MGM Could be Interested in Buying Wynn Resorts

A new report has revealed that MGM Resorts International is showing some interest in rival Wynn Resorts as an acquisition target.

Though talks have not officially began, a source close to the situation has said that Wynn’s CEO Matt Maddox is willing to sell the company for the right price. The source has also said that there is a 50% chance that MGM could buy the company in the coming months.

Other sources have also said recently that they think MGM could make a bid for Wynn Resorts.

It was in February that MGM’s CEO James Murren had said he didn’t have an interest in the company, but rumors and talk are still circulating.

Perhaps the sentiment is now different due to Steve Wynn resigning in February and selling his entire stake in the company.

“I think Wynn might actually be acquired by another casino company now that Steve Wynn has stepped down from his operating role in the wake of those admittedly disturbing sexual misconduct allegations,” remarked Jim Cramer to TheStreet.com.

He aded, “I think it’s a natural takeover target for, say, Las Vegas Sands Corp. or even MGM. It doesn’t rally 10 bucks in one session idly for nothing.”

Disclaimer: We have no position in MGM Resorts International (NYSE: MGM) nor Wynn Resorts, Limited (NASDAQ: WYNN) and have not been compensated for this article.