US gambling giant MGM has bid £270 million to takeover UK sports entertainment group Wembley.
The move comes months after bribery allegations hit the Rhode Island subsidiary of Wembley, later settled for a $8 million fine.
Wembley will spin off a company, which has only $16m to cover legal costs and any fine imposed. If there are any funds left they will go to shareholders.
The company, former chief executive Nigel Potter and Dan Bucci, head of the Lincoln Park business, were indicted last year by the federal grand jury of Rhode Island. They deny the charges and Mr Potter has stepped down as a director to defend his name.
Despite the turmoil, Mr Potter and finance director Mark Elliot will receive at least a £784,000 and £552,000 pay-off if the company is sold, as they both receive two years' pay and bonuses on a change of control. They will also receive £195,000 and £60,000 respectively from the shares they own in the company.
MGM, which operates the Treasure Island resort in Las Vegas and a clutch of other well-known resorts in the US, has been told by 52% of the shareholders they are likely to accept the 750p per share bid.
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