MGM And Wynn Cease Talks Over Boston Casino SaleMGM Cited 'Anxiety' Among Stakeholders As Reason For Ending Negotiations |
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Encore Boston Harbor will remain a property of Wynn Resorts Ltd.
Just a couple days after it was leaked that MGM International and Wynn Resorts were in talks about the sale of the first casino opened in the Boston area, the two gaming giants have since announced that those talks have ended.
“We have noted the anxiety raised by various stakeholders regarding a transaction and this troubles us,” MGM said in a statement earlier this week. “We think the best course of action is to discontinue discussions concerning this opportunity.”
The $2.6 billion casino is scheduled to open on June 23 in Everett, located just four miles north of Boston. Everett’s mayor, Carlo DeMaria, is one of the stakeholders in MGM International. It is rumored that he would have worked to block the potential sale.
The talks came as a shock to many in the gambling industry since they started just weeks after the Massachusetts Gaming Commission allowed Wynn Resorts to keep its gaming license in the state and fine them $35 million over the alleged sexual misconduct of its former CEO.
If the sale was completed, MGM would have been forced to sell its property in Springfield since according to state law, gaming operators are only allowed to have one property in the state.
MGM Springfield was opened just last August and according to reports, its revenue is falling very short of its projections.
Wynn released a statement of its own stating that they plan on moving forward with opening and operating Encore Boston Harbor as originally planned.
“At times, world class assets attract the attention of others and our board takes seriously its fiduciary duty to review such interest,” the statement read. “After careful consideration we have agreed to cease discussions with MGM Resorts.”
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