Published on: June 2, 2026, 07:22h.
Updated on: June 2, 2026, 07:22h.
- An analyst suggests there’s a “possibility” that Diller’s People Inc. might sell MGM’s interests in Japan and Macau in a potential acquisition
- MGM China represents a “noteworthy component” in the overall strategy
- MGM Osaka is set to launch in 2030
If Barry Diller’s People Inc. (NASDAQ: IAC) successfully acquires MGM Resorts International (NYSE: MGM), they may consider selling MGM’s assets in MGM China and the future integrated resort in Japan.
This suggestion was highlighted by Vitaly Umansky from Seaport Research Partners in a recent analysis. He, along with some other researchers, believes that People’s bid of $48.30 per share for MGM, valuing it at $18 billion, might be undervalued partly due to the lack of emphasis on the worth of MGM China and MGM Osaka.
“If an agreement for MGM is reached, there is a likelihood that People Inc. may consider selling off its investments in MGM China and possibly MGM Japan,” remarks Umansky.
The Las Vegas-based casino operator holds a 56% share in MGM China, which operates two integrated resorts in Macau—MGM Cotai and MGM Macau. Diller’s media enterprise has yet to reveal any plans to divest MGM’s Asian assets publicly.
Evaluating the Value of MGM’s Interests in Macau and Japan
Based on rough calculations, MGM’s 56% ownership in its Macau division is valued at approximately $3.04 billion. Regarding MGM Osaka, with an estimated value of $8.9 billion, the U.S. company’s 40% share translates to about $3.56 billion.
Together, these assets add up to $6.6 billion, constituting over one-third of the offer made by Diller for MGM. Should People consider selling MGM China, there may be a plethora of interested buyers due to the challenges operators encounter in gaining a foothold in Macau.
“MGM China presents an intriguing facet of MGM’s overall strategy,” comments Umansky. “It has significantly outperformed the Macau market in recent years, and it has captured more market share in recent quarters than we anticipated.”
Generating considerable value for MGM Osaka in a sale could be more challenging, as the resort is not expected to open until 2030, meaning prospective buyers would be investing in expectations rather than proven performance.
Umansky further noted that People is earnest in pursuing MGM, mentioning that the media organization is “disappointed” with the gaming stock’s performance and aims to underscore its value for a wider market.
Additional Transaction to Keep an Eye On
In light of Diller’s proposal for MGM, some experts are speculating about the future of BetMGM—a joint venture equally shared between the casino powerhouse and Entain Plc (OTC: GMVHY). While neither Diller nor People have publicly discussed this topic, conventional wisdom suggests that should he assume control of MGM, he may seek full ownership of the digital gaming segment.
This scenario is plausible for various reasons. When MGM attempted to acquire Entain in 2021, Diller expressed willingness to finance part of that deal. Furthermore, his company boasts a strong history of acquiring online businesses and enhancing them into more competitive, profitable entities.