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MGM Resorts Worldwide introduced yesterday that it might dump its Northfield Park location in Ohio for $546 million. It’s being offered to an affiliate of personal funds managed by Clairvest Group, and the deal might be achieved fully in money. It comes as MGM Resorts additionally unexpectedly pulled out of its New York on line casino bid race.
Clairvest has a portfolio that features different gaming investments, primarily from the on line casino perspective. The portfolio comprises The Nash On line casino, Meadowlands Racing & Leisure, and Delaware Park On line casino. Over time, they’ve invested in 36 completely different gaming property.
As part of the deal, VICI Properties has entered into a brand new separate lease with the affiliate behind the acquisition. Talking within the VICI Properties press launch, John Payne, President and Chief Working Officer of VICI Properties, mentioned:
“This transaction is yet one more instance of VICI’s capability to collaborate with new and present companions for mutually useful outcomes.
“We’re excited so as to add our 14th tenant, and primarily based on Clairvest’s observe document in North American gaming, we imagine of their capability to keep up Northfield Park’s robust aggressive standing in Ohio gaming.”
After all the pieces is alleged and achieved, MGM expects to see a complete of roughly $420 million. The situation itself managed to earn roughly $137 million in 12 months after changes. MGM acquired it again in 2018 from Onerous Rock, which had it underneath its Rocksino model, and so they paid $275 million.
MGM Resorts Worldwide CEO weighs in on sale
Talking within the press launch, Invoice Hornbuckle, CEO & President, MGM Resorts Worldwide, mentioned:
“I wish to thank our MGM Northfield Park staff who’ve constantly delivered world-class gaming and leisure experiences to our visitors. This can be a nice property with nice alternative forward.
“At MGM Resorts, our imaginative and prescient is to be the world’s premiere gaming leisure firm. To realize this imaginative and prescient, we’re targeted on rising our digital enterprise, creating our worldwide enlargement alternatives, and persevering with to spend money on our main built-in resorts domestically.”
Jonathan Halkyard, CFO & Treasurer, MGM Resorts Worldwide, added:
“This is a wonderful end result for MGM Resorts and demonstrates consistency in driving transaction multiples at significant premiums over the place MGM Resorts at present trades.
“The divestiture underscores MGM Resorts’ distinctive monetary stewardship, delivering substantial worth effectively past the unique acquisition value.
“We admire VICI, as the true property proprietor of MGM Northfield Park, working constructively with Clairvest to facilitate a brand new lease settlement.”
MGM expects the deal to shut within the first half of 2026, so long as regulators again the deal.
Featured picture: MGM Resorts Worldwide
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