The battle for track and gaming group, Wembly, has intensified, with Las Vegas-based MGM Mirage raising its offer from 750p per share to 840p.

The increase trumps the 800p per share offer made by BLB investors – owned by Starwood Capital, Kerzner International and Waterford.

The 840p per share bid values Wembley at £301m ($165m), a 5 per cent increase on the BLB offer and a 12 per cent increase on MGM Mirage’s previous offer.

MGM’s new bid still includes the clause that, as stated in its initial takeover proposal, Wembley shareholders will receive a stake in a separate company, LPR (Lincoln Park Reorganisation) set up to hold Wembley’s Lincoln Park operation – currently the subject of litigation in the US.

A sum of $16.3m (£9m) would be allocated to LPR to deal with the outcome of the action and any money left over would be distributed to shareholders.

J. Terrence Lanni, chair and chief executive of MGM Mirage, which operates 12 casino resorts in the US and Australia, said: “Our increased offer is unanimously recommended by the Wembley board and its value is clearly superior to that of BLB’s offer, even before taking into account any value attributable to LPR.

“We believe Wembley shareholders will recognise this and accept the increased offer.”

A statement issued by BLB investors – led by gambling tycoon Sol Kerzner – said the consortium is considering its options and a further announcement will be made in due course.

Shares in Wembley rose to a new high after the bid was made public, peaking at 864p.

A number of US casino firms have begun showing interest in property in the UK, as the liberalisation of UK gambling laws looks imminent.

Both BLB and MGM have announced intentions to expand Wembley’s dog tracks in London, Birmingham and Manchester should they be successful in acquiring the group.

Last week, a cross party joint committee reporting on the UK government’s draft gambling bill said it saw no reason why the bill shouldn’t be introduced in the current parliamentary session.