UNITE HERE announced it is soliciting proxies from shareholders of Eldorado Resorts, Inc. [NASDAQ: ERI] for a set of non-binding proposals urging Eldorado to opt out of Nevada’s little-known anti-takeover statutes.

UNITE HERE also announced the launch of www.BetterGovernanceAtEldorado.org, a new website that provides access to its proxy statement and information on its corporate governance proposals.

Eldorado has grown rapidly in the last five years through mergers of public companies and acquisitions of casinos, according to UNITE HERE. Although the merged-in public companies had been incorporated in Delaware, Eldorado chooses to be incorporated in Nevada, which provides a management takeover protection that does not exist under Delaware law.

UNITE HERE explained that by default, the little-known Nevada statutes impose restrictions on the voting rights of large shareholders and restrict combinations with large shareholders. These same statutes allow corporations to opt out of the default anti-takeover provisions. UNITE HERE’s proposals encourage Eldorado to opt out of Nevada’s anti-takeover statutes, and to not adopt other takeover protections like a poison pill or supermajority voting requirements if it does opt out.

“We believe fewer takeover protections are better for investors, especially for a company like Eldorado which has grown substantially through mergers,” says Jim Kane, CFA, Research Coordinator of UNITE HERE. “We believe Nevada’s statutes might insulate management from offers by potential acquirors, limiting shareholder value. They may also advantage Eldorado’s Executive Chairman Gary Carano, given the Carano family’s 14% ownership of the Company. Obtaining supermajority voting thresholds may be more difficult with the Carano family’s inside ownership,” he added.

As the gaming industry continues to experience a sustained level of merger activity, UNITE HERE is encouraging shareholders to VOTE FOR Proposals 5-9 on the BLUE proxy card. The Company’s and UNITE HERE’s proposals are the same on both proxy cards.

About UNITE HERE

UNITE HERE’s members are beneficiaries of pension funds with over $60 billion in assets. UNITE HERE is a member of the Council of Institutional Investors. UNITE HERE believes investors and employees alike are better served by strong corporate governance practices.

A description of UNITE HERE and the Participants’ interests in this proxy solicitation is contained in their Definitive Proxy Statement (amended May 29, 2019). The Participants encourage shareholders to read the Definitive Proxy Statement, accompanying BLUE proxy card, and other proxy materials. Shareholders may obtain the Definitive Proxy Statement and other relevant documents from the SEC’s website at www.sec.gov or from www.proxyvote.com.