Eldorado Resorts has expressed interest in a deal with Caesars, sources told the Wall Street Journal.
Caesar’s previously rejected a bid by Tilman Fertitta’s Golden Nugget.
Icahn got involved after a handful of Caesars shareholders asked him to assist in the company’s sale. He hasn’t ruled out launching a proxy fight, which he would need to do by a March 1 deadline, sources told the Wall Street Journal.
Mr. Icahn and his company, Icahn Enterprises LP, have a large history of investing in casinos. Icahn previously owned properties including the Sands Atlantic City in New Jersey and Stratosphere in Las Vegas.