LAS VEGAS (AP) - Casino operator MGM Mirage says it is selling the Treasure Island Hotel & Casino to billionaire Phil Ruffin for $500 million in cash.
MGM Mirage said in a statement Monday that Ruffin, whose interests include casinos and greyhound race tracks, purchased the property through Ruffin Acquisition LLC.
MGM Mirage has owned Treasure Island since May 2000, when MGM Grand Inc. purchased Mirage Resorts Inc.
Ruffin is the former owner of the New Frontier hotel-casino, which was razed to make room for the $1.2 billion Trump International Hotel & Tower on the Las Vegas Strip.
The Treasure Island sale is valued at $775 million, including $275 million in secured notes issued by Ruffin Acquisition and secured by Treasure Island's assets.
MGM shares jumped $2.44, or 23 percent, to $13.13 in morning trading.
(Copyright 2008 by The Associated Press. All Rights Reserved.)