Tilman Fertitta Sells Stake in Landry’s for Record $4.2 Billion in Houston-Based Deal
HOUSTON, TX — Landry’s Inc., the hospitality conglomerate controlled by billionaire restaurateur Tilman Fertitta, announced today the divestiture of a majority stake in its restaurant and entertainment division for $4.2 billion. The transaction, finalized this morning with a consortium of private equity firms, marks one of the largest single-asset sales in the American dining industry.
According to a press release from the company, Fertitta retains operational control of the portfolio, which includes chains such as Bubba Gump Shrimp Co., Morton’s The Steakhouse, and the Golden Nugget casinos. Analysts at Moody’s cited the deal as a strategic move to reduce corporate debt and fund expansion into international markets. Financial terms were not disclosed, but sources close to the negotiation confirmed that the sale generated a 300 percent return on upfront equity invested in 2010.
When asked for comment, Fertitta stated, “This capital infusion allows us to modernize our supply chain and double down on technology for guest experiences.” Critics, however, have raised concerns about potential employee layoffs and brand consolidation. The transaction is expected to close within sixty days, pending regulatory approval.