[Asia Economy Reporter Yujin Cho] The Mirage in Las Vegas, the emperor of the global casino industry, is being sold for $1.075 billion (approximately 1.2712 trillion KRW).
On the 14th (local time), according to Bloomberg and other sources, MGM Resorts International, a major U.S. casino resort group, announced that it will sell the Mirage Hotel and Casino to Hard Rock International.
The entire sale amount will be paid in cash. After taxes and fees, MGM is expected to receive about $815 million in cash from this sale.
The deal includes the condition that the Mirage trademark can be used for up to three years, and the transaction is expected to be finalized in the second half of next year.
Paul Salem, chairman of MGM, said in a statement, "This sale marks the conclusion of a series of changes at MGM Resorts over the past several years."
MGM acquired and operated the Mirage Casino in 2000 but put it up for sale last month as part of a plan to streamline its real estate portfolio.
The Mirage Casino Hotel, built by casino mogul Steve Wynn, opened on November 22, 1989. Located in the heart of Las Vegas, it is famous for its nightly fire-breathing volcano sculpture show in front of the hotel.
MGM currently operates famous casino facilities in Las Vegas such as Bellagio, Luxor, and Mandalay Bay. Hard Rock International is a Florida-based hotel and casino operator.
Jim Allen, CEO of Hard Rock International, plans to demolish the volcano sculpture and extensively remodel the resort after the acquisition. CEO Allen envisions investing $1.5 billion to build a guitar-shaped hotel building and open a live performance venue, among other plans.
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