Digital media and internet services company InterActive Corp (IAC) has purchased shares worth approximately $41.7 million in MGM Resorts International, according to a filing with the Securities and Exchange Commission.
The shares, purchased between Aug. 11 and Aug. 23, serve to increase IAC’s stake in MGM Resorts to 16.5%, as the company looks to capitalize on a period of growth in the online gaming and sports betting industry.
The move could be strategic given recent stock price fluctuations. The shares have fluctuated between $27 and $35 over the past two months, falling from prices between $45 and $48 at the start of the year.
In February, MGM Resorts International and IAC each purchased 4.5 million shares of MGM Resorts common stock, sold by management and investor relations firm Corvex Management.
At that time, the shares were valued at $45 each, with the two companies spending a combined total of $405 million to acquire them. Previously, IAC bought a 12% stake in MGM Resorts, in a 2020 deal valued at more than $1 billion.
This latest move is indicative of IAC’s interest in MGM Resorts as the company continues to grow and expand in the online gaming vertical. IAC President and Senior Executive Barry Diller received approval to work in the casino business by the Nevada Gaming Commission (NGC) in May of this year.
The decision comes despite NGC recently questioning Diller about suspicious bets made on Activision Blizzard’s sales, shortly after the game’s developer was acquired by Microsoft in January 2022.
About MGM Resorts International
MGM Resorts International’s resorts and casinos are some of the most famous in the world. The 28 destinations are renowned for their winning combination of quality entertainment, luxurious facilities and exceptional customer service.
In addition, the group is actively expanding its presence globally, with potential developments in various domestic and international markets.
