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Jette Nygaard-Andersen and Entain have parted ways just days after reports surfaced that three US activist hedge funds were pushing for management changes. The Financial Times named them as Eminence Capital, Sachem Head Capital Management and Dendur Capital, each of which are among the company's top shareholders. Another, P Schoenfeld Asset Management, has a smaller stake.
The embattled former CEO faced a mutiny with Entain's share price slumping to 40 per cent since August resulting in a slashed market capitalisation to £5.1bn.
The Financial Times pointed to Entain regularly ranking fourth-worst in the FTSE 100 for shareholder returns. Meanwhile, reports emerged that Nygaard-Andersen was given the nickname "Private Jette" for her apparent misuse of a private plane.
Non-Executive Director Stella David will assume the role of Entain’s Interim CEO. David will take over the outgoing CEO’s responsibilities this week and will remain in the interim position until the board is able to appoint a permanent replacement.
Entain’s Chair, Barry Gibson, remarked:
“Over the past few years of Jette’s leadership, Entain has been able to execute its strategic transformation of operating in only regulated and actively regulating markets around the world, along with enhancing our operations to provide our players with improved experiences. Her decision to step down from her position comes after we reached an agreement with the HMRC relating to our legacy operations. Jette’s leadership throughout the process of the investigation was invaluable for the company, and we are quite grateful for her dedication.”
The company has been embroiled in a bribery probe for which Entain settled last week with the UK’s Crown Prosecution Service for 585 million pounds.
- Jagajeet Chiba, Gambling911.com
