Land and Buildings: MGM Needs New 'Voices And Skill Sets' On Its Board; Says NAV Is $30-$33

In the presentation, the firm stated, “After additional analysis and in observing the Company’s responses to our engagement, we have concluded that the Board requires meaningful change in order to ensure that the Company undertakes a credible review of all reasonable alternatives to create sustainable shareholder value, including, but not limited to, our proposed REIT structure.”

On Friday, Land and Buildings Investment Management issued a statement regarding the support of Tracinda Corporation in “evaluating all avenues to deliver value at MGM, including a potential REIT conversion.”

The firm also stated that based on its analysis, it believed the net asset value of MGM was in the range of $30-$33 a share and represented “significant upside to the current share price.”

Land and Buildings concluded that “the lack of urgency MGM has demonstrated to date around exploring ways to enhance shareholder value” it believed “that the addition of new voices and skill sets to the board of MGM is needed, and needed now."

MGM Resorts International recently traded at $21.49, up 1.58 percent.