MGM Resorts Considering Bid for People Inc.
The move comes after the Barry Diller-owned publisher withdrew a takeover bid for the hospitality company The post MGM Resorts Considering Bid for People Inc. appeared first on TheWrap .
MGM Resorts International is reportedly considering acquiring Barry Diller's People Incorporated, following the latter's withdrawal of a takeover bid, according to the Wall Street Journal. The initial proposal, announced in June, aimed to value MGM at approximately $18 billion. However, Diller expressed dissatisfaction with the proposed merger, stating that the deal was not progressing as hoped, and thus, he decided not to proceed with the acquisition at that time.
Despite the withdrawal, Diller maintained that People Inc. remains open to exploring strategic transactions with MGM in the future. People Inc., which holds a 27% stake in MGM Resorts, has a market capitalization of $2.68 billion and is focused on generating $40 million in annual cost savings by the first quarter of 2027. The company's portfolio includes popular brands such as Food & Wine, Real Simple, Southern Living, and others.
MGM Resorts, valued at $8.48 billion, operates 30 hotel and gaming destinations worldwide and has a joint venture in sports betting and online gaming, BetMGM. People Inc.'s shares increased by 8.5% in after-hours trading after the news broke, while MGM shares were flat after a 10.9% decrease.
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