FTC Requests Additional Details on Fertitta-Caesars Merger Deal

Deep News
Sep 17

Both companies have signaled their readiness to cooperate with regulators following the request.

This information demand stems from billionaire Tilman Fertitta's agreement to acquire Caesars Entertainment, which was reached in May.

The Federal Trade Commission has asked Caesars Entertainment and Fertitta Entertainment for supplementary materials as they advance a transaction valued at roughly $5.7 billion.

The FTC is seeking more information from Caesars Entertainment and Fertitta Entertainment, with the two entities moving forward on this approximately $5.7 billion acquisition.

On Thursday, both Caesars and Fertitta stated their willingness to work with the FTC by submitting the additional data and documents requested by the agency. The regulatory inquiry follows the acquisition pact struck by billionaire Tilman Fertitta in May to purchase Caesars. The buyout proposal offers shareholders $31 per share and assumes roughly $11.9 billion of the casino operator's outstanding debt.

Once the deal concludes, more than 50 Caesars resort properties will fall under Fertitta's corporate umbrella. Fertitta already controls the Golden Nugget casino brand, along with other hotel and gaming ventures, and owns the Landry's restaurant group. He is also the proprietor of the NBA's Houston Rockets.

Reports surfaced in March, prior to the official announcement, indicating that Fertitta Entertainment was in talks to acquire Caesars in a deal valued near $7 billion, successfully outbidding a rival offer from billionaire investor Carl Icahn's firm. The Icahn group has maintained a stake in Caesars since 2019.

In a separate filing with the Securities and Exchange Commission on Thursday, Caesars disclosed that Jesse Lynn and Ted Papapostolou have resigned from its board of directors. With their departure, the Icahn group has also relinquished its right to nominate successor directors.

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