Caesars Entertainment board member Keith Cozza, one of three representatives for corporate raider and stockholder Carl Icahn on the panel, resigned from the position Friday.
According to a filing Monday morning with the Securities and Exchange Commission, no reason was given for the resignation.
Cozza is the CEO of Icahn Enterprises and was one of five board members from the former Caesars panel who joined the newly configured company following last week’s $17.3 billion merger with Eldorado Resorts.
‘Mr. Cozza’s resignation was not the result of any disagreement with the company on any matter relating to the company’s operations, policies or practices,” Caesars said in the brief SEC filing.
Icahn, the 83-year-old billionaire activist investor, acquired more than 17% of Caesars stock last year – and controlled up to 25% – in order to force a sale of the casino company to Eldorado. He is the largest individual stockholder in the “new” Caesars with 10%, plus his control of the board seats, Cozza, Icahn Enterprises board member James Nelson, and Icahn Capital fund manager Courtney Mather.
Cozza and Mather were licensed by Nevada gaming regulators in January. Cozza told the Gaming Control Board he has worked for Icahn for 15 years and often talks with his boss, “hourly.”
No replacement for Cozza was named.
The merger with Reno-based Eldorado took 15 months to complete and created the largest casino company in the U.S. with 55 properties worldwide in 16 states. The new company retained the Caesars Entertainment name and stock symbol and is now overseen by the former Eldorado management.
Former Eldorado chairman Gary Carano remains chair of the new Caesars board, which includes former Eldorado and now Caesars CEO Tom Reeg, and ex-Eldorado board members David Tomick, Frank Fahrenkopf Jr., Michael Pegram, and Bonnie Biumi.
In addition to the three Icahn representatives, Jan Jones Blackhurst and Don Kornstein were the other two Caesars representatives added to the panel.
Shares of Caesars closed down $4.01 or 11.88% in trading on the Nasdaq Monday to end the day at $29.74.
Gaming stocks as a whole were having a rough trading session Monday with some analysts suggesting the return of Major League Baseball and the associated legal sports wagering with the activity could be disrupted. The cancelation of the Miami Marlins home opener due to a COVID outbreak, which also led to the cancellation of the Philadelphia Phillies game with the New York Yankees, has dampened investor enthusiasm.
Howard Stutz is the executive editor of CDC Gaming. He can be reached at hstutz@cdcgaming.com. Follow @howardstutz on Twitter.
