Tilman Fertitta is acquiring Caesars Entertainment for about $5.7 billion in cash and assuming close to $12 billion in debt, for an estimated total deal value of about $17.6 billion. Caesars, known for Caesar’s Palace on the Las Vegas Strip since 1966, traces its roots to the 1930s in Reno and operates nine Strip hotels while owning properties across more than a dozen states. Fertitta Entertainment, led by Fertitta, owns the Golden Nugget and other hospitality brands, and Fertitta also holds major stakes in Wynn Resorts and DraftKings and owns the Houston Rockets. Caesars shareholders will receive $31 per share, a 49% premium, and Caesars can seek competing bids through July 11. If approved, the combined company would operate 60 casino resorts, online gaming, and retail sports betting at more than 200 William Hill locations, plus over 600 Fertitta outlets.
"Fertitta Entertainment will pay $5.7 billion and take on close to $12 billion in debt from Caesars, putting the total value of the deal at about $17.6 billion. As part of the agreement, Caesars can seek competing bids through July 11. The deal must be approved by its shareholders. But if it goes through, the sale will create one of the largest gaming empires with 60 casino resorts, online gaming, retail sports betting at more than 200 locations through the William Hill brand, and over 600 Fertitta Entertainment outlets, such as restaurants and entertainment venues."
"Caesars became an iconic name after the opening of Caesar's Palace on the Las Vegas Strip in 1966. But its roots date back to the 1930s in Reno, Nevada. It operates nine hotels on the Strip and owns properties in over a dozen states. Fertitta is the CEO of Fertitta Entertainment, a company that owns Las Vegas' Golden Nugget and chains like Rainforest Cafe and Morton's."
"Caesars investors will get $31 in cash for each share they own, a 49% premium over the share price before chatter about a possible tie-up between the two entertainment companies began in February. Shares of Caesars Entertainment Inc., which are up 15% since merger rumors emerged, rose almost 2% before the opening bell Thursday."
"David Schwartz, a gaming historian at the University of Nevada in Las Vegas, said Fertitta's investment in the Las Vegas Strip is a sign of a lot of optimism about Las Vegas, which had struggled with a decline in visitors following the COVID-19 pandemic and what some officials said was the Trump administration's immigration policies."
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]