Casino operator Wynn Resorts on Aug. 6 named industry veteran Phil Satre its vice-chairman, in a symbolic victory for largest shareholder Elaine Wynn, who has been pushing for changes at the company’s board.
As part of a settlement with Wynn, also the company’s co-founder, Wynn Resorts will also appoint Satre chairman by the end of the year, replacing D. Boone Wayson.
Elaine Wynn will also not propose any new director additions or seek to accelerate Satre’s appointment as chairman for a specific period, a regulatory filing showed.
Elaine Wynn will be reimbursed for up to $5 million for out-of-pocket expenses related to the company’s 2018 annual meeting and negotiations.
“(Satre’s) appointment is the result of a collaborative effort … which I believe will serve as the beginning of a constructive and unified effort by all parties to move the company forward,” current board chairman Wayson said.
The board had last month decided not to name an outsider as vice-chairman as initially requested by Elaine Wynn, according to the filing.
Satre, with more than 25 years in the gaming industry, was previously CEO of Harrah’s Entertainment Inc, now known as Caesars Entertainment Corp.
The company’s settlement with Elaine Wynn comes months after former Wynn Resorts CEO Steve Wynn resigned following claims he subjected women who worked for him to unwanted advances. After his resignation, Steve Wynn disposed his entire 11.8 percent stake in the firm.
In May, Wynn Resorts said John Hagenbuch will not stand for re-election to the board after Elaine Wynn asked shareholders to vote against his re-election.
In 2015, Elaine Wynn launched and lost, a proxy fight, and at the time, independent directors chose not to nominate her for re-election to the board.
Steve Wynn and ex-wife Elaine had been embroiled in a battle for control of the company following a bitter divorce.
Shares of Wynn Resorts rose 1.3 percent to $151.21 on Aug. 6.
By Sanjana Shivdas