New Jersey’s market-leading online casino is being spun off from its parent company in an effort to replicate its online success in other US states.
On Monday, Fertitta Entertainment owner Tilman Fertitta announced that he’d reached a deal to spin off the Golden Nugget online gambling operations from his Landry’s land-based gaming firm into a standalone entity via a reverse takeover with Landcadia II Holdings, a ‘special purpose acquisition company’ (SPAC) co-sponsored by Fertitta and Jefferies Financial Group.
Landcadia, which already trades on the Nasdaq stock exchange, will acquire Golden Nugget Online Gaming (GNOG) and rebrand itself as GNOG following regulatory approval, which is expected by Q3. The deal values GNOG at around $745m, including Landcadia assuming $150m of GNOG debt.
Tilman Fertitta will remain GNOG’s chairman and CEO, while current GNOG president Thomas Winter, whose leadership has been credited with much of GNOG’s New Jersey success, will also remain in his current post. Fertitta will retain both a controlling economic interest and controlling voting interest in GNOG following the reverse takeover and listing.