Genting Singapore, a prominent casino operator, has denied recent media reports suggesting a takeover approach from MGM Resorts International. Despite the initial news causing a surge in stock prices, Genting Singapore halted trading and addressed the Singapore Exchange’s query regarding the unusual price movements. While the operator confirmed an unsolicited approach for the stake held by its executive chairman, it emphasized that no ongoing discussions concerning a potential transaction were taking place. Genting Singapore remains committed to adhering to disclosure rules and will provide updates if necessary.
Dismissing Takeover Speculation:
Genting Singapore has refuted claims of a takeover approach by MGM Resorts International, asserting that it is not engaged in any ongoing discussions regarding a potential transaction. Media reports suggesting a potential deal triggered a surge in stock prices, prompting the operator to call for a trading halt and respond to the Singapore Exchange’s query regarding the unusual price movements.
Clarification on Unsolicited Approach:
While Genting Singapore denied involvement in discussions with MGM Resorts, it acknowledged an unsolicited approach made to its executive chairman, Tan Sri Lim Kok Thay, who also holds an indirect controlling stake in the company. However, Genting Singapore clarified that the approach was not pursued, indicating that it was unrelated to the media reports of a potential takeover by MGM Resorts.
Commitment to Disclosure and Transparency:
Genting Singapore reaffirmed its commitment to adhering to Singapore Exchange rules and promptly disclosing any information that may impact its business or associated companies. The operator stated that it was not aware of any undisclosed material information that could explain the trading activity on the reported day. Genting Singapore assured stakeholders that it would make the necessary disclosures at the appropriate time, ensuring transparency and compliance with regulatory guidelines.
Market Impact and Investor Sentiment:
Following the initial takeover reports, Genting Singapore’s stock experienced a significant surge of up to 9.3%, marking the most substantial increase in nearly two years. However, the subsequent trading halt and the operator’s denial of ongoing discussions contributed to market uncertainty and potential fluctuations in investor sentiment. Stakeholders will closely monitor future developments and announcements from Genting Singapore to gain clarity on the company’s strategic direction.
Genting Singapore has dismissed reports of a takeover approach by MGM Resorts International, stating that it is not engaged in any ongoing discussions regarding a potential transaction. The operator clarified that an unsolicited approach made to its executive chairman was unrelated to the media reports.
Genting Singapore remains committed to maintaining transparency, adhering to disclosure rules, and promptly updating stakeholders if any material information arises. As the market continues to speculate, investors will closely monitor the company’s future announcements to gain insights into its strategic direction and potential business developments.