Caesars Entertainment has reached a blockbuster deal with Tilman Fertitta to sell the entertainment and hospitality giant to the billionaire business magnate.
On Thursday, Caesars announced that it has reached a definitive agreement to be acquired by Fertitta’s holding company, Fertitta Entertainment, in an all-cash deal valued at approximately $17.6 billion. The deal is approved by Caesars board of directors, with the group recommending the company’s shareholders also adopt and approve the transaction.
“Fertitta Entertainment brings a proven operating model with a track record of successfully integrating and growing leading hospitality and entertainment businesses,” said Caesars in a press release. “The transaction positions Caesars to continue executing on the strategy that has made it the leading casino-entertainment company in the United States.”
Terms of the agreement between Fertitta Entertainment and Caesars include:
- The assumption of roughly $11.9 billion of outstanding debt
- Caesars shareholders receive $31 for each outstanding share in the company
- The consideration is a 49% premium over Caesars share price on Feb. 25
- The share price is from the last trading day “before rumors of a potential transaction”
- Once the deal is closed, Caesars common stock will no longer be listed on NASDAQ.
Caesars can entertain other offers
However, Caesars board of directors has the right to terminate the agreement with Fertitta Entertainment if the company receives a competing bid for the property. Under the terms of the agreement, Caesars and its financial advisors can “solicit, consider and negotiate alternative acquisition proposals from third parties” until July 11, 2026.
If Fertitta Entertainment closes the deal, it will be financed through a combination of:
- Equity from Fertitta Entertainment
- Assumed Caesars debt
- Debt financing arranged by 10 banks
Caesars has no plans to change its organizational or leadership structure under new ownership following the company’s potential acquisition by Fertitta Entertainment.
A deal between Fertitta and Caesars was rumored to be in motion in March 2026, with the Wall Street Journal reporting the two sides were in talks regarding a takeover bid. Last month, Caesars and Fertitta extended their negotiations after their initial 45-day exclusive talk window expired. Fertitta reportedly outbid billionaire and investor Carl Icahn during the process.
Growing portfolio for Fertitta
Last year, Fertitta relinquished his role as CEO of Fertitta Entertainment to become U.S. Ambassador to Italy and San Marino. Fertitta is owns Golden Nugget Casinos, extending his reach in gaming amid his Caesars acquisition.
Fertitta Entertainment also owns restaurant giant Landry’s Inc and the NBA’s Houston Rockets. Fertitta reportedly plans to merge Golden Nugget Casinos and Landry’s portfolio of restaurants with Caesars to create an entertainment and hospitality conglomerate.
Landry’s operates more than 600 restaurants and hotels across the country.
“The combination of Caesars and Fertitta Entertainment brings together two iconic and highly complementary platforms to create a dynamic suite of gaming, entertainment, and restaurant brands,” continued Caesars. “The combined company will offer guests an even broader array of destinations and experiences, all connected by the Caesars Rewards loyalty network.”
Most recently, Fertitta Entertainment agreed to acquire the Connecticut Sun and relocate the WNBA franchise to Houston. Fertitta and the Mohegan Tribal Gaming Authority agreed to a deal worth $300 million, the highest sale price ever for an WNBA team.
Fertitta also owns a stake in Wynn Resorts that was acquired through a buyback program. He currently owns a 12.5% stake in Wynn, making him its largest single shareholder.
