The offered notes will have the same standing as any other senior notes the company announced. In the statement, MGM said, “The notes being offered will be general unsecured senior obligations of the Company, guaranteed by substantially all of the Company's wholly owned domestic subsidiaries that guarantee the Company's other senior indebtedness, and equal in right of payment with all existing or future senior unsecured indebtedness of the Company and each guarantor.”
The proceeds from the offering will go towards general corporate purposes, including the refinancing of the existing debts. The company kept the right to invest the money in short-term interest-bearing accounts or similar investments. The statement from MGM also directly names the joint book-running managers and co-managers that will be attached to the offering, including J.P. Morgan Securities LLC, Barclays Capital Inc. and Credit Agricole Securities (USA) Inc.
MGM Resorts is yet to release its Q3 results for 2020, but so far the operator has had a turbulent year. The casino operator saw consolidated net revenue decrease by 91% in Q2 year-on-year, totalling $290m. All of MGM's land-based casino properties across the globe have now been reopened following COVID-19 enforced closures.
