A blockbuster nightlife and restaurant deal out of New York City combines two of the biggest hospitality groups with venues across Las Vegas. Tao Group Hospitality acquired Hakkasan Group to create a combined company that operates 61 entertainment dining and nightlife venues in 22 markets across five continents. The new combined company brings together Tao Group Hospitality’s Tao at the Venetian, Lavo at the Palazzo, and Beauty & Essex and Marquee at the Cosmopolitan of Las Vegas with Hakkasan Group’s Hakkasan and Wet Republic at the MGM Grand, Omnia at Caesars Palace, Jewel at Aria, and Casa Calavera at Virgin Hotels.
The companies did not disclose financial details of the transaction. Hakkasan Group plans to continue handling day-to-day operations for its properties under the direction of Tao Group co-CEOs Noah Tepperberg and Jason Strauss.
The news comes just as Clark County plans to allow businesses to reopen at 80 percent capacity May 1. That include nightclubs, which can reopen on May 1. Many, such as Tao, Marquee, and Omnia, already reopened as lounges without the big-name deejays and dancing.
“Despite the challenges caused by the pandemic, we know there’s a real desire by people around the world to gather once again,” Strauss says in a press statement. “As indoor dining and other hospitality experiences start to return to regular operations, we believe our newly combined company will be well-positioned to take advantage of this pent-up demand, setting the stage for long-term growth.”
The deal expands Tao’s footprint to London, where Hakkasan Group has five venues, including its Michelin star-rated flagship restaurants, Hakkasan Mayfair, and the original Hakkasan Hanway Place. Hakkasan Group also operates four venues in the Middle East.
Tao Group Hospitality is part of Madison Square Garden Entertainment Corp., which is building MSG Sphere at the Venetian and expects to open in 2023.
Tao Group Hospitality issued equity from one of its subsidiaries to acquire Hakkasan Group from Hakkasan USA. With the completion of the deal, Tao Group Hospitality owns a majority of the newly combined company. MSG Entertainment owns a controlling interest in Tao Group Hospitality and, as a result, also owns a controlling, indirect interest the newly combined company.
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