- MGM Resorts initially offered to buyout Entain Plc for $11.1 billion.
- IAC, and MGM Resorts Investor, offered an extra billion dollars to the deal.
- Entain, formerly known as GVC Holdings, has a joint venture with MGM for the online betting platform BetMGM.
LAS VEGAS – After weeks of speculation and over $12 billion dollars on the table later, MGM Resorts has officially ended its attempts to buyout Entain Plc.
MGM originally offered $11.1 billion to takeover Entain Plc in an all-stock deal. One of MGM’s top investors IAC even offered to up the deal by $1 billion after the initial offer was denied.
However, Entain denied the offer due to the fact that they believe they will be worth more with the joint venture they currently have with MGM.
Entain Plc, formerly known as GVC Holdings, began a joint venture with MGM in 2018 to create Roar Digital. Roar Digital is in charge of overseeing the popular online sports betting platform BetMGM. The legal sports betting site is now available in New Jersey, West Virginia, Tennessee, Indiana, Pennsylvania, Iowa, and Colorado with Michigan and Virginia coming up next.
“BetMGM, our U.S. sports betting and online gaming venture with Entain, remains a key priority for the Company as we continue to leverage our preeminent physical gaming, entertainment, and hospitality platform to expand digitally,” said Bill Hornbuckle, CEO of MGM Resorts International. “We believe that BetMGM has established itself as a top three leader in its markets and we remain committed to working with Entain to ensure its strong momentum continues as it expects to be operational in 20 states by the end of 2021.”
Entain’s CEO Shay Segev left the company during negotiations for a new position as the co-CEO for the streaming service DAZN. But, other chairmen stressed that it did not affect their decision to decline MGM’s offer.
Entain share prices fell 16% on the London Stock Exchange following the announcement from MGM.
– In his career, Hasan has worked both local and state government positions—including the Attorney General’s Office in Florida. On top of being familiar with the legislative process, he has also been researching and writing on the legality of sports betting across the US. Outside of work you’ll most likely find him producing or playing music, playing sports, or working on creative writing projects. You’ll also catch him at Doak Campbell Stadium cheering on the Noles.