One of the country’s largest gaming operators may put two additional casinos up for sale. MGM Resorts may look to sell properties in Ohio and Massachusetts in an attempt to boost the company’s stock price, according to recent reports.
The company is Consider leaving to MGM Northfield Park, a horse track and casino near Cleveland, Ohio, and MGM Springfield in Massachusetts, according to Bloomberg.
“The company is working with financial advisors, but the discussions are preliminary and may not lead to any action,” the news service reported. “MGM management has been frustrated with the company’s stock price. The stock has risen less than 5% over the past two years despite growing sales and profits. The largest casino operator on the Las Vegas Strip is looking to boost its exposure to online gambling in the United States and abroad.
Massachusetts casino financially disappointing
MGM It does not own the properties of either property, but manages on-site casino operations. The company has moved toward this business model over the past few years, including with its casinos on the Las Vegas Strip. Visi Properties, a New York real estate investment firm (I wish) company, owns the real estate in both properties being considered for sale.
There was no official comment from MGM Not yet, but Springfield Mayor Domenic Sarno said this week he was meeting with MGM CEO Bill Hornbuckle to discuss the issue.
“I talked to MGM International Resorts CEO And Chairman Bill Hornbuckle has agreed to meet with me in my office in the very near future to discuss the situation MGM “Springfield,” Sarno said. “I assure you that my first priority is to protect the interests of the city of Springfield.”
Hornbuckle has expressed disappointment with Massachusetts casino results in the past. The property was unveiled in 2018 and the company’s original estimates were that the casino would generate revenue of $34 million per month, but this is actually much less. The property’s highest monthly revenue was $26 million, the first month the casino was open.
“Our original assessment of this market was simply out of control,” Hornbuckle said last year.
It’s been a bit of a turbulent year for me MGM. The company was subjected to a hacking incident last year, which caused many of the company’s computer systems to stop working. Former executive officer at MGM Grande also recently pleaded guilty to money laundering charges.
