Icahn stirs up the casino sector

|By:, SA News Editor

CNBC in a followup to the report of Carl Icahn building a stake in Caesars Entertainment (CZR +5.8%) says Tilman Fertitta is still interesting in working a merger with Golden Nugget.

Icahn is no stranger to the casino business, the veteran investor bought the Tropicana in 2008 when it was bankrupt and just unloaded it last year for $1.85B. Just last week, Icahn purchased the deed to the closed Trump Plaza in Atlantic City and terminated a complicated lease agreement on the property. Icahn's overarching casino strategy isn't known yet.

Shares of Wynn Resorts (WYNN -0.4%) and MGM Resorts (MGM -0.1%) both pared losses when news of the Icahn-Caesars development broke. Empire Resorts (NYNY +3.5%) is the other casino stock showing moxie today.

Previously: Caesars +8% with Icahn snapping up shares (Jan. 11)

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