November 27, 2024

MGM Resorts drops plans to buy British gambling company Entain

Buy British #BuyBritish

LAS VEGAS — MGM Resorts International said Tuesday it will not be making any more offers for the British gaming company Entain, owner of the storefront Ladbrokes bookmaking shops.

MGM said in a statement that Entain rejected its $11-billion all-stock offer.

Entain had publicly dismissed the offer, saying the proposed price “significantly undervalues the company and its prospects.”

The purchase was seen as a way for MGM Resorts to expand into the online gambling and sports betting markets. Brick-and-mortar casinos worldwide have taken a hit from coronavirus restrictions and a general reluctance of consumers to gather in public.

Las Vegas-based MGM’s long-term corporate strategy calls for “data-driven, digital and customer-centric innovations,” including online gambling and sport betting.

MGM is a major proponent of legalized sports betting in Massachusetts.

In America, Ladbrokes is best known for making publicity-grabbing proposition bets on everything from the name of the next royal baby to the odds of an impeachment of President Donald J. Trump.

Entain also provided technology for BetMGM, MGM’s online arm that launched in 2018.

MGM’s stock was trading at $31.11 a share Tuesday, up $1.31 on the day.

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