by Dave Briggs
Fertitta Entertainment has agreed to pay $5.7 billion to acquire Caesars Entertainment Corporation, owner of 60 casino and racing properties, including harness racing tracks Harrah’s Hoosier Park, Eldorado Scioto Downs and Harrah’s Philadelphia.
The deal, which in total is worth $17.6 billion since Fertitta would be taking on $11.9 billion in Caesars debt, has yet to be finalized. Caesars has until July 11 to seek competing bids.
Fertitta, which plans to take the casino company private, is owned by Tilman Fertitta, the billionaire owner of the Houston Rockets and the U.S. Ambassador to Italy.
If the deal goes through, Caesars investors would receive $31 for each share they own. That’s nearly a 50 per cent premium over the Caesars share price before word of a possible deal was first mentioned in February.
Caesars operates 53 properties in 18 states and one province, including three in Atlantic City: Harrah’s Atlantic City, Caesars Atlantic City and Tropicana Atlantic City. The company also has 15 casinos in Nevada, including seven in Las Vegas where the flagship Caesars Palace is located on the strip.
There has been no word, yet, what Fertitta’s vision is for the horse racing tracks in the Caesars family that also includes thoroughbred tracks Horseshoe Indianapolis and Harrah’s Columbus Racing and Casino in Nebraska.