11:17 AM EDT, 05/31/2024 (MT Newswires) -- Penn Entertainment's ( PENN ) shareholder The Donerail Group sent an open letter to Penn's board Friday, proposing a sale of casino assets.

In its letter, Donerail said Penn's stock is trading at a "steep discount" to the company's intrinsic value amid "significant losses" from the interactive segment. Penn's casino assets could be "worth more than double the company's current market capitalization," Donerail added.

"A sale of the company's assets, if undertaken, could generate meaningful and certain value creation for equity investors," Donerail said.

Penn did not immediately respond to MT Newswires' request for comment.

Shares of the company were up nearly 15% in recent trading.

Price: 16.81, Change: +2.18, Percent Change: +14.88