Caesars Entertainment is negotiating with Carl Icahn over a role in selecting its new CEO.
Reuters reports that the negotiations are part of an agreement that would also give Icahn investor board seats.
The conversations began after Icahn disclosed a 9.8 percent stake in Caesars on Tuesday and said he could nominate a slate of directors to the company’s board.
Icahn has also asked Caesars to launch a process to explore a sale. The company responded last week by saying that all of the deals it had explored thus far undervalued it, and did not create enough value for shareholders, but also that it will continue to evaluate strategic alternatives presented to it.
Icahn has proposed Anthony Rodio, the CEO of privately held casino gaming company Affinity Gaming, as the successor to Mark Frissora, who is due to step down as Caesars CEO later this year.
Caesars already has a short list of CEO candidates and has indicated to Icahn that it is willing to consider Rodio as well, according to sources.
Caesars does not currently have a chief operating officer, although some of these duties are performed by its president, Tom Jenkin.