PEOPLE INCORPORATED PROPOSES TO ACQUIRE MGM RESORTS INTERNATIONAL FOR $48.30 PER SHARE IN CASH

People Incorporated has announced a non-binding proposal to acquire all outstanding shares of MGM Resorts International for $48.30 per share in cash, valuing the transaction at approximately $48.3 million. This offer, made public on June 1, 2026, represents a substantial premium of 24.1% over the volume-weighted average price of MGM’s common stock for the 30 trading days leading up to May 29, 2026. People Incorporated currently holds a 26.1% stake in MGM, positioning itself as a significant player in this potential acquisition.

The proposal underscores People Incorporated's belief that MGM represents a unique investment opportunity, characterized by tangible assets that are less susceptible to technological disruption. Barry Diller, Chairman of People Incorporated, emphasized the company's conviction in MGM's long-term value, citing the potential for enhanced growth and the ability to unlock shareholder value. The acquisition is expected to be financed through a combination of existing cash reserves and additional debt and equity commitments, allowing for a swift execution of the transaction.

MGM Resorts International operates in a highly competitive sector, with its portfolio of resorts and casinos facing pressures from both traditional competitors and emerging digital entertainment platforms. The proposed acquisition by People Incorporated could signal a shift in strategy for MGM, potentially allowing it to focus on long-term growth initiatives without the immediate pressures of public market scrutiny. By becoming a private entity, MGM may have greater flexibility to invest in its operations and explore new revenue streams, particularly in the realm of digital and experiential offerings.

The broader implications of this transaction could reverberate throughout the gaming and hospitality sectors. If successful, it may encourage other strategic players to consider similar moves to consolidate ownership in high-value assets that are currently undervalued in the public markets. Additionally, the transaction could set a precedent for how companies in the sector approach capital structure and investment in growth initiatives, particularly in an environment where digital transformation is increasingly critical.

As the deal progresses, it will be essential to monitor the responses from MGM's Board of Directors and other stakeholders. The outcome of this proposal could reshape the landscape for both companies and the broader market, as investors and analysts assess the strategic rationale behind the acquisition and its potential impact on shareholder value. The anticipated engagement with regulatory bodies and the management team will also be crucial in determining the feasibility and timeline for this significant transaction.