MGM Resorts International has announced that it has closed the private offering to Emerging Corporate Limited – an entity owned indirectly by Ms Pansy Ho, the daughter of Macau casino magnate Stanley Ho. The offering was for US$300 million in aggregate principal amount of its 4.25% convertible senior notes due 2015. MGM received approximately US$311 million in net proceeds from the offering, the net proceeds of which will be used to repay a portion of the company’s outstanding debt.
“The closing of this transaction represents continued growth and alignment across our businesses with our MGM China Holdings joint venture partner, Ms Pansy Ho, and further improves the liquidity of MGM Resorts International,” said Jim Murren, Chairman & Chief Executive officer of MGM Resorts International.
The notes are convertible at an initial conversion rate of approximately 53.83 shares of the Company’s common stock per US$1,000 principal amount of the notes, representing an initial conversion price of approximately US$18.58 per share of the Company’s common stock.