Tracinda facts for kids

Tracinda Corporation was a special kind of company in America. It was owned by a very successful businessman named Kirk Kerkorian. Tracinda was a "private investment corporation," which means it invested money in other companies. One of its biggest investments was in MGM Resorts International, a famous company that owns hotels and casinos. Tracinda's main office was in Las Vegas, Nevada. Mr. Kerkorian named the company after his two daughters, Tracy and Linda.

History of Tracinda

Tracinda Corporation was known for buying parts of big companies. It was like owning a small piece of a giant puzzle.

Investing in Car Companies

Tracinda once owned a lot of shares in General Motors, a very big car company. But in November 2006, Tracinda sold all of its shares in General Motors.

In April 2007, Tracinda tried to buy another car company called Chrysler. They offered a huge amount of money, $4.5 billion! This news made the shares of Chrysler's parent company, DaimlerChrysler, go up a lot. However, Tracinda's offer didn't work out. Chrysler was eventually sold to a different company called Cerberus Capital Management.

Mr. Kerkorian had also tried to buy Chrysler before, in 1995, but that attempt was also unsuccessful.

In May 2008, Tracinda wanted to buy even more shares. They contacted people who owned shares in Ford Motor Company. Tracinda offered to buy 20 million shares by June 4, 2008. They offered $8.50 for each share. The company successfully bought these shares through an investor named Ahmed Adnan.

However, Tracinda later sold many of its Ford shares. In October 2008, they sold over 7 million shares. The average price for these shares was about $2.44 each. By December 2008, Tracinda sold all of its remaining shares in Ford Motor Company.

Changes at MGM Resorts

In May 2009, MGM Mirage (now MGM Resorts International) offered new shares to raise money. After this, Mr. Kerkorian and Tracinda no longer owned most of the company. Their ownership went from 53.8 percent down to 39 percent. Even though they bought 10 percent of the new shares, they became a minority owner. This means they owned less than half of the company.

The End of Tracinda's Investments

Kirk Kerkorian, the founder and owner of Tracinda, passed away on June 15, 2015. He was 98 years old.

On September 16, 2019, MGM Resorts announced something important. Tracinda had told them that they had sold all their shares in MGM Resorts. This happened because Mr. Kerkorian had left instructions in his will. He wanted Tracinda to sell its shares in the resort company soon after he died.