DraftKings acquires Golden Nugget Online Gaming company for $1.56 billion with billionaire Tilman Fertitta making $700 million from the deal

The red hot online gaming industry continues to grow without any signs of slowing down. As you may recall, we reported back in April that DraftKings acquired Blue Ribbon, an Israeli jackpot and gamification startup that provides platform-agnostic, real-time gamification tools that allow for fully customizable jackpot promotions.

With $20.68 billion in market cap and billions of dollars still floating around, DraftKings announced on Monday that it has agreed to acquire 75-year old Golden Nugget Online Gaming for $1.56 billion in stock. The deal will give DraftKings access to Golden Nugget Online’s 5 million customers, who are dependable online casino players.

As part of the deal, billionaire Tilman Fertitta will walk away with more than $700 million in DraftKings stock after the acquisition is complete. According to public filings, Fertitta currently owns more than four million shares of Golden Nugget Online Gaming directly and more than 31 million shares through his company Fertitta Entertainment Inc.

“We definitely feel in the iGaming segment that we do better with people who are sports fans, that we can cross-sell, and we’ve been working hard to try to extend our brand and extend our reach into the non-sports fan iGaming audience,” DraftKings CEO Jason Robins said.

Founded in 1946, the  Houston, Texas-based Golden Nugget Online Gaming is an online gaming company and the first to bring Live Dealer and Live Casino Floor to the United States online gaming market. The company also offers progressive online slots, online blackjack, roulette, live dealer casino, video poker, keno, and an online Sportsbook.

Founded in 2011 by Jason Robins, Matt Kalish, and Paul Liberman, DraftKings provides online daily and weekly fantasy sports contests for cash prizes in major sports in the United States and Canada. It offers daily leagues for fantasy football, baseball, basketball, hockey, golf, college football, and college basketball.

DraftKings is now live with mobile and/or retail sports betting in 14 U.S. states, more than any other operator, and recently announced the acquisition of VSiN, a multi-platform broadcasting and content company delivering trusted sports betting news, analysis, and data to U.S. sports bettors.