MGM RESORTS INTERNATIONAL ANNOUNCES NEW $2.0 BILLION SHARE REPURCHASE PROGRAM

Rhea-AI Summary

MGM Resorts International (NYSE: MGM) has announced a $2.0 billion share repurchase program, reinforcing its commitment to returning value to shareholders. This new initiative follows a previous $3.0 billion plan, where 60 million shares, valued at $2.5 billion, were bought back. As of March 1, 2022, $524.6 million remains under the old plan. The company intends to utilize those funds before initiating the new buyback. CFO Jonathan Halkyard emphasized the significant value in their shares at current levels, demonstrating confidence in future performance.

Positive

• Authorization of a new $2.0 billion share repurchase program, indicating strong shareholder value focus.
• Previously bought back 60 million shares for $2.5 billion, showcasing a proactive capital allocation strategy.
• Remaining $524.6 million capacity under the previous repurchase plan shows commitment to returning cash to shareholders.

Negative

• None.

LAS VEGAS, March 2, 2022 /PRNewswire/ -- MGM Resorts International (NYSE: MGM) ("MGM Resorts" or the "Company") today announced that its Board of Directors has authorized a new $2.0 billion share repurchase program. 

"We remain committed to our capital allocation strategy and continue to believe that returning cash to shareholders is a highly productive use of our capital," said Jonathan Halkyard, CFO of MGM Resorts. "We're pleased that our Board has authorized a new share repurchase program as we believe there is tremendous value in our shares at current levels."

Pursuant to the terms of the company's $3.0 billion repurchase plan authorized in February 2020, the Company has purchased 60 million shares, representing $2.5 billion. As of March 01, 2022, the Company has $524.6 million remaining under this repurchase plan. The Company plans to utilize the remaining capacity under this repurchase plan prior to effecting any repurchases under the new $2.0 billion repurchase program.

Under the stock repurchase program, which is designed to return value to the Company's shareholders, the Company may repurchase shares from time to time in the open market or in privately negotiated agreements. Repurchases of common stock may also be made under a Rule 10b5-1 plan, which would permit common stock to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws. The timing, volume and nature of stock repurchases will be at the sole discretion of management, dependent on market conditions, applicable securities laws, and other factors, and may be suspended or discontinued at any time.

About MGM Resorts International
MGM Resorts International (NYSE: MGM) is an S&P 500® global entertainment company with national and international locations featuring best-in-class hotels and casinos, state-of-the-art meetings and conference spaces, incredible live and theatrical entertainment experiences, and an extensive array of restaurant, nightlife and retail offerings. MGM Resorts creates immersive, iconic experiences through its suite of Las Vegas-inspired brands. The MGM Resorts portfolio encompasses 32 unique hotel and gaming destinations globally, including some of the most recognizable resort brands in the industry. The Company's 50/50 venture, BetMGM, LLC, offers U.S. sports betting and online gaming through market-leading brands, including BetMGM and partypoker. The Company is currently pursuing targeted expansion in Asia through the integrated resort opportunity in Japan. Through its "Focused on What Matters: Embracing Humanity and Protecting the Planet" philosophy, MGM Resorts commits to creating a more sustainable future, while striving to make a bigger difference in the lives of its employees, guests, and in the communities where it operates. The global employees of MGM Resorts are proud of their company for being recognized as one of FORTUNE® Magazine's World's Most Admired Companies®. For more information, please visit us at www.mgmresorts.com. Please also connect with us @MGMResortsIntl on Twitter as well as Facebook and Instagram.

MGM RESORTS CONTACTS:
Investment Community, ANDREW CHAPMAN, Director of Investor Relations, (702) 693-8711, achapman@mgmresorts.com, OR News Media, BRIAN AHERN, Executive Director of Communications, media@mgmresorts.com

 

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SOURCE MGM Resorts International

FAQ

What is the new share repurchase program amount for MGM?

MGM Resorts has authorized a $2.0 billion share repurchase program.

How much was previously repurchased by MGM Resorts?

MGM Resorts has repurchased 60 million shares for a total of $2.5 billion under a previous plan.

Why is MGM Resorts initiating a new buyback program?

MGM Resorts believes there is significant value in its shares at current levels, making share repurchase a productive use of capital.

When is MGM Resorts planning to initiate the new buyback program?

MGM Resorts plans to utilize the remaining $524.6 million under its previous repurchase plan before initiating the new $2.0 billion program.