MGM Reviews $18 Billion Takeover Proposal as Digital Growth Lifts Quarterly Revenue

MGM Resorts International confirmed it is still weighing an $18 billion takeover proposal from Barry Diller’s People Incorporated, even as the casino giant posted sharply higher profit and steady revenue growth for the second quarter of 2026. Consolidated revenue climbed 1% year over year to $4.5 billion, while net profit attributable to MGM soared 497% to $292.4 million.

The results give MGM’s board fresh financial context as it decides how to respond to one of the biggest potential buyouts in the gaming industry’s recent history — a deal that would take the Las Vegas Strip mainstay private under the company formerly known as IAC.

Inside the $18 Billion Offer

People Incorporated, which already owns 26.1% of MGM’s outstanding shares, proposed an all-cash offer of $48.30 per share for the rest of the company it doesn’t already control, valuing MGM’s equity near $12.4 billion and the full enterprise, including debt, at roughly $18 billion. Diller first unveiled the bid on June 1, representing more than a 10% premium over MGM’s closing price at the time.

MGM CEO Bill Hornbuckle confirmed that a special committee of independent directors, working with outside financial and legal advisors, is continuing to evaluate the proposal. “The committee continues to evaluate the proposed transaction in consultation with independent outside advisors,” Hornbuckle said. “I’m confident our board will pursue the course of action that’s in the best interest of the company and our shareholders.”

Reports have indicated MGM’s board believes the current offer undervalues the company, and MGM shares have recently traded near or slightly below the proposed price, suggesting investors see a deal as plausible but not certain. Analysts consider a rival bid unlikely given Diller’s substantial stake and his stated intent not to sell to a competing acquirer.

Digital and Las Vegas Drive the Quarter

MGM Digital was the standout growth engine, with revenue up 20% to $196 million, though the segment’s adjusted EBITDAR loss widened to $31 million from $26 million a year earlier as the company continues to invest in its online sportsbook and casino business through BetMGM.

Las Vegas Strip Resorts, MGM’s largest segment, posted a 3% revenue increase to $2.2 billion on higher hotel occupancy and room rates alongside stronger casino and entertainment performance. Regional Operations revenue slipped 4% to $924 million as casino revenue softened, while MGM China held flat at $1.1 billion in revenue even as adjusted EBITDAR there fell 15% to $257 million.

Across the entire company, casino revenue rose 2% to $2.38 billion and food and beverage revenue grew 3% to $802.3 million, while rooms revenue dipped slightly and entertainment/retail revenue declined 5%. Operating profit for the quarter increased 24% to $503.6 million, though adjusted EBITDA fell 6% to $610 million. First-half revenue for 2026 is up 3% to $8.91 billion.

What Comes Next

MGM said construction on its Osaka integrated resort remains on schedule for a 2030 opening, with more than 60% of foundation piles complete. Executives also pointed to strong demand tied to major live events in Las Vegas — Hornbuckle cited the market’s response to marquee draws like a Conor McGregor fight and a BTS appearance — as a continuing driver even as international visitation and California drive-in traffic remain softer than pre-pandemic levels.

With no timeline disclosed for a decision on the takeover, the next signal for investors will likely come from further special committee updates or a formal counteroffer, as MGM balances its improving core operating performance against a buyout price its board has so far indicated undervalues the business.