Business
15:00, 23-Mar-2018
Former Wynn Resorts CEO Steve Wynn sells stake in company
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In the wake of allegations of sexual misconduct, Steve Wynn, the former chief executive of Wynn Resorts Ltd, is selling all his remaining 8 million shares in the firm he founded over 16 years ago.
Wynn resigned as head of the Las Vegas-based company last month, following claims he subjected women who worked for him to unwanted advances. He has denied the accusations.
News that he had sold his shares came from Macao casino operator Galaxy Entertainment which said it has agreed to buy 5.3 million shares of Wynn Resorts at 175 US dollars per share.
That gives them around a 5 percent stake in the operator which has resorts in Las Vegas and Macao.
Galaxy is one of six licensed operators in the world’s largest gambling hub of Macao and competes with Wynn along with Sands China, MGM China and Melco Resorts.
Former Wynn Resorts chairman Steve Wynn./ Reuters Photo
Former Wynn Resorts chairman Steve Wynn./ Reuters Photo
The casino mogul’s share sale comes a week after Wynn Resorts said Steve and Elaine Wynn, who has a 9.26 percent stake, had scrapped a shareholder agreement that prevented them from selling their stakes.
In a joint statement by Galaxy and Wynn on Wednesday, Galaxy Vice Chairman Francis Lui said it was a unique opportunity to “acquire an investment in a globally recognized entertainment corporation with exceptionally high-quality assets and a significant development pipeline.”
A Galaxy spokeswoman could not comment further on whether Galaxy would look to increase its holding in the future.
Wynn Resorts CEO Matt Maddox said Galaxy shared many of the same core “operating philosophies and values.”
The announcement also follows the settlement two weeks ago of long-standing litigation between Wynn Resorts and Universal Entertainment Corporation.
Source(s): Reuters