CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79.75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

MGM Resorts amends voting agreement after People Inc withdraws takeover proposal

By Reuters News

Oct 28 (Reuters) - MGM Resorts International MGM.N said on Wednesday it had amended its existing voting agreement with People Inc PPLI.O after the investor withdrew its previously announced proposal to acquire the casino operator.

Media mogul Barry Diller's People withdrew its more than $18 billion proposal in September to acquire MGM Resorts, ending a bid that would have combined the investment vehicle with one of the world's largest casino operators.

Here are more details:

  • The amended agreement requires People, Diller and related entities to vote their MGM shares in line with the board's recommendations in the event of a sale or change-of-control transaction, subject to certain conditions

  • The pact caps the group's combined ownership of MGM at 29.9%, restricting further share purchases beyond that threshold

  • MGM, meanwhile, agreed not to adopt defensive measures targeting People and its affiliates as long as they comply with the terms of the agreement

  • MGM Board Chairman Paul Salem said the agreement gives MGM flexibility to pursue share repurchases and, if appropriate, a change-of-control transaction in line with its fiduciary duties

  • MGM Resorts said the agreement does not commit either party to a transaction and that no deal is currently being considered, adding that it remains focused on its operating strategy and on its shareholders

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.