MGM Growth Properties raises $1.05 billion in IPO

MGM Resorts International’s real-estate investment trust raised $1.05 billion in its initial public offering on Tuesday, The Wall Street Journal Reports.

In a press release from the company, MGM resorts announced the pricing of the initial public offering of 50,000,000 shares by its subsidiary MGM Growth Properties LLC.

MGM Growth Properties, which invests in properties such as casino resorts, said it priced its offering at $21 per share.

According to people close to the company, it sold 50 million shares.

MGM says the proceeds of the offerings will be used to purchase partnership units in a newly formed operating partnership that will acquire real estate associated with Mandalay Bay, The Mirage, New York-New York, Luxor, Monte Carlo, Excalibur, The Park, MGM Grand Detroit, Beau Rivage and Gold Strike Tunica.

MGM will hold 76 percent interest in the operating partnership, said the release.