The New Jersey Casino Control Commission has given regulatory approval to Landcadia Holdings II for the acquisition of Golden Nugget Online Gaming.
Landcadia II General Counsel, Steven L Scheinthal added: “With this regulatory approval, we are one step closer to completing our acquisition of GNOG.
“We are now waiting on the Securities and Exchange Commission to approve our definitive proxy statement for mailing to our stockholders and approval from our stockholders of the transaction, which we hope will happen in the near future.”
The igaming company of Golden Nugget is a leading operator in New Jersey State, which is the largest regulated online gaming market in North America. Subject to regulatory approval, Golden Nugget also plans to operate in Michigan and Pennsylvania early in 2021.
As GNOG Chairman and CEO, Fertitta will remain in place, while Thomas Winter, who has oversaw the growth of the online gaming business of Golden Nugget, will continue to serve as GNOG President.
Landcadia II will take on GNOG debt of $150m and will pay down an additional $150m of its debt at closing, plus payment of prepayment fees, transaction fees and expenses. Subject to redemption, the trust account of Landcadia II currently retains approximately $321m.
The merged entity would have at least $80m on its consolidated balance sheet at closing and an estimated pro forma stock market capitalization of almost $700m following payment of the acquisition price, debt repayment and transaction fees and expenses.