Billionaire Fertitta's hotel company to go public through SPAC deal at $6.6 billion valuation

  • 2/1/2021
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(Reuters) - Fertitta Entertainment Inc, owned by Billionaire Tilman Fertitta, said on Monday it has agreed to go public through a merger with a blank-check company, in a deal that values the combined entity at $6.6 billion. The deal with FAST Acquisition Corp includes a $1.2 billion private investment from institutional shareholders, Fertitta Entertainment said. It is the parent company of restaurant and gaming company Golden Nugget and restaurant-chain operator Landry’s. Landry’s was taken public by hospitality magnate Fertitta in a $1.3 billion deal in 2008. Fertitta would be the Chief Executive Officer of the combined company and its largest shareholder, the company said. A SPAC, or a blank-check firm, is a shell company that uses proceeds from an initial public offering to take a private firm public. This is the fourth SPAC deal announced on Monday, with private jet charter company Wheels Up, data automotive firm Otonomo and mobile game developer Nexters Global all announcing deals with blank-check firms earlier. FAST Acquisition raised $200 million in its IPO in August last year. Jefferies is acting as the financial adviser to Fertitta, while Citigroup Global Markets is advising FAST Acquisition. Last month, hardware supplier Hillman Group Inc agreed to merge with Landcadia Holdings III Inc, another SPAC backed by Tilman, at a valuation of $2.64 billion.

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