Barry Diller’s media and investment company, People Inc., has submitted an all-cash proposal to acquire MGM Resorts International in a deal that values the casino and hospitality giant at more than $18 billion, marking one of the largest gaming industry takeover attempts of the year.
People Inc., formerly known as IAC, already owns a 26.1% stake in MGM Resorts and is offering $48.30 per share for the remaining stock it does not control. The offer represents a premium of roughly 10.6% compared with MGM’s previous closing price and would give People a controlling interest exceeding 50% if completed.
Diller has argued that MGM’s market valuation does not fully reflect the strength of its assets and growth prospects. His interest in the company dates back to the pandemic period, when he began building a significant position while travel and gaming stocks were under pressure. Since then, MGM has expanded its digital footprint through BetMGM while maintaining a dominant presence on the Las Vegas Strip and growing its international operations, particularly in Macau.
Under the proposal, MGM would become a privately held subsidiary of People Inc. The offer remains nonbinding, and MGM said it is reviewing the proposal with its advisers. Diller is expected to recuse himself from board discussions related to the potential transaction due to his existing role and ownership stake.
The announcement sparked a strong market reaction, with MGM shares climbing sharply following the news and trading above the proposed offer price as investors assessed the likelihood of a deal and the possibility of competing interest.
The bid comes amid a broader wave of consolidation in the casino sector. Just days earlier, billionaire Tilman Fertitta’s company agreed to acquire Caesars Entertainment in a transaction valued at approximately $17.6 billion, highlighting growing merger activity as major operators seek scale in a challenging market environment.