GGRAsia – Amax boss sells some shares to third parties

Amax boss sells some shares to third parties

Aug 25, 2014 Newsdesk Latest News, Macau, Top of the deck

Hong Kong-listed gaming investor Amax International Holdings Ltd said after market close on Friday that its chairman Ng Man Sun intended to sell 6.4 million of his shares in the firm to “not less than six” independent third parties. There will then be a top-up subscription of new shares under a general mandate, so that Mr Ng’s holding will be slightly diluted from 17.03 percent prior to the deal, to 16.57 percent afterwards.

The whole exercise is expected to raise HKD7.56 million (US$975,500) net.

Amax Holdings said the money raised would be used for “general working capital and potential investment”.

The filing added that the price of HKD1.20 per placement share represented a 15 percent discount to the stock’s average closing price of approximately HKD1.41 in the five trading days immediately prior to the Friday announcement. The placement represents 2.80 percent of Amax Holdings’ issued share capital, and 2.73 percent as enlarged.

On August 28 last year, the company conducted a placement of existing shares and top up subscription of new shares that raised HKD9.32 million for general working capital. In its Friday filing the company said that had already been spent.

On July 31, Amax International said it was extending for the third time – this time until the end of August – the deadline to complete a deal to acquire a 60-percent stake in a firm with an interactive gaming licence in the Pacific island Republic of Vanuatu.

Amax International on August 4 said that it has ongoing litigation with Greek Mythology (Macau) Entertainment Group Corp Ltd. Amax International has a 24.8 percent equity investment in the company.

Greek Mythology Macau has operated gaming tables in Casino Greek Mythology in Taipa, but has not yet produced its full annual accounts for the year ending December 31, 2012.

A Macau court has given Greek Mythology Macau until September 30 to produce documents relating to its accounts for that year.