Clicky

Carl Icahn Ups Caesars Stake, Becomes Biggest Shareholder - PennsylvaniaPoker.com News : PennsylvaniaPoker.com News
Icahn-Carl
Published on
Update on
Author

Activist investor Carl Icahn has recently become the biggest shareholder in Caesars Entertainment after entities related to him acquired 38.9 million shares in the gaming company last week. By so doing, the investor’s stake went up to 15.53 percent up from the about 10 percent stake he had amassed over the past few months thus bringing his total investment in the company to a whopping $1 billion.

At about the same time that Mr. Icahn upped his stake in the Las Vegas-based gaming and hospitality provider, it was also announced that the company had agreed to replace three of its board members after the exit of three others. The new members of the 12-person Caesars Entertainment board were nominated by Carl Icahn and included Courtney Mather, James Nelson, and Keith Cozza – the latter is the current chief executive of Icahn Enterprises.

Amidst all that, it was also revealed last week that Apollo Global Management LLC and TPG Capital, the owners of Caesars Entertainment have cut their stake in the gaming company by selling close to 36.7 million of the Caesars shares. As it stands, Hamlet Holdings, which is the holdings company for Apollo Global Management LLC and TPG Capital, has been left with just about 5.7 percent on the casino owners’ stock.

What Next?

Well, for quite some time now, the company has become a very popular target among hedge funds that are looking for undervalued companies or possible sale targets – Caesars is presumably a sale target since it is by no means undervalued at the time of this writing. A more reasonable explanation for this would be the fact that investors have begun to see the potential of the gaming sector and are therefore looking to capitalize on it.

With Carl Icahn now being the largest shareholder, the possibility of a sale is now in focus more than ever before. The investor and a few other stakeholders have in the recent past proposed that the best course of action for the company would be a merger or a sale.

“Caesars would be a great opportunity for certain investors who have already expressed interest, and I’m glad the Board will explore these opportunities,” the 82-year old billionaire investor said last week.

In addition to proposing a strategic process to sell or merge the company, Carl Icahn also expressed his belief that the move would only serve to “further develop its already strong regional presence.” The investor has a reputation for pressuring businesses into selling themselves and if this history is anything to go by, then it should not be too long before news of a merger or a sale makes it to the public.

Latest Headlines

Pennsylvania’s Gaming Revenue Down in FY 2019/20, Online Helps

Pennsylvania has taken a tumble in terms of gambling results in the 2019/20 fiscal year, buoyed up by online gaming as much as possible. The Fiscal Over Finishes on a Low Point for Pennsylvania Pennsylvania is reaping big benefits from its decision to issue iGaming licenses in 2019, yet adoption hasn’t been quick enough. While […]

Pennsylvania and PokerStars PA Post $3.2M Revenue in June

Despite a back-to-back decline in online poker revenue, June has remained much stronger than the first three months of 2020. Pennsylvania Holds Good Poker Results in April Some have predicted a dip in revenue and results, but online poker in Pennsylvania is still doing very well with June’s revenue reaching $3.2 million. In May, though, […]

Mount Airy Stays Afloat Buoyed up by Poker

Mount Airy Casino Resort registers the smallest revenue decline year-over-year The casino is bolstered by Internet poker and gaming operations Sports betting in Pennsylvania begins to climb up and recover in June Out of all 12 state casinos, Mount Airy has proven the most resilient thanks to its partnership with PokerStars and online poker and […]

Partypoker May Soon Join PokerStars PA in Pennsylvania

Partypoker PA is closer to arriving in Pennsylvania, breaking up PokerStars’ monopoly, and opening an alternative cardroom for players from the Keystone State. As one of the leading platforms in the world, partypoker is well-positioned to make a splash, especially under the leadership of GVC Holdings, one of the largest gambling firms in the industry, […]

Players Will Need to Travel to Play in WSOP Online, Negreanu Says

The World Series of Poker (WSOP) Online will host 54 WSOP bracelet events on the GGPoker platform Daniel Negreanu, GGPoker Ambassador, outlines certain changes to the schedule and advises players on how to participate if they play from restricted jurisdictions Micro-stake players will get a chance to qualify for some of the big WSOP events […]

Similar PA Casinos Post

Parx Casino Inks Multi-Year Deal with Philadelphia 76ers

The gaming industry in the United States continues to grow at a very fast pace and so do the partnerships between various stakeholders. For instance, a number of sports teams and leagues are signing deals with gambling-related entities as part of their efforts to build their brands and bring in revenue. The latest partnership deal […]

Kindred Debuts Unibet-Branded Sportsbook in Pennsylvania

Last Friday, Nordic online gambling operator Kindred Group followed up its New Jersey debut by launching its second sportsbook in the Keystone State. The company’s Unibet branded sportsbook officially went live in Pennsylvania through a multi-year partnership with Mohegan Sun Pocono which is owned and operated by Mohegan Gaming & Entertainment, Mohegan Tribe’s casino resort […]

Legal Sports Betting Finally Takes Off in Indiana

Indiana has officially become the 12th US state to legalize sports betting after three of the state’s casinos were inaugurated on September 1 just in time for the forthcoming NFL season. Of the three casinos that debuted their sports betting offerings, one of them was privileged to have been inaugurated by Governor Eric Holcomb who […]

Lawsuit Against SugarHouse Casino Withdrawn

A lawsuit that was filed against SugarHouse Casino in Philadelphia has recently been withdrawn. According to the court documents, the attorneys of the two claimants who filed the lawsuit notified the United States District Court for the Eastern District of Pennsylvania that they had decided to voluntarily dismiss the lawsuit, without prejudice. As such, they […]