DUBAI, 23 August 2007 — A Dubai government investment firm said yesterday it will spend around $5 billion for a 9.5 percent stake in the MGM Mirage entertainment company and half of its CityCenter development in Las Vegas.
Dubai World said in a statement it had reached an agreement in which it will pay up to $2.4 billion for up to 28.4 million MGM Mirage shares.
The firm said it would also pay $2.7 billion for a stake in MGM Mirage’s multi-billion dollar retail and leisure complex planned to be completed in late 2009.
“The companies will enter into a 50-50 joint venture in the landmark CityCenter development in Las Vegas,” the firm said.
Dubai World has been increasingly making big investments overseas, including spending $1 billion to build new facilities at Cape Town’s Victoria and Alfred waterfront in time for the 2010 football World Cup in South Africa. “Our vision is to create a global portfolio of signature properties.”
