MGM Resorts has been negotiating a potential deal with Barry Diller’s People Inc. after the media mogul offered to buy the casino giant, according to people familiar with the matter.
MGM set up a special board committee and lined up advisers to help evaluate the proposal, the people familiar with the matter said. MGM believes Diller’s offer undervalues the company, some of the people added.
Diller is being advised by bankers including some at JPMorgan Chase who are working to pull together financing for the deal, some of the people said.
Discussions between the parties heated up this month, some of the people said.
