The owner of the Golden Nugget Casinos intrigued by Caesars' merger possibilities

The billionaire owner of Golden Nugget Casinos has contacted Caesars Entertainment about a merger that would give a $ 13 worth of Caesars publicly traded, sources told The Post.

Golden Nugget owner Tilman Fertitta, who also owns the NBA's Houston Rockets, announced the signing of the deal, which will be in the form of a reverse merger on Caesars' board last week, but is still waiting for an answer, sources said.

Sources said Caesars, with a market capitalization of $ 6.8 billion, could avoid Fertitta's offer, whose net worth is estimated at $ 4.5 billion by Forbes.

After Reuters announced the possibility of a close Wednesday, the Caesars stock rose 12.2% to close at $ 10.20 a share.

Caesars, the fourth largest gaming company in the world, went bankrupt last year. Its stock has fallen by almost 20% since the beginning of the year.

Reuters said the operator of more than 50 Las Vegas-based casinos and hotels was considering further deals, including one with Jack Entertainment, before the announcement of Fertitta's offer was announced.

Separate sources confirmed to The Post the broad lines of the proposal presented by Reuters.

As part of the deal, the private hotel company Fertitta, Landry, which, besides Golden Nugget, owns Morton's The Steakhouse, Bubba Gump Shrimp, Rainforest Cafe and many other properties, would exchange its private shares for Caesars.

As it is a reverse merger, Caesars would technically be the purchaser. Yet, the stock market would leave Fertitta the largest shareholder of the combined company. As such, Fertitta would become President and Chief Executive Officer.

Caesars shareholders, including private equity firms Apollo Global Management and TPG Global, would then have a smaller stake in a larger company.

Mark Frissora, President and CEO of Caesars since 2015, is under contract until February 2019.

Apollo and TPG, as well as HG Vora Capital, an activist hedge fund, have been receptive to a sale since Caesars presented a gloomy outlook while reporting its second quarter results on August 1st.