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Hail Caesars. The Vegas casino giant has a new emperor. Tilman Fertitta, the billionaire owner of Landry’s restaurants, the Golden Nugget casinos, and the Houston Rockets, is acquiring Caesars Entertainment in a deal valued at $17.6 billion, according to a company press release. Caesars shareholders will receive $31 in cash per share, a 49% premium over the price before merger rumors surfaced. Fertitta’s company will pay $5.7 billion in equity and assume nearly $12 billion of Caesars’ debt. The Caesars board has approved the deal.
The deal makes Fertitta one of the most powerful players in American hospitality. Forbes calls him the “world’s richest restaurateur,” with a net worth of $10.8 billion. Through Landry’s, he already owns more than 600 restaurant properties across 36 states, including Mastro’s, Morton’s, Rainforest Cafe and Bubba Gump Shrimp Co.
Adding Caesars gives him 60 more casino resorts, William Hill sports betting, and online iGaming. Caesars CEO Tom Reeg and the existing management team are expected to stay in their roles. Shareholders still have until July 11 to consider competing bids.