Special purpose acquisition company (SPAC) Landcadia Holdings II has completed its combination with Golden Nugget Online Gaming, the igaming division of the land-based brand, with shares in the new business trading on the Nasdaq from December 30, 2020.
Lancadia’s shareholders approved the combination on December 29, allowing for the company’s shares to begin trading under the GNOG ticker a day later.
Tilman J. Ferttita, co-founder of Landcadia and owner and chief executive of the Landry’s restaurant chain and entertainment business that owns Golden Nugget casinos, will serve as chief executive and chair of the new entity.
Thomas Winter, who has overseen the igaming business since September 2013, will serve as its president, with all current GNOG staff to continue in their existing roles.
“I am pleased to see the business combination finally close,” Fertitta said. “We see tremendous opportunity in the online gaming space and are excited to be a part of it.”
The combination of the businesses was announced in June 2020, valuing the enlarged entity at approximately $745m.
Investment bank Jefferies, which partnered Fertitta to form Landcadia, served as the sole financial, capital markets advisor and placement agent to the SPAC, with White & Case serving as legal counsel. Haynes and Boone, meanwhile, served as legal counsel to GNOG.
The business, which is currently only active in New Jersey – but leads the state’s online casino market – reported significant growth in 2020. In the third quarter of the year, gross revenue almost doubled to $28.9m, with net revenue up 91.9% to $25.9m.
It is preparing for significant expansion in 2021, with plans afoot to launch the brand in Pennsylvania, Michigan and West Virginia. A 20-year market access agreement with a Golden Nugget property currently under construction will also provide access to Illinois.