Barry Diller Wong Inc. has withdrawn the proposal to buy MGM Resorts Internationalsend the shares of the casino giant down approximately 11% there.
The update comes nearly four months after Diller’s company offered to buy MGM Resorts for $48.30 per share. People Inc. already owns approximately 26.1% stake in MGM.
Diller, chairman of People Inc. – formerly known as IAC – attributed the decision to the complex nature of the deal.
“There are a lot of ingredients that go into a proposal of this type to get it done,” Diller said in a press release. “We didn’t feel that the mix was what we wanted and decided not to take the company private at this time.”
CNBC’s David Faber reported Thursday that Diller canceled the deal because of the significant debt burden it would create for the company.
However, Diller said he would like to consider a deal in the future.
“We in People Incorporated remain open and interested in the possibility of a strategic transaction with MGM Resorts and look forward to considering several alternatives,” he said in a release.
Earlier this week, shareholders from Caesars Entertainment approved the offer of billionaire Tilman Fertitta to acquire the casino company for $ 17.6 billion. Caesars shareholders will receive $31 per share in cash.
– CNBC’s Contessa Brewer contributed to this report.