LAS VEGAS Billionaire John Paulson has upped his stake in MGM Resorts International, becoming the gaming company’s number two shareholder, behind company founder Kirk Kerkorian.
New York City-based Paulson & Co. has raised its ownership in MGM Resorts to 9.5% percent, adding 3.8 million shares to the 40 million shares it already owned. The share purchases were made in May and June, when MGM Resorts stock had an average price of about US$13.33. Based on that average, Paulson’s acquisition cost approximately US$50.6 million.
Kerkorian owns 37% of MGM Resorts through his Tracinda Corp.
Paulson also owns 4.6% of Boyd Gaming Corp. and 9.9% of Harrah’s Entertainment. Last week, Harrah’s filed paperwork with the U.S. Securities and Exchange Commission to list Paulson’s shares on the open market.