Diller’s media company already holds 26.1 per cent of MGM
Barry Diller’s media company, People Inc, has confirmed it is planning to make a bid to seize control of MGM Resorts in a deal that would value the casino operator at more than $18bn.
MGM owns roughly 40 per cent of the Strip, which Diller described as an ‘entertainment nucleus.’
The deal would see People Inc. own just over 50.1 per cent of MGM’s stock while controlling the business. It comes just a few days after hospitality billionaire Tilman Fertitta announced his buyout of Caesars for a similar amount. Diller’s media company already holds 26.1 per cent of MGM, worth about $2.9bn, and has two seats on the MGM board.
Diller had written a letter to MGM shareholders on April 28, saying that MGM was ‘wildly undervalued.’
He said: “We believe that MGM’s assets and businesses are not currently realizing their full potential in the public markets and that it will be difficult to correct this situation in MGM’s current form as a public company.”
“We began investing in MGM nearly six years ago because we believed it represented a rare kind of business: one with real-world assets that AI cannot easily replicate or disintermediate and exceptional digital growth opportunities. That conviction has only strengthened over time.”
The transaction would be a combination of cash and additional debt and equity funding commitments.
People Inc. is based in New York and is America’s largest digital and print publisher Diller, who plans to streamline MGM’s structure, also holds a position as Chairman and Senior Executive of IAC and Expedia Group and is famed for founding the Fox Broadcasting Company with Rupert Murdoch and USA Broadcasting.
The post Barry Diller’s media company, People Inc, plans to take control of MGM Resorts appeared first on G3 Newswire.
Diller’s media company already holds 26.1 per cent of MGM Barry Diller’s media company, People Inc, has confirmed it is planning to make a bid to seize control of MGM Resorts in a deal that would value the casino operator at more than $18bn. MGM owns roughly 40 per cent of the Strip, which Diller…
The post Barry Diller’s media company, People Inc, plans to take control of MGM Resorts appeared first on G3 Newswire.