MGM RESORTS INTERNATIONAL ANNOUNCES AN OFFER TO ACQUIRE GLOBAL ONLINE GAMING COMPANY LEOVEGAS

Continuing our success and growth in digital games, MGM Resorts expands internationally with the acquisition of LeoVegas

LeoVegas’ Global Presence, Strong Team and Technology Capabilities to Drive International Development of MGM Resorts Digital Gaming and Sports Betting

LA VEGAS, May 2, 2022 /PRNewswire/ — MGM Resorts International (NYSE: MGM) (“MGM Resorts” or the “Company”) today announced the launch of a recommended tender offer for 100% of the shares of LeoVegas AB (publication). ) (“LeoVegas”) at the price of SEK61.00 in cash per share, equivalent to a total offering value of approximately $607 millionI. The acquisition will be funded from existing cash and is expected to be accretive to MGM Resorts’ earnings and cash flow per share.

“Our vision is to be the world’s leading gaming entertainment company, and this strategic opportunity with LeoVegas will allow us to continue to expand our reach around the world,” said the CEO and Chairman of MGM Resorts. Bill Hornbuckle. “We have had remarkable success with BetMGM in the United States and with the acquisition of LeoVegas in Europe we will expand our online gaming presence globally. We believe this offering creates a compelling opportunity that allows the combined teams of MGM Resorts and LeoVegas to accelerate our global digital games growth and realize the full potential of our omnichannel strategy. We look forward to welcoming the LeoVegas team to our MGM Resorts family.”

Founded in 2011 by Gustaf Hagman and Robin Ramm-EricsonLeoVegas is one of the world’s leading online gaming companies with licenses in eight jurisdictions, primarily in the Nordic countries and the rest of the Europe. LeoVegas generated €393 million in revenue and 48 million euros in adjusted EBITDAii in the last twelve months ended March 31, 2022. The company is headquartered in stockholm with offices at Malta, UK and Milano.

MGM Resorts believes the acquisition of LeoVegas will provide the company with a unique opportunity to build a large-scale, global online gaming business with the following attributes:

  • Strategic opportunities to accelerate growth and product offerings – LeoVegas’ online casino and sports betting capabilities and strong customer base outside of the United States are expected to further expand MGM Resorts’ presence globally.
  • Experienced online game management team and superior technological capabilities – The LeoVegas management team has demonstrated the ability to develop a robust and scalable technology platform with advanced product offerings.
  • Commitment to continued profitable growth – LeoVegas has been operating profitably as a high-growth platform since 2014. From 2017 to 2021, LeoVegas’ revenue compound annual growth rate was 16%, while maintaining strong profitability. The scale, brands and expertise of MGM Resorts will enable the combined businesses to expand into existing game segments and provide additional opportunities to enter new areas.

The offer acceptance period is expected to begin on or about June 2022 and expires on or about August 2022. An offering document regarding the offer is expected to be made public shortly before the start of the acceptance period. Assuming the offer is declared unconditional by the end of August 2022settlement should start near the beginning September 2022.

The offer is subject to certain regulatory approvals, the receipt of valid offers for more than 90% of LeoVegas shares and customary closing conditions. It is expected to be completed in the second half of fiscal 2022.

Advisors

MGM Resorts has retained Goldman Sachs & Co. LLC. as financial advisor, Advokatfirman Vinge KB and Weil, Gotshal & Manges LLP as legal advisor and Fox Rothschild as gaming advisor in connection with the offer.

About MGM Resorts International

MGM Resorts International (NYSE: MGM) is an S&P 500® global entertainment company with national and international locations offering best-in-class hotels and casinos, state-of-the-art meeting and conference spaces, incredible live and theatrical entertainment, and a huge range of dining, nightlife and retail offerings. MGM Resorts creates immersive and iconic experiences through its suite of Vegas– inspired brands. The MGM Resorts portfolio includes 32 unique hotel and gaming destinations around the world, including some of the most recognizable resort brands in the industry. The Company’s 50/50 business, BetMGM, LLC, offers online sports betting and gaming in the United States through market-leading brands, including BetMGM and partypoker. The Company is currently pursuing targeted expansion into Asia thanks to the resort opportunity integrated into Japan. Through its “Focused on What Matters: Embracing Humanity and Protecting the Planet” philosophy, MGM Resorts is committed to creating a more sustainable future, while striving to make a greater difference in the lives of its employees, customers and communities where it operates. . MGM Resorts’ global employees are proud to have their company recognized as one of the World’s Most Admired Companies by FORTUNE® magazine. For more information, visit www.mgmresorts.com. Please also contact us @MGMResortsIntl on Twitter as well as Facebook and instagram.

Forward-looking statements

Statements in this press release relating to future condition or circumstances, including statements regarding future performance, growth and other trend projections and their underlying assumptions, statements regarding plans, objectives, intentions and expectations regarding future financial results, events, operations, services, product development and potential and other effects of the offering, are forward-looking statements. These statements can usually, but not always, be identified by the use of words such as “plans”, “intends”, “expects”, “believes”, “estimates”, “plans”, “will” or similar expressions. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Actual results and developments may differ materially from those expressed, implied or projected in these forward-looking statements due to numerous factors, many of which are beyond MGM Resorts’ control. Forward-looking statements appear at several places throughout this announcement and information incorporated by reference in this announcement and may include statements regarding expectations at the closing of the offer and the current intentions, beliefs or expectations of MGM Resorts or LeoVegas. regarding, among other things: (i) future capital expenditures, expenses, revenues, profits, synergies, economic performance, indebtedness, financial condition, dividend policy, losses and future prospects; (ii) business and management strategies, expansion and growth of MGM Resorts’ or LeoVegas’ business activities and potential synergies resulting from the offering; and (iii) the effects of government regulation and industry changes on the business of MGM Resorts or LeoVegas. Any forward-looking statements made herein speak only as of the date on which they are made. Except as required by tender offer rules or applicable law or regulation, MGM Resorts expressly disclaims any obligation or undertaking to publicly announce updates or revisions to any forward-looking statements contained in the offer to reflect any change in expectations with respect thereto or any change in events, conditions or circumstances on which such statement is based. The reader should, however, consult any additional information that MGM Resorts or LeoVegas has made or may make.

A longer version of this release and further information is available at: http://investors.mgmresorts.com/investors/leovegas

MGM RESORT CONTACTS

Investment community:
ANDREW CHAPMANInvestor Relations Director
(702) 693-8711, [email protected]

Media:
BRIAN AHERNexecutive director of communications
[email protected]

I Based on 97,652,970 LeoVegas shares outstanding and USD/SEK exchange rate of 9.814.
ii Definition of Adjusted EBITDA according to LeoVegas financial reports. The amount was calculated as the sum of the Adjusted EBITDA figures in LeoVegas’ financial reports for the second, third and fourth quarters of 2021 and the first quarter of 2022.

SOURCEMGM Resorts International

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