MGM Mirage and Ho plan Macau casino IPO in third quarter

“I’m confident we’ll get the IPO done in the third quarter, probably in the August, September time frame,” Murren said today in an interview with Bloomberg Television. The venture has selected lead underwriters, said Murren, who declined to name them.

The company follows Las Vegas-based rivals Wynn Resorts Ltd. and Las Vegas Sands Corp., which raised funds by selling stakes in their operations in Macau, the world’s biggest gambling market. Gross revenue at Macau’s casinos increased 10 % to a record of more than us$ 14.9 billion in 2009, according to government data.

MGM Mirage plans to sell us$ 850 million in secured bonds between now and June, Murren said. Creditors approved the move last week under amendments and an extension of part of MGM Mirage’s bank facility.

“We can work on our time frame,” Murren said. “Rates are fairly attractive right now and that will push out another big part of our debt into 10-year paper, plus will give us more flexibility in the near term.”

MGM Mirage rose 16 cents, or 1.5 %, to us$ 10.85 in New York Stock Exchange composite trading. The shares have gained 19 % this year.