SECURITIES AND EXCHANGE COMMISSION
                                
                     Washington, D.C.  20549
                                
                            FORM 8-K
                                
                         CURRENT REPORT
                                
               Pursuant to Section 13 or 15(d) of
               the Securities Exchange Act of 1934
                                
Date of Report  (Date of           January 12, 1997
earliest event reported)

                         SHOWBOAT, INC.
       (Exact name of Registrant as specified in charter)

                             Nevada
         (State or other jurisdiction of incorporation)

       1-7123                                   88-0090766
  (Commission File                             (IRS Employee
      Number)                               Identification No.)

2800 Fremont Street, Las Vegas, Nevada                   89104
(Address of principal executive offices)             (Zip Code)

Registrant's telephone number, including area code (702) 385-9123

                         Not Applicable
  (Former name or former address, if changed since last report)


               THIS DOCUMENT CONSISTS OF 3 PAGES.

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Item 5.   Other Events

           On January 12, 1997, Showboat, Inc., a Nevada publicly
traded  corporation ("Showboat"), and Publishing  &  Broadcasting
Limited, a public company listed on the Australian Stock Exchange
("PBL"),  announced that they reached an agreement  in  principle
with  respect to the acquisition by PBL of a significant  portion
of  Showboat's interests in the Sydney Harbour Casino located  in
Sydney,   New   South  Wales,  Australia.   Through  wholly-owned
subsidiaries, Showboat is the largest single shareholder, holding
135   million  ordinary  shares  or  24.6%  of  the  issued   and
outstanding  ordinary  shares of Sydney Harbour  Casino  Holdings
Limited  ("SHC"), the parent company of the casino licensee.   In
addition,  Showboat  holds, through subsidiaries,  an  option  to
purchase approximately 37.4 million ordinary shares of SHC at  an
exercise  price of A$1.15 (dollars Australian) per  share.   This
option  may be exercised between July 1, 1998 and June 30,  2000.
Showboat also has an 85% interest in the management company which
operates the Sydney Harbour Casino.

           The  proposed transactions contemplates that PBL  will
acquire from Showboat approximately 55 million ordinary shares of
SHC,  which  represents approximately 10% of  the  issued  voting
shares of SHC, at a price of A$1.85 per share, subject to certain
adjustments.    Additionally,   the   agreement   in    principle
contemplates PBL granting to Showboat a put option to sell to PBL
another 54 million ordinary shares at an exercise price of A$1.85
per  share.   The  put option will expire March  31,  1999.   The
transaction  further  contemplates,  under  arrangements  to   be
concluded, that PBL would succeed to the management contract  for
the  casino  for  an additional purchase price of A$240  million.
Showboat,  through  subsidiaries, has  an  85%  interest  in  the
management contract for the Sydney casino.

            The  transaction  is  subject  to  the  execution  of
definitive  agreements and the receipt of  all  governmental  and
regulatory  consents and approvals.  Additionally, certain  third
parties  will  need to consent to the transaction  prior  to  the
transaction's consummation.

Item 7.   Financial Statements and Exhibits

          (a)  Financial Statements of Businesses Acquired.

               Not Applicable.

          (b)  Pro Forma Financial Information.

               Not Applicable.

          (c)  Exhibits.

               Not Applicable

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                           SIGNATURES

          Pursuant to the requirements of the Securities Exchange
Act  of  1934, the registrant has duly caused this report  to  be
signed on its behalf by the undersigned hereunto duly authorized.

                                 SHOWBOAT, INC.
                                 (Registrant)
                                
                                
Dated: January _____, 1997       By: /s/ H. Gregory Nasky
                                     H. Gregory Nasky
                                     Executive  Vice President
                                     and Secretary

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