Casino operator Crown has denied being in discussions with MGM Mirage or Dubai World over a possible investment in the CityCenter project in Las Vegas, US.
Due to widespread media speculation over the weekend that it was planning a direct investment in the development, Crown took the unusual step of responding to the rumours by denying any involvement in negotiations relating to the project.
MGM placed the future of CityCenter in doubt when it emerged that it was currently experiencing financial difficulties. In a regulatory filing last month the company revealed that it may default on its debts, which led to concern that the CityCenter project, which is scheduled to open later this year, would not be finished.
Following the news that its joint venture partner Dubai World had filed a lawsuit against the company and had requested a declaratory judgment to relieve it of its obligations under the companies’ agreement, MGM announced at the end of March that it had secured $200m in funding for the project. Although this satisfied the required sponsor equity contributions due on March 24, the operator said it would still be seeking additional funding to complete the construction of CityCenter.
