Landcadia Holdings obtains New Jersey approval for GNOG acquisition

Landcadia Holdings II has announced that regulatory approval has been obtained from the New Jersey Casino Control Commission regarding its pending acquisition of Golden Nugget Online Gaming.

First detailed in June, upon closing, Landcadia II, a publicly traded special purpose acquisition company co-sponsored by Fertitta Entertainment and Jefferies Financial Group, intends to change its name to Golden Nugget Online Gaming and its Nasdaq trading symbol to GNOG.

“We are appreciative of the efforts of both the New Jersey Division of Gaming Enforcement and the Casino Control Commission in approving our transaction,” said Tilman Fertitta, co-chairman and CEO of Landcadia II.

GNOG began its operation in New Jersey during the fourth quarter of 2013, and is lauded as being the first online gaming company to launch live dealer in the US. After becoming profitable four years ago it recorded net income of more than $11m in 2019.

Fertitta will remain GNOG’s chairman and CEO and will hold a controlling economic interest and a controlling voting interest in the combined company, with Thomas Winter, who was brought in to develop Golden Nugget’s online gaming business, continuing to serve as president.  

“With this regulatory approval, we are one step closer to completing our acquisition of GNOG,” noted Steven Scheinthal, Landcadia II’s general counsel.  

Adding: “We are now waiting on the SEC 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.”

Last month GNOG was reported to have enjoyed another ‘pandemic-proof’ quarter of trading according to its Q3 financial results for the period ended September 30 2020.  

The ‘selected’ financial results covering the firm’s New Jersey operations revealed gross gaming revenues ahead by 93 per cent to $28.9m ($14.9m 2019) while net revenue of $25.9m ($13.5m 2019) increased by 92 per cent. Operating income also surged by 92 per cent to $8.2m ($4.2m 2019).