Caesars Entertainment Corporation has issued a statement regarding the Form 13D filing with the Securities and Exchange Commission by High River Limited Partnership and other entities affiliated with Carl C Icahn disclosing ownership of approximately 9.78% of Caesars Entertainment’s common stock.
The casino operator commented: “Caesars Entertainment regularly engages with our stockholders and considers their ideas and input regarding stockholder value. The board and management have engaged in discussions with Mr Icahn and expect to continue a constructive dialogue. The company intends to carefully evaluate Mr Icahn’s suggestions, including his request for board representation.”
Caesars’ response follows Icahn’s revelation that he is seeking board representation at the firm, including, if necessary, nominating new directors at the its 2019 AGM. He told press: “We believe that our brand of activism is well-suited to the situation at Caesars, which requires new thought, new leadership and new strategies.”
“Consistent with its fiduciary duties,” added Caesars, “the Board remains open to all reasonable alternatives to enhance value for Caesars’ stockholders and has and will continue to evaluate strategic alternatives presented to it across a number of factors, including potential value creation and execution risk, given our highly regulated environment in the various domestic and international jurisdictions in which we operate.
“Any such alternatives previously brought to the board’s attention were considered, in consultation with its legal and financial advisers, and determined to undervalue the company and its plan to create stockholder value over the long term.”