Deutsche Bank Reiterates Buy on MGM Resorts International

Deutsche Bank reiterates its Buy rating on MGM Resorts International MGM as the company announces credit facilities that should continue its deleveraging story. Deutsche Bank says, "This morning (2/13), MGM announced a private offering by CityCenter of $240 million in senior secured first lien notes. The notes will be additional notes of the $900 million 7.625% senior secured first lien notes due 2016. CityCenter intends to use the net proceeds of the offering, along with existing cash (~$172 mm at 4Q11 end), to repay $300 million of the outstanding balance of its $375 mm senior credit facility. Additionally, in conjunction with its private placement announcement, MGM announced preliminary results for CityCenter for the 4Q 2011." MGM closed at $14.63 a share on Friday.