Dubai World details offer for MGM shares
The subsidiary of Dubai World that plans to invest $5.1 billion into MGM Mirage announced its tender offer Monday to buy 14.2 million shares of MGM Mirage at $84 a share.
Last week, the holding company for the Persian Gulf state and the casino operator said the investment would include purchasing 50 percent ownership of the under construction $7.4 billion CityCenter and taking ownership of up to 9.5 percent of MGM Mirage.
MGM Mirage is selling 14.2 million new shares of the company to Dubai World for $84 a share; the other 14.2 million shares will be purchased on the open market.
Real estate company acquires industry rival
Prudential Commercial Real Estate Services has acquired Las Vegas-based IPG Commercial Real Estate Services for an undisclosed amount.
The two firms will merge resources and staff, moving to 127 E. Warm Springs Road, Suite A, in Las Vegas.
The move doubles the size of each company, bringing its combined personnel to roughly 25 people. IPG has leased or sold more than $726 million worth of office and industrial properties since 1993.
The 14-year-old company, founded by Dean and Jeanette Willmore, has conducted 1,076 commercial transactions in Southern Nevada.
Dean Willmore will be senior vice president of the newly merged entity — Prudential-IPG.
Prudential’s Art Carll will be president and managing director of the new company. Prudential CRES currently has 62 offices across 48 states.
Apple sued by user over iPhone charges
Apple was sued by a customer who says he incurred hidden high roaming fees on his iPhone while traveling internationally because of Apple’s exclusive contract with AT&T.
Herbert Kliegerman, who seeks to represent other iPhone purchasers in a class action, was charged $2,000 in international roaming fees after using his $599 iPhone for seven days in Mexico, he said in a complaint filed in state court in Manhattan.
Because of Apple’s contract with AT&T, the iPhone cannot be used with a foreign wireless carrier while overseas, which would cost less, he said in his complaint. Apple did not adequately disclose that restriction before Kliegerman bought three of the phones, he claims in his lawsuit.
Samsung expects more shipments of handsets
Samsung Electronics Co., Asia’s largest maker of mobile phones, expects shipments of handsets to rise to more than 40 million in the third quarter, a gain of about 7 percent from the three months ended June 30.
Samsung, which shipped 37.4 million mobile phones in the second quarter, gave the projection in a statement released before a press briefing in Seoul with Choi Gee Sung, the president of the company’s telecommunications division.
The company, also Asia’s largest maker of semiconductors and flat screens, has boosted sales of cheaper handsets to emerging markets to challenge Motorola in global handset sales. Samsung Samsung expects mobile-phone handset shipments to exceed 40 million in the third quarter.
Interest rates increase in Treasury auction
Interest rates on short-term Treasury bills rose in Monday’s auction to the highest levels in two weeks.
The Treasury Department auctioned $24 billion in three-month bills at a discount rate of 4.600 percent, up from 2.850 percent last week. Another $19 billion in six-month bills was auctioned at a discount rate of 4.59 percent, up from 3.95 percent last week.
The three-month rate was the highest since these bills averaged 4.63 percent on Aug. 13. The six-month rate was the highest since 4.71 percent, also two weeks ago on Aug. 13.
Treasury bond prices rise amid credit angst
U.S. Treasury bond prices rose Monday, albeit in a relatively calmer trading day, as credit concerns continued to linger.
At 5 p.m. EDT, the 10-year Treasury note was up $3.75 per $1,000 in face value, or 0.38 points, from its level at 5 p.m. Friday. Its yield, which moves in the opposite direction, fell to 4.57 percent from 4.62 percent.
The 30-year bond rose 0.47 points. Its yield fell to 4.86 percent from 4.89 percent.