MGM Resorts forms committee to evaluate real estate portfolio
MGM Resorts International has formed an ad-hoc board committee to evaluate its real estate portfolio and make strategic, value-enhancing recommendations.
The operator says the committee will comprise three independent directors: John Kilroy, Keith Meister and Paul Salem, who have extensive experience with real estate and financial markets.
The main objectives of this committee will remain in line with MGM Resorts’ existing strategy of enhancing free cash flow per share, maximising value of owned real estate and preserving financial stability.
Jim Murren, Chairman and CEO of MGM Resorts, said: "John, Keith and Paul have relevant experience and the board will leverage their knowledge as they analyse and evaluate opportunities. MGM prides itself on our capacity to nimbly respond to market opportunities.
"The formation of this committee is an extension of this focus by both the board and management, as we continually explore how best to take advantage of the enormous value we have developed to date and seek opportunities on behalf of our shareholders."
On 3 January, MGM Resorts detailed its strategic business plan, MGM 2020, setting out targets to reach and levels of efficiency to achieve.
The operator expects to deliver adjusted EBITDA uplift of $300m on aggregate, consisting of $200m by the end of 2020 and an additional $100m in 2021.