The conglomerate run by American billionaire Tilman Fertitta has called off its merger with special acquisitions firm Fast after both parties agreed a $33m settlement.

This came after they originally reached a deal to combine in February, which, had it gone ahead, would have seen Fertitta listed on the Nasdaq.

But Fertitta opted to remain private and sought to terminate their agreement, however, Fast argued this was invalid as it came after the previously agreed on termination date

Eventually, both companies reached a settlement that will deliver $33m to Fast through a combination of upfront and deferred payments. In a statement, Fast affirmed its intention to continue to seek a business combination with another company.

Fast’s Founder Doug Jacob commented: “FEI is an incredible hospitality empire run by the one of the world’s best operators that we have had a first-hand view into for many years now.

“We wish Tilman and his team the best of luck as they remain a private company. Through this settlement we ensured that we are sufficiently capitalised to seek a new target and that we could continue our efforts to maximise value for our shareholders.”

Meanwhile, Tilman Fertitta expressed his regard for Fast and reiterated his company’s intention to remain private.

“I have a lot of respect for the Fast team and will support them however I can as they continue to search for a merger target,” remarked Fertitta.

“At the end of the day we ultimately determined that the right decision for my company was to remain private at this time, and I look forward to continuing to grow our business both organically and inorganically.”