The legal counsel for Fertitta Entertainment dismissed any notion that billionaire Tilman Fertitta will play an active role in the operation of Wynn Resorts, at least at this time.
Steven Scheinthal, executive vice president and general counsel at Fertitta Entertainment, told the Nevada Gaming Commission that Fertitta, who stepped away from his role as president and director to serve as ambassador to Italy and San Marino, will remain a passive investor.
Scheinthal made the comments when the Commission voted unanimously to license Fertitta’s ex-wife Paige to serve in his stead in light of his resignation in late April. Paige Fertitta appeared via video conference from Houston where the company is headquartered.
Fertitta Entertainment operates three casinos in Nevada: the Golden Nugget in downtown Las Vegas, Golden Nugget Laughlin, and Golden Nugget Lake Tahoe.
Tilman Fertitta is the largest shareholder of Wynn Resorts with 13 million shares. He has yet to file an SEC 13D form that would allow him to have more influence on the company, instead of being a silent shareholder. News reports have said he was unhappy with the company’s stock price, which is up $10 over the last month, but off its 52-week high of $107.81.
“Fertitta Entertainment and Tilman remain a passive investor,” Scheinthal said with emphasis in response to a question from Commissioner Brian Krolicki. Scheinthal told the Gaming Control Board that he will remain passive “so as long as we believe that management is engaged in the right steps to provide value to the shareholders.”
Krolicki said since Fertitta hasn’t been required to file a Schedule D, that tells him something as well.
Commissioner Rosa Solis-Rainey called Paige Fertitta’s background suitable for the position she’s seeking and has no concerns.
Commissioner Abbi Silver said her questions were asked at the Gaming Control Board hearing earlier this month in which she was recommended for approval. Silver said Paige Fertitta has been licensed in several other jurisdictions without any problems and it was hard to believe this is her first time being licensed in Nevada.
Krolicki later praised what Fertitta Entertainment has done in Lake Tahoe.
In August 2023, the billionaire Fertitta acquired the Hard Rock Lake Tahoe from Paragon Gaming for cash, then rebranded it. It undertook major renovations to turn it into more of a gaming-centric property that has 539 rooms.
“What you’ve been doing in Lake Tahoe has been a godsend to our little community,” Krolicki said. “It’s a small place and rehab of the building has been desperately needed for decades.”
Krolicki called it an extraordinary time for Tilman Fertitta to be in Rome, with the installation of Pope Leo following the death of Pope Francis.
Krolicki mentioned Paige Fertitta’s fiduciary responsibility as president. “I know you won’t be involved in the day-to-day operations of business, including gaming, and Mr. Scheinthal will be overseeing most of those operations.”
Fertitta said she will attend board meetings and be involved when big decisions are made. She said she has an army of intelligent people that have been running the company with her ex-husband for a long time.
“They do a pretty incredible job,” Fertitta said. “Mine is a broader picture right now. I’m not involved day to day. I ‘m here and available. I look forward to the opportunity to be a little more connected. That’s how I see it right now.”
Fertitta Entertainment has 2,300 full-time employees at its Nevada casinos. It also owns several restaurants that have 500 full-time employees in Nevada.
Besides the Golden Nugget brand, Fertitta owns the Houston Rockets of the NBA and such restaurants as Landry’s, Morton’s, and Bubba Gump Shrimp Company.
