BRIEFLY / COMPANY TOWN ANNEX : MGM Plans to Sell Stock to Reduce Debt

Metro-Goldwyn-Mayer Inc. said it will sell $750 million of its common stock and use some of the proceeds to reduce debt. Tracinda Corp., the investment company owned by billionaire Kirk Kerkorian, holds about 89% of MGM’s shares, and MGM said it may buy more in its offering. MGM, which owns film and television studios and one of the world’s largest film libraries, has a market value of about $3 billion. Since arriving in April, Chairman Alex Yemenidjian and Vice Chairman Chris McGurk have tried to return MGM to profitability by cutting costs, forming alliances for TV distribution of its library of 5,000-plus movies and converting its United Artists unit into a specialty film division. Santa Monica-based MGM said the sale should be completed this year. MGM shares fell 88 cents to close at $19.94 on the NYSE.