Snow Lake Capital urges MGM Resorts International to sell 20% stakes in MGM China

Imagesource:SimpleViews
Imagesource:SimpleViews

One of the largest public shareholders in MGM China, an Asian investment management firm called Snow Lake Capital has urged MGM Resorts International to sell 20% of its stake in MGM China.

MGMRI holds 56% stakes in MGM China while Snow Lake Capital holds 8% of the outstanding share.

Snow Lake Capital addressed MGMRI in an open letter for considering such suggestion as the potential buyer of the shares could be a Chinese company. Such transaction could increase shareholder value to both companies, believes Snow Lake Capital.

Snow Capital also insisted that it would be useful for diversification and future internationalization efforts along with the possibility of having non-gaming resources at disposal that would be brought by potential buyer of those shares.

As per Gambling Insider, the open letter was signed by Snow Lake Capital founder and chief investment officer Sean Ma.