reason and that the same shall be deemed to be accepted by the Company only when it is signed by a duly authorized officer of the Company and delivered to the undersigned at the Closing referred to in Section 3 hereof. Subscriptions need not be accepted in the order received, and the Interests may be allocated among subscribers. Notwithstanding anything in this Subscription Agreement to the contrary, the Company shall have no obligation to issue any of the Interests to any person who is a resident of a jurisdiction in which the issuance of Interests to such person would constitute a violation of the securities, "blue sky" or other similar laws of such jurisdiction (collectively referred to as the "**State Securities Laws"**).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>The Closing</u>. The closing of the purchase and sale of the Interests (the "**Closing**") shall take place at the offices of Winston & Strawn LLP, 800 Capitol Street, Suite 2400, Houston, TX 77002-2925, at [ ] [a.m./p.m.] on [ ], 2025, or at such other time and place as the Company may designate by notice to the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>Payment for Interests</u>. Payment for the Interests shall be received by the Company from the undersigned by wire transfer of immediately available funds or other means approved by the Company at least three business days prior to the Closing Date, in the aggregate amount as set forth in the signature page hereto. The Interests will be issued in book-entry form and will bear an appropriate legend referring to the fact that the Interests were sold in reliance upon an exemption from registration under the Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Representations and Warranties of the Company</u>. As of the Closing, the Company represents and warrants that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company has been duly incorporated and is validly existing under the laws of Delaware, with full power and authority to conduct its business as it is currently being conducted and to own its assets; and has secured any authorizations, approvals, permits and orders required by law for the conduct by the Company of its business as it is currently being conducted. The Company is not in violation or default of any of the provisions of its organizational documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) This Agreement constitutes, and upon the execution and delivery thereof, valid and binding obligations of the Company enforceable against the Company in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, fraudulent conveyance, moratorium, reorganization, or similar laws relating to, or affecting generally the enforcement of, creditors' rights and remedies or by equitable principles of general application and except as enforcement of rights to indemnity and contribution may be limited by federal and state securities laws or principles of public policy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Interests are duly authorized and, when issued and paid for in accordance with this Agreement, will be duly and validly issued, fully paid and nonassessable, and free and clear of all liens imposed by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Representations and Warranties of the Undersigned</u>. The undersigned hereby represents and warrants to and covenants with the Company that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) General.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned has all requisite authority (and in the case of an individual, the capacity) to purchase the Interests, enter into this Agreement and to perform all the obligations required to be performed by the undersigned hereunder, and such purchase will not contravene any law, rule, or regulation binding on the undersigned or any investment guideline or restriction applicable to the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned is a resident of the state set forth on the signature page hereto and is not acquiring the Interests as a nominee or agent or otherwise for any other person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The undersigned will comply with all applicable laws and regulations in effect in any jurisdiction in which the undersigned purchases or sells the Interests and will obtain any consent, approval or permission required for such purchases or sales under the laws and regulations of any jurisdiction to which the undersigned is subject or in which the undersigned makes such purchases or sales, and the Company shall have no responsibility therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Information Concerning the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned has received a copy of the Transaction Documents. The undersigned has not been furnished any offering literature other than the Transaction Documents, and the undersigned has relied only on the information contained therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned understands and accepts that the purchase of the Interests involves various risks, including the risks outlined in the Transaction Documents and in this Subscription Agreement. The undersigned represents that it is able to bear any loss associated with an investment in the Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The undersigned confirms that it is not relying on any communication (written or oral) of the Company or any of its affiliates, as investment or tax advice or as a recommendation to purchase the Interests. It is understood that information and explanations related to the terms and conditions of the Interests provided in the Transaction Documents or otherwise by the Company or any of its affiliates shall not be considered investment or tax advice or a recommendation to purchase the Interests, and that neither the Company nor any of its affiliates is acting or has acted as an advisor to the undersigned in deciding to invest in the Interests. The undersigned acknowledges that neither the Company nor any of its affiliates has made any representation regarding the proper characterization of the Interests for purposes of determining the undersigned's authority to invest in the Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The undersigned is familiar with the business and financial condition and operations of the Company, all as generally described in the Transaction Documents. The undersigned has had access to such information concerning the Company and the Interests as it deems necessary to enable it to make an informed investment decision concerning the purchase of the Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The undersigned understands that, unless the undersigned notifies the Company in writing to the contrary at or before the Closing, each of the undersigned's representations and warranties contained in this Subscription Agreement will be deemed to have been reaffirmed and confirmed as of the Closing, taking into account all information received by the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) The undersigned acknowledges that the Company has the right in its sole and absolute discretion to abandon this private placement at any time prior to the completion of the offering. This Agreement shall thereafter have no force or effect, and the Company shall return the previously paid subscription price of the Interests, without interest thereon, to the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) The undersigned understands that no federal or state agency has passed upon the merits or risks of an investment in the Interests or made any finding or determination concerning the fairness or advisability of this investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Non-Reliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned represents that it is not relying on (and will not at any time rely on) any communication (written or oral) of the Company, as investment advice or as a recommendation to purchase the Interests, it being understood that information and explanations related to the terms and conditions of the Interests and the other transaction documents that are described in the Transaction Documents shall not be considered investment advice or a recommendation to purchase the Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned confirms that the Company has not (A) given any guarantee or representation as to the potential success, return, effect or benefit (either legal, regulatory, tax, financial, accounting or otherwise) of an investment in the Interests or (B) made any representation to the undersigned regarding the legality of an investment in the Interests under applicable legal investment or similar laws or regulations. In deciding to purchase the Interests, the undersigned is not relying on the advice or recommendations of the Company and the undersigned has made its own independent decision that the investment in the Interests is suitable and appropriate for the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Status of Undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned has such knowledge, skill and experience in business, financial and investment matters that the undersigned is capable of evaluating the merits and risks of an investment in the Interests. With the assistance of the undersigned's own professional advisors, to the extent that the undersigned has deemed appropriate, the undersigned has made its own legal, tax, accounting, and financial evaluation of the merits and risks of an investment in the Interests and the consequences of this Subscription Agreement. The undersigned has considered the suitability of the Interests as an investment in light of its own circumstances and financial condition and the undersigned is able to bear the risks associated with an investment in the Interests, and it is authorized to invest in the Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned is an "accredited investor" as defined in Rule 501(a) under the Securities Act. The undersigned agrees to furnish any additional information requested by the Company or any of its affiliates to assure compliance with applicable U.S. federal and state securities laws in connection with the purchase and sale of the Interests. The undersigned acknowledges that the undersigned has completed the investor questionnaire that the Company provided and that the information contained therein is complete and accurate as of the date thereof and is hereby affirmed as of the date hereof. Any information that has been furnished or that will be furnished by the undersigned to evidence its status as an accredited investor is accurate and complete, and does not contain any misrepresentation or material omission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The undersigned qualifies to purchase the Interests by satisfying the qualification requirements as outlined in the Transaction Documents, as defined by the Certificate of Incorporation (defined herein). The undersigned understands that the Company has determined in its sole discretion that the undersigned is eligible to participate in the offering in reliance on certain representations and warranties by the undersigned, which are restated herein. The undersigned represents and warrants that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) The undersigned has a U.S. social security number and/or a U.S. tax identification number.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) The undersigned is not an employee benefit plan that is subject to Title I of the Employee Retirement Income Security Act of 1974, as amended ("***ERISA***"), plan, individual retirement account ("***IRAs***") and other arrangement that are subject to Section 4975 of the U.S. Internal Revenue Code of 1986, as amended (the "***Code***"), or provisions under any federal, state, local, non-U.S. or other laws or regulations that are similar to such provisions of ERISA or the Code (collectively, "***Similar Laws***"), and entity whose underlying assets are considered to include "plan assets" of such plan, account and arrangement pursuant to 29 C.F.R. Section 2510.3-101, as modified by Section 3(42) of ERISA, or any Similar Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Restrictions on Transfer or Sale of Interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The undersigned is acquiring the Interests solely for the undersigned's own beneficial account, for investment purposes, and not with a view to, or for resale in connection with, any distribution of the Interests. The undersigned understands that the Interests have not been registered under the Securities Act or any State Securities Laws by reason of specific exemptions under the provisions thereof which depend in part upon the investment intent of the undersigned and of the other representations made by the undersigned in this Agreement. The undersigned understands that the Company is relying upon the representations and agreements contained in this Agreement (and any supplemental information) for the purpose of determining whether this transaction meets the requirements for such exemptions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The undersigned understands that the Interests are "restricted securities" under applicable federal securities laws and that the Securities Act and the rules of the U.S. Securities and Exchange Commission (the "**Commission**") provide in substance that the undersigned may dispose of the Interests only pursuant to an effective registration statement under the Securities Act or an exemption from the registration requirements of the Securities Act, and the undersigned understands that the Company has no obligation or intention to register any of the Interests or the offering or sale thereof, or to take action so as to permit offers or sales pursuant to the Securities Act or an exemption from registration thereunder (including pursuant to Rule 144 thereunder). Accordingly, the undersigned understands that under the Commission's rules, the undersigned may dispose of the Interests only in "private placements" which are exempt from registration under the Securities Act, in which event the transferee will acquire "restricted securities," subject to the same limitations that apply to the Interests in the hands of the undersigned. Consequently, the undersigned understands that the undersigned must bear the economic risks of the investment in the Interests for an indefinite period of time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The undersigned agrees: (A) that the undersigned will not sell, assign, pledge, give, transfer, or otherwise dispose of the Interests or any interest therein, or make any offer or attempt to do any of the foregoing, unless the transaction is registered under the Securities Act and complies with the requirements of all applicable State Securities Laws, or the transaction is exempt from the registration provisions of the Securities Act and all applicable requirements of State Securities Laws and (B) that the Company and its affiliates shall not be required to give effect to any purported transfer of such Interests, except upon compliance with the foregoing restrictions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The undersigned agrees that the Interests are subject to certain restrictions on transferability pursuant to the amended and restated certificate of incorporation to be in effect prior to the closing of the Placements (the "**Certificate of Incorporation**"). The undersigned acknowledges that it had a full and fair opportunity and the means to obtain counsel and discuss such restrictions prior to entering into this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>Conditions to Obligations of the Undersigned and the Company</u>. The obligations of the undersigned to purchase and pay for the Interests specified in the signature page hereto and of the Company to sell those Interests, are subject to the satisfaction at or prior to the Closing of the following conditions precedent: the representations and warranties of the Company contained in Section 5 hereof and of the undersigned contained in Section 6 hereof shall be true and correct as of the Closing in all respects with the same effect as though such representations and warranties had been made on and as of the Closing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>Obligations Irrevocable</u>. The obligations of the undersigned shall be irrevocable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>Legend</u>. All book-entries or other instruments representing the Interests sold pursuant to this Agreement will bear a legend in substantially the following form:

"THE INTERESTS EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION. THE INTERESTS MAY NOT BE OFFERED, SOLD, PLEDGED, OR OTHERWISE TRANSFERRED EXCEPT (1) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OR (2) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, IN EACH CASE IN ACCORDANCE WITH ALL APPLICABLE STATE SECURITIES LAWS AND THE SECURITIES LAWS OF OTHER JURISDICTIONS, AND IN THE CASE OF A TRANSACTION EXEMPT FROM REGISTRATION, UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO IT THAT SUCH TRANSACTION DOES NOT REQUIRE REGISTRATION UNDER THE SECURITIES ACT OR SUCH OTHER APPLICABLE LAWS."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>Waiver, Amendment</u>. Neither this Agreement nor any provisions hereof shall be modified, changed, discharged or terminated except by an instrument in writing, signed by the party against whom any waiver, change, discharge or termination is sought.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. <u>Assignability</u>. Neither this Agreement nor any right, remedy, obligation or liability arising hereunder or by reason hereof shall be assignable by either the Company or the undersigned without the prior written consent of the other party, and any attempted assignment without such prior written consent shall be void.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. <u>Waiver of Jury Trial</u>. THE UNDERSIGNED IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY WITH RESPECT TO ANY LEGAL PROCEEDING ARISING OUT OF THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. <u>Submission to Jurisdiction</u>. With respect to any suit, action, or proceeding relating to any offers, purchases, or sales of the Interests by the undersigned ("**Proceedings**"), the undersigned irrevocably submits to the jurisdiction of the federal and state courts located in the Borough of Manhattan in New York City, which submission shall be exclusive, unless none of such courts has lawful jurisdiction over such Proceedings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. <u>Governing Law</u>. This Agreement shall be governed by and construed in accordance with the laws of the State of New York.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. <u>Section and Other Headings</u>. The section and other headings contained in this Agreement are for reference purposes only and shall not affect the meaning or interpretation of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. <u>Counterparts</u>. This Agreement may be executed in any number of counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which together shall be deemed to be one and the same agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. <u>Indemnification.</u> Each party shall indemnify the other against any loss, cost or damages (including reasonable attorneys' fees and expenses) incurred as a result of such party's breach of any representation, warranty, covenant or agreement in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. <u>Fees.</u> Except as set forth in the Placement Agent Agreement, no brokerage or finder's fees or commissions are or will be payable by the Company or any subsidiary to any broker, financial advisor or consultant, finder, placement agent, investment banker, bank or other person with respect to the transactions contemplated by the Transaction Documents. The undersigned shall have no obligation with respect to any fees or with respect to any claims made by or on behalf of other Persons for fees of a type contemplated in this Section that may be due in connection with the transactions contemplated by the Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19. <u>Notices</u>. All notices and other communications provided for herein shall be in writing and shall be deemed to have been duly given if delivered personally or sent by registered or certified mail, return receipt requested, postage prepaid to the following addresses (or such other address as either party shall have specified by notice in writing to the other):

If to the Company: 100 Westminster Street, Providence, RI 02903, Attention: General Counsel – Chicago Equity Offering.

If to the Purchaser: the Purchaser's address set forth in the signature page.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. <u>Binding Effect</u>. The provisions of this Agreement shall be binding upon and accrue to the benefit of the parties hereto and their respective heirs, legal representatives, successors, and assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. <u>Survival</u>. All representations, warranties and covenants contained in this Agreement shall survive (i) the acceptance of the subscription by the Company and the Closing, (ii) changes in the transactions, documents and instruments described in the Transaction Documents which are not material or which are to the benefit of the undersigned, and (iii) the death or disability of the undersigned.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22. <u>Notification of Changes</u>. The undersigned hereby covenants and agrees to notify the Company upon the occurrence of any event prior to the Closing which would cause any representation, warranty, or covenant of the undersigned contained in this Agreement to be false or incorrect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23. <u>Severability</u>. If any term or provision of this Agreement is invalid, illegal, or unenforceable in any jurisdiction, such invalidity, illegality, or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render unenforceable such term or provision in any other jurisdiction.

[signature page follows]

IN WITNESS WHEREOF, the undersigned has executed this Subscription Agreement this __________ day of __________ 2025.

---

| | |
|:---|:---|
| PURCHASER (if an individual): | PURCHASER (if an entity): |
| Name: | [Legal Name of Entity] |

---

By   <br> Name:   <br> Title:  

State/Country of Domicile or Formation:  

Address for Notice:  

Aggregate Subscription Amount: US$

The offer to purchase Interests is confirmed and accepted by the Company as to __________ Class A-1 Interest(s), __________ Class A-2 Interest(s), __________ Class A-3 Interest(s) and __________ Class A-4 Interest(s).

*[Signature Page to Subscription Agreement]*

---

| |
|:---|
| **AGREED AND ACCEPTED:** |
| **Bally's Chicago, Inc.** |
| By: |
| Name: |
| Title: |

---

*[Signature Page to Subscription Agreement]*

## Exhibit 23.1

**Exhibit 23.1**

**CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

We consent to the use in this Amendment No. 8 of Registration Statement (333-283772) on Form S-1 of our report dated March 31, 2025, relating to the financial statements of Bally's Chicago, Inc. We also consent to the reference to us under the heading "Experts" in such Registration Statement.

/s/ Deloitte & Touche LLP

New York, New York

June 23, 2025