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<\/div>\n<\/div>\nVIDEO: Thousands take in the Atlantic City St. Patrick’s Day Parade<\/p>\n
The Atlantic City Boardwalk was host Saturday, March 7 to the 38th annual St. Patrick’s Day Parade.<\/p>\n<\/div>\n<\/div>\n
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<\/story-highlights> The casino industry in Atlantic City appears to be headed toward a major ownership consolidation.<\/p>\n Caesars Entertainment Inc. says it’s agreed to a \u201cdefinitive agreement\u201d for an all-cash buyout of the company that’s being valued at approximately $17.6 billion. It would be acquired by Fertitta Entertainment Inc.<\/a>, which owns Golden Nugget Atlantic City.<\/p>\n Caesars Entertainment and Fertitta Entertainment both issued announcements May 28 about the transaction.<\/p>\n More: <\/strong>NJ mom turns $5 into $100K during Mother’s Day Atlantic City trip<\/a><\/span><\/p>\n If the agreement is finalized, Fertitta then would own four of the nine casinos operating in Atlantic City. Caesars Entertainment owns Caesars Atlantic City, Harrah\u2019s Atlantic City and Tropicana Atlantic City.<\/p>\n In its announcement, Caesars said its directors have already approved the transaction.<\/p>\n Board members are asking shareholders to approve it now. Shareholders would receive $31 cash for each outstanding share, which represents an estimated 49% premium.<\/p>\n \u201cFertitta Entertainment\u00a0brings a proven operating model with a track record of successfully integrating and growing leading hospitality and entertainment businesses,\u201d Caesars leaders wrote. \u201cThe transaction positions Caesars to continue executing on the strategy that has made it the leading casino-entertainment company in\u00a0the United States.\u201d<\/p>\n Fertitta’s announcement stated that “Fertitta Entertainment\u2019s agreement to acquire Caesars Entertainment brings together two of the world’s premier hospitality and gaming companies, each with deep roots in exceptional guest experiences and industry-leading loyalty programs.”<\/p>\n The announcement states that there’s no guarantee the sale will be finalized. The transaction must be cleared by multiple regulatory agencies, and Caesars also has through July 11 to accept competing proposals.<\/a><\/p>\n According to the announcement, Fertitta would assume approximately $11.9 billion of Caesars’ debt. That debt is included in the total $17.6 billion purchase price.<\/p>\n Another aspect of the sale is the Carano family, which owns approximately 5% of Caesars common stock, would roll a portion of their equity interests into Fertitta Entertainment.<\/p>\n Fertitta is a family-owned and diversified conglomerate based out of Houston, Texas.<\/p>\n The basis for the city\u2019s casino industry is the New Jersey Casino Control Act, adopted in 1977.<\/p>\n Members of the New Jersey Casino Control Commission annually report on how the industry is doing. As of 2024, the commission listed every casino as profitable.<\/p>\n The commission also reported that casino hotels were employing more than 21,700 people with combined salaries nearing $740 million that year.<\/p>\n Brian Tyrrell, a professor of hospitality and tourism management at Stockton University, said one regulatory hurdle may be how the sale is to be evaluated under the “undue economic concentration” clause in the Casino Control Act.<\/p>\n\n
Casino industry roots go back to the 1970s<\/h2>\n