U.S.-based casino operator MGM Resorts International is doubling the size of a public offering for senior notes.
It is now offering US$1 billion of the 5.750-percent unsecured senior notes – due in 2025 at par – compared to the US$500 million proposed in a preliminary prospectus.
The company said it intends to use the net proceeds from the offering for “general corporate purposes, which could include refinancing existing indebtedness, funding a portion of the cost of acquisitions the company consummates, paying dividends on common stock or repurchasing common stock in accordance with the company’s share repurchase programme”.
MGM Resorts added that pending such use, it might invest the net proceeds of the offering in “short-term, interest-bearing accounts, securities or similar investments”.
The transaction is expected to close on June 18, the company said in a Thursday press release.
The casino group has ambitions for a number of capital-intensive ventures, including a casino licence in Japan, where the capital cost of a resort could be US$10 billion, according to James Murren, MGM Resorts’ chairman.
MGM Resorts is the parent of Macau casino licensee MGM China Holdings Ltd, which is the operator of the MGM Macau and MGM Cotai casino resorts.
In May, Grant Bowie, chief executive of MGM China, mentioned that the Macau unit would like to build a 900-room hotel tower extension to MGM Cotai “some time in the next three years”. MGM Cotai launched to the market in February.
Jul 30, 2021Crane Co has inked a new US$650-million, five-year revolving credit agreement, the firm announced on Thursday. The new revolving credit replaces an existing US$550 million revolving credit...
Number of new-to-market casino tables – all for mass-market gaming – granted by Macau’s casino regulator to SJM Holdings for the firm's new Grand Lisboa Palace resort