Rubbish Check
CNBC Top News · 24 September 2026
source“MGM Resorts shares sink 9% after Barry Diller’s People Inc. rescinds takeover offer”
R1/ 10
Base fact
Rubbish Rating — 1 = base fact, 10 = pure rubbish
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In short
Rubbish Talk rates CNBC's claim that MGM Resorts shares fell 9% after Barry Diller's People Inc. pulled its buyout offer a 1/10, because both the 9% drop and the withdrawal are corroborated figures straight from the company's own press release and confirmed independently by Reuters.
The Verdict
Base fact. The headline states exactly what happened, a specific stock move tied to a specific corporate announcement, with no adjectives doing spin work. Reuters independently confirmed the same 9% decline on the same day, and the reason given (Diller's own quote about the "mix" not coming together) is reported straight rather than editorialised.
What actually happened
People Inc.'s Barry Diller withdrew his company's offer to take MGM Resorts private, roughly four months after proposing to buy the remaining public shares. MGM stock fell on the news, and Diller, through a press release, cited the complexity of assembling the deal as the reason, while leaving the door open to a future transaction.
Key facts
- MGM Resorts shares fell 9% on the day the withdrawal was announced, matching Reuters' independent reporting of the same figure.
- People Inc. had offered $48.30 per share in June to buy MGM Resorts; Reuters values the withdrawn proposal at more than $18 billion.
- People Inc. already owns a roughly 26.1% stake in MGM Resorts, unaffected by the withdrawal.
- CNBC's David Faber reported the deal collapsed partly over the debt load it would have saddled MGM with, a detail not in Diller's official statement.
- Context: Caesars Entertainment shareholders approved a separate, unrelated $17.6 billion buyout by Tilman Fertitta days earlier, at $31 per share cash.
What to watch for
Diller left the door open to "a range of alternatives," so watch for a revised, lower, or restructured proposal in coming months. Also watch People Inc.'s own stock, which Reuters noted has fallen roughly a fifth since the bid was first floated, a reference point for how the market has priced this saga throughout.
About this scoreThe R-Score is Rubbish Talk's editorial opinion on how far a headline's framing sits from what the underlying facts support. It is a judgement about presentation and emphasis, not an allegation that any outlet has acted dishonestly. Every figure we rely on is linked under Receipts so you can check it yourself.
