This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

MGM Mirage Weighs Detroit Move

MGM Mirage (MGG) is thinking about selling its MGM Grand Detroit casino to comply with Michigan state law as it looks to consummate its acquisition of Mandalay Resort Group (MBG).

MGM Mirage owns the Detroit casino with partners. But the merger would also give it a 53.5% indirect interest in the MotorCity Casino, also in Detroit. State law would prevent it from keeping both properties as it limits companies from holding more than one gaming license.

MGM Mirage had originally planned to shed Mandalay's interest in the MotorCity property, but now it's having second thoughts.

"MGM Grand Detroit and MotorCity are both great properties with consistently strong operating results and terrific growth prospects," said Terry Lanni, CEO of MGM Mirage, in a news release. "We initially expected that we would dispose of Mandalay's majority interest in MotorCity. However, since making that initial determination we have been approached by several parties concerning the possible sale of MGM Grand Detroit and we have decided to explore this alternative. If such a transaction were to occur, we would maintain Mandalay's interest in MotorCity and look forward to working closely with Mandalay's partners and the City of Detroit to develop and enhance that property."

On Thursday, Mandalay reported record third-quarter results and beat Wall Street estimates as business boomed at its Las Vegas casinos.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
MBG $27.38 0.00%
AAPL $130.28 0.00%
FB $81.53 0.00%
GOOG $565.06 0.00%
TSLA $218.42 0.00%

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs