Kerkorian Seeks to Boosts MGM Stake

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Billionaire investor Kirk Kerkorian’s Tracinda Corp. on Wednesday said it plans to offer $55 a share in cash for up to 15 million shares of MGM Mirage, boosting its stake in the owner of the Bellagio in Las Vegas and other casinos to more than 60 percent. MGM Mirage shares rose more than 8 percent in morning trading, the Associated Press reports.


Tracinda – which is solely owned by Kerkorian – already holds 158.4 million shares of MGM Mirage, or 56.3 percent of the company’s outstanding stock.


The tender offer, which would be worth about $825 million, amounts to an additional 5.3 percent of MGM Mirage shares and would boost Tracinda’s stake to 61.7 percent of the casino company’s outstanding stock.


The offer price represents a roughly 12 percent premium over MGM Mirage’s closing stock price of $49 on Tuesday.


Read the full Associated Press story

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