The former chairman of one of the leading game developers in the world is now getting embroiled in an IGT proxy fight, as he challenges the current leadership of the company in order to regain a seat on the board of directors after retiring as chief executive and chairman in 2003. In conjunction with New York based Ader Investment Management, Charles Mathewson is an eighty three year old man who seriously means business in this attempt.
IGT are known for their range of fantastic casino games, including slot machine games that are popular around the world, but the ties between this company and Mathewson were completely cut back in 2010. He was their “chairman emeritus” until that point, and is credited with being the person behind the company’s rise to the top of the casino game industry during the 1990s, so he clearly feels that he has a strong legacy with them and the right to still be included in some way.
Ader owns around three per cent of IGT, and they have informed the company that they plan to nominate Mathewson, two other individuals, and former gaming industry Wall Street analyst Jason Ader (who is currently the head of Ader) to the board of directors. Forty four year old Jason Ader already sits on the board of directors for the Las Vegas Sands Corp, and was senior managing director at Bear Stearns from 1995 to 2003. He has the credentials to know what he is talking about – and to be able to get his own way.
Current company CEO Patti Hart and current Chairman Phil Satre have come under some fire, since the stock price of the company dropped by eighteen per cent in 2012. This is the third straight year that their share price has taken a dive, which obviously worries some investors. “We’re not happy with the stock price either,” Hart told Bloomberg News on Monday. She took over as the CEO in April 2009, and has been criticised over several large acquisitions, such as DoubleDown Casino in 2012 and Entraction in 2011.