Dubai World Takes A Gamble

Dubai World has increased its stake in casino projects on the Las Vegas Strip with partner MGM Mirage.

Dubai World subsidiary Istithmar Hotels FZE will take a $300 million, 25 percent stake in a venture that MGM had announced in June – a multibillion-dollar resort on the Strip.

MGM will contribute 40 acres of a 78-acre parcel of land it owns and have a 50 percent stake in the venture.

Kerzner International Holdings will own the remaining 25 percent. MGM Mirage shares rose 1.4 percent to $83.76 after the September 11th announcement.

Dubai World is a holding company for the Persian Gulf state of Dubai.