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Unconfirmed reports hold that the casino mogul Tilman Fertitta might be the next US ambassador to Italy. Fertitta is the CEO of Landry’s, Inc., a hospitality and entertainment company that owns Golden Nugget casinos, among other brands. He is also owns the Houston Rockets NBA team.
Fertitta could technically accept the the ambassador position while continuing to serve as Landry’s CEO. However, doing so would defy precedent, as either role represents a significant time commitment on its own.
Fertitta’s potential appointment and confirmation would also bear secondary implications for Wynn Resorts, as Fertitta recently increased his holdings in that rival company.
Fertitta is rumored pick for ambassador post
Multiple news outlets have reported that Fertitta is a candidate for the US ambassador to Italy role. Jennifer Jacobs of CBS News, for example, cites “people familiar with the decision” in sharing the update.
Fertitta has not commented on the reports. If he is nominated, he would have to be confirmed by the United States Senate before taking on the role.
One of the questions that Fertitta may face in that confirmation process is how he would manage his responsibilities as ambassador to Italy while he is acting as the CEO of Landry’s. Filling both roles is not illegal or automatically disqualifying for the ambassador post. The appointment would go against precedent, and it could lessen his availability to lead Landry’s.
Fertitta has options to consider
Normally, people who become US ambassadors put aside their other professional ventures to focus on the role. Those filling roles as important as CEOs of companies like Landry’s aren’t typically chosen for ambassador jobs as well.
At this point, Fertitta could still turn down the position if it is offered to him. Fertitta is no stranger to filling multiple roles simultaneously, though.
Besides serving as Landry’s CEO, Fertitta is also the majority owner of the Houston Rockets of the National Basketball Association. Fertitta’s day-to-day responsibilities with the franchise are uncertain but there are demands upon his time in the role.
If appointed and confirmed as the ambassador to Italy, Fertitta would also have the option to resign as Landry’s CEO. He could also elect to take a leave of absence. Fertitta is not only the CEO, but also the sole owner of Landry’s. This gives him more flexibility than a CEO of a publicly traded company.
While people who frequent the seven Golden Nugget casinos in the US might be curious about Fertitta’s future, Wynn investors will be interested to see how Fertitta proceeds as well.
Rumors abound around Fertitta’s stake in Wynn
In November, Fertitta increased his share of Wynn stock to become the company’s largest individual shareholder at 10%. At the time, there were rumors that Fertitta might use that leverage to force changes he wants the company to make.
Spokespersons for Fertitta denied that was the motivator behind Fertitta’s stock purchase, however. They explained that Fertitta merely increased his holdings as an investment move.
Still, Fertitta serving as US ambassador to Italy could quell concerns that he will take on an activist investor role with Wynn. Filling that role could further divide his time.
At this point, nothing has officially changed with Fertitta’s status with Landry, Wynn, or the United States government. Shifts could happen quickly and affect all three entities over the coming months, though.
