MGM's largest shareholder backs potential offer for Ladbrokes owner

Jan 8 (Reuters) - Casino operator MGM Resorts International said on Friday its largest shareholder, InterActiveCorp, supports its $11 billion takeover approach for Ladbrokes owner Entain Plc.

The U.S.-based company said it considers a proposed merger with the British bookmaker to be “compelling” and believes a deal, amongst other things, would help grow BetMGM, its online sportsbetting operating in the United States.

Entain earlier this week rejected the takeover advance, saying it significantly undervalued the company and asked MGM for more information on the strategic rationale for a merger.

Reporting by Yadarisa Shabong in Bengaluru; Editing by Shinjini Ganguli