90 days to seal the deal
In a filing to the Hong Kong Stock Exchange, Macau Legend has revealed it will sell its wholly-owned subsidiary New Macau Landmark Management Ltd., owner of the Landmark Macau casino hotel.
According to Inside Asian Gaming, the unidentified buyer must pay a refundable deposit of HK$460 million (US$58.9 million)—HK$300 million immediately and the remaining HK$160 million within 30 days. Both parties will have 90 days to formalize the deal or cancel it, in which case the deposit will be returned.
Funds from the sale will go towards the continued redevelopment of the Macau Fisherman’s Wharf district, IAG reported.
“The company anticipates that the possible disposal will allow the group to expand its businesses in Macau and overseas without taking on too much additional leverage,” Macau Legend Development Ltd. disclosed. “In addition, the company remains firmly committed to the successful completion of the redevelopment of Macau Fisherman’s Wharf and the possible disposal will enable the group to focus more on the new hotels, casinos and other tourist related facilities at Macau Fisherman’s Wharf.”
Macau Legend Development Ltd. most recently opened Legend Palace at Macau Fisherman’s Wharf, a five-star boutique casino and 223-room hotel.
In March 2016, a similar deal was announced, with the buyer identified as shareholder Li Chi Keung. The casino at Landmark Macau, named Pharaoh’s Palace Casino, operates under the casino license of Macau gaming operator SJM Holdings Ltd.
The planned sale was announced on the same day Macau Legend reported a net loss of HKD268.5 million (US$34.8 million) for the full year of 2015. At that time, Macau Legend said in its filing that the market value of Landmark Macau stood at HKD5.47 billion as of the end of 2015.
