Dubai World—a company owned by the government of the oil-rich Persian Gulf state—plans to invest up to $5.1 billion in MGM Mirage, the world's second-largest casino company, Bloomberg reports. The move would give Dubai a presence in booming Las Vegas and free up assets for MGM Mirage to diversify its holdings.
MGM Mirage, controlled by billionaire Kirk Kerkorian, counts Bellagio and Luxor among its properties on the Vegas Strip. Gambling is forbidden in Dubai because it contravenes Islamic law, but the deal holds other charms. "We're attracted to the high-end hotels market," Dubai World's chairman says, "and Las Vegas is high-end and high-growth.'' (Read more Kirk Kerkorian stories.)