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Macau Legend Development, a gaming and hotel services company, said it had signed a letter of intent to sell its Saban Legend casino resort in Savannaket, Laos, for a total of $45 million. 온라인 슬롯
The letter was inked and identified as a buyer by an individual named Shundo Yoshinari on June 13, according to a Macao Legend filing with the Hong Kong Stock Exchange on Tuesday. The company identified Mr. Shundo Yoshinari as "a Japanese citizen currently residing in Japan" and an independent third party.
The deal includes the sale of MLD Resorts Laos Inc., an indirect wholly owned subsidiary of Macau Legends. MLD Resorts Laos directly owns Saban Legends Resorts Sol Inc., a company established in Laos that controls Saban Legends properties.
Explaining the decision to sell the property, Macau Legend said, "The gaming and hotel business in the Lao People's Democratic Republic (PDR) was highly profitable in fiscal 2022, but its financial performance is unstable, limiting future profitability as it is increasingly subject to onerous restrictions in the Lao PDR."
"If the potential disposals materialize, the Group could reallocate more financial resources for its business operations in Macau and for its overall future development," it added
Macau Legends controls a tourist complex called Macau Fisher's Wharf, a waterfront area close to the Outer Harbor Ferry Terminal on the Macau Peninsula, which is home to the Legendary Palace Casino. Macau Legends offers casino satellite services at the latter property under a contract renewed for three years from Jan. 1 this year with game concession holder SJM Holdings Ltd.
In a filing on a possible sale of Saban Legends, the company said the two sides could enter into a formal agreement "within 14 days after the buyer completes its due diligence review of Saban Legends with the target company."
According to the schedule detailed by Macau Legend, the formal contract could be signed by mid-August. Mr. Yoshinari Shundo has to initially deposit US$10 million to agree on a phased-in basis as the transaction progresses. The buyer has to pay an additional US$12.5 million deposit when signing the formal contract.
"The remaining $22.5 million in the balance will be paid when the formal contract is signed," Macau Legend said. Under normal conditions, the deal must close by the second half of September, according to the schedule mentioned in the filing.
Macau Legend said completion of the potential disposition depended on a series of conditions. That included Saban Legend signing a flat tax agreement with the Lao government under the terms agreed by the company and Shundo Yoshinari, and setting an initial gambling license period for the property to 99 years.