A report by the Detroit News says an official with MGM Mirage has confirmed the company's gambling venue in Detroit is not any longer on the market. The MGM Grand Detroit did not attract bidders within the range desired by MGM, and the easing of the recession has the organization less worried about finding immediate sources of cash.According to the CEO of the Detroit casino, Lorenzo Creighton, the pool of potential bidders has declined because the idea first surfaced this past spring, and there haven't been "any buyers actively courting us for a while."
MGM had contracted with Morgan Stanley to seek out potential buyers and handle the sales of both the Grand Detroit and the Beau Rivage Casino in Mississippi. The corporate was under an urgent need for cash with the teetering on bankruptcy of its vast CityCenter complex, and preferred to sell casinos clear of its core Las Vegas Strip resorts.
The Treasure Island casino had already been sold to Phil Ruffin for $775 million before the start of the year, and declining earnings and maturing debt put MGM able of virtually certainly having to sell assets.
But reworking lending covenants helped ease the pressure at the casino operator, and the easing of the recession has allowed MGM officials to step back and view other plans to address the company's massive debt schedule.
Published on September 10, 2009 by A.J.Maldonado
Read More... [Source: MGM Casinos in the News]
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