DraftKings’ Acquisition of Golden Nugget Online Gaming

Sullivan & Cromwell advised DraftKings, while White & Case advised Golden Nugget Online Gaming. Latham & Watkins LLP represented Tilman Fertitta and Fertitta Entertainment in the transaction.

DraftKings Inc. (Nasdaq: DKNG) and Golden Nugget Online Gaming, Inc. (Nasdaq: GNOG) have entered into a definitive agreement for DraftKings to acquire Golden Nugget Online Gaming in an all-stock transaction that has an implied equity value of approximately US$1.56 billion. The acquisition will enable DraftKings to leverage Golden Nugget’s well-known brand, iGaming product experience and existing combined database of more than five million customers. In connection with the acquisition, DraftKings has entered into a commercial agreement with Fertitta Entertainment, Inc., the parent company of the Houston Rockets, Golden Nugget, LLC and Landry’s LLC, and a leader in the gaming, restaurant, hospitality, and sports entertainment industry.

DraftKings Inc. is a digital sports entertainment and gaming company with products that range across daily fantasy, regulated gaming and digital media. Golden Nugget Online Gaming, Inc. is a leading online gaming company that was first to bring Live Dealer and Live Casino Floor to the United States online gaming market. The transaction is intended to create a leading global player in digital sports, entertainment and online gaming.

Latham & Watkins LLP represented Tilman Fertitta and Fertitta Entertainment in the transaction with a corporate deal team led by New York partners Ian Schuman and Marc Jaffe and Houston partners Nick Dhesi and Ryan Maierson, with Houston associates Thomas Verity, Bryan Ryan, Ben Marek, and Austin Sheehy. Advice was also provided on tax matters by New York partner David Raab and Century City counsel Will Kessler, with Houston associate Jared Grimley.

The White & Case team that advised on the transaction was led by partners Joel Rubinstein (Picture; Capital Markets), Morton Pierce, Suni Sreepada and Robert Chung (M&A) in New York, and included associates Nate Bascom in Houston, Cristen Callan, Beth Goodwin and Yixin Yan (M&A) in New York; partners Sang Ji and Scott Fryman (Tax) in New York and associate Mitchell Li (Tax) in Chicago; partner George Paul and associates Christine Chang, and Ashley Stoner (Antitrust) in Washington, DC; partner Vicky Rosamond, counsel Aaron Feuer and associate Anthony Veveakis (Employment, Compensation & Benefits) in New York; counsel Tami Stark (White Collar) in New York; partner Arlene Hahn and associates Kelly Funderburk and Katarina Varriale (Intellectual Property), and partner Steve Lutt (Real Estate) in New York; partner Seth Kerschner (Environmental) in New York; partner Tim Hickman and associate Joe Devine in London, counsel Paul Pittman in Washington, DC, and associate Abdul Hafiz (Data, Privacy & Cybersecurity) in New York; partner Richard Burke (Sanctions) in Washington, DC; partner Doug Landy (Financial Institutions) in New York; and associate Ashley Williams (White Collar) in Washington, DC.

Involved fees earner: Nick Dhesi – Latham & Watkins; Jared Grimley – Latham & Watkins; Marc Jaffe – Latham & Watkins; William Kessler – Latham & Watkins; Ryan Maierson – Latham & Watkins; Benjamin Marek – Latham & Watkins; David Raab – Latham & Watkins; Bryan Ryan – Latham & Watkins; Austin Sheehy – Latham & Watkins; Ian Schuman – Latham & Watkins; Thomas Verity – Latham & Watkins; Nate Bascom – White & Case; Richard Burke – White & Case; Cristen Callan – White & Case; Christine Chang – White & Case; Robert Chung – White & Case; Joe Devine – White & Case; Aaron Feuer – White & Case; Scott Fryman – White & Case; Kelly Funderburk – White & Case; Elizabeth Goodwin – White & Case; Abdul Hafiz – White & Case; Arlene Hahn – White & Case; Tim Hickman – White & Case; Sang Ji – White & Case; Seth Kerschner – White & Case; Douglas Landy – White & Case; Mitchell Li – White & Case; Steven Lutt – White & Case; George Paul – White & Case; Morton Pierce – White & Case; Paul Pittman – White & Case; Victoria Rosamond – White & Case; Joel Rubinstein – White & Case; Suni Sreepada – White & Case; Tami Stark – White & Case; Ashley Stoner – White & Case; Katarina Varriale – White & Case; Anthony Veveakis – White & Case; Ashley Williams – White & Case; Yixin Yan – White & Case;

Law Firms: Latham & Watkins; White & Case;

Clients: Fertitta Entertainment; Fertitta Tilman; Golden Nugget Online Gaming;

Martina Bellini

Author: Martina Bellini