• About Us
  • The Team
  • Advertise with Us

The latest news on the gaming industry in Asia

() () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () ()
  • Home
  • Macau
  • Philippines
  • Singapore
  • Japan
  • Rest of Asia
  • World
  • Features
  • Industry Talk
  • Trends & Tech
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

Chan Meng Kam to buy Lan Kwai Fong casino hotel

Oct 17, 2017 Newsdesk Latest News, Macau, Top of the deck  


Chan Meng Kam to buy Lan Kwai Fong casino hotel

China Star Entertainment Ltd, a services provider in the Macau casino market, said on Monday that Macau businessman Chan Meng Kam will acquire the Lan Kwai Fong casino hotel property (pictured) for a total consideration of HKD2 billion (US$256.2 million).

The news came as a surprise to the market, as China Star said in June that it had entered into a letter of intent with Hong Kong-listed Paradise Entertainment Ltd  – chaired by gaming entrepreneur Jay Chun – for the latter company to take over control of the downtown Macau casino hotel, for a total consideration of HKD2.38 billion.

Despite the letter of intent with Paradise Entertainment, separate filings from the two parties on September 29 confirmed that the exclusive negotiating window had expired on September 30, with no agreement reached.

In Monday’s filing, Hong Kong-listed China Star said it had signed on October 10 a sale and purchase agreement with Mr Chan, with the businessman paying HKD200 million in cash as a “non-refundable deposit”.

Under the agreement, Mr Chan will be acquiring, respectively, Most Famous Enterprises Ltd, Exceptional Gain Profits Ltd and Charming Era Investment Ltd, as well as the related shareholder loans of the target companies. The sellers are China Star and its subsidiary China Star Entertainment (BVI) Ltd.

The group of target companies owns and operates casino hotel Lan Kwai Fong on the Macau peninsula and some residential units that are currently being used as staff quarters, according to Monday’s filing.

The Lan Kwai Fong property features 209 rooms, a casino, restaurants, shops and a spa centre. As of Monday, Casino Lan Kwai Fong operated a total of 84 gaming tables, targeting both the VIP and mass market segments. It also operated a total of 65 slot machines, according to the filing. Currently the property makes use of the gaming licence of SJM Holdings Ltd, according to information on the local gaming regulator’s website.

Mr Chan, a veteran businessman and former Macau legislator, is chairman of privately-held Golden Dragon Co Ltd, which runs three casinos in the city, namely: Casino Golden Dragon and Casino Royal Dragon on Macau peninsula – both via the licence of SJM Holdings; and Casino Taipa Square on Taipa, making use of the casino licence of Melco Resorts and Entertainment Ltd.

Casino Royal Dragon opened to the public on September 27. Mr Chan said that the investment for the casino hotel was approximately MOP1.5 billion (US$186.5 million). The government approved the relocation of 20 gaming tables to the new property.

In Monday’s filing, China Star said it expects to record “an estimated gain on disposal of approximately HKD648.0 million”. Following the disposal, the firm will no longer operate hotel and gaming services.

The company additionally said that part of the sale price would be used to repay loans owned by the target group to a commercial bank, which aggregate principal amount is about HKD700 million.

Net proceeds of approximately HKD1.3 billion will be used to develop a “luxury residential and commercial complex of two towers” in land adjacent to the casino hotel. Construction works already started in June this year, the firm added.

Trading in the shares of China Star resumed today, after being suspended since October 11, at the request of the company.


  • tweet
Related articles
  • Paradise Ent renews supply deal with Jay Chun in-law
    Paradise Ent renews supply deal with...

    Dec 11, 2020  

  • Paradise Ent US$14mln 1H loss, product sales down 89pct
    Paradise Ent US$14mln 1H loss, product...

    Aug 27, 2020  

More news
  • Macau CNY biz hit by mainland virus cases: analysts
    Macau CNY biz hit by mainland virus...

    Jan 26, 2021  

  • TCS John Huxley installs Blaze products at Okada Manila
    TCS John Huxley installs Blaze...

    Jan 26, 2021  


Latest News

Macau CNY biz hit by mainland virus cases: analysts

Macau CNY biz hit by mainland virus cases: analysts

Jan 26, 2021  

Chinese New Year (CNY) tourism to Macau from mainland China is likely to be “soft”, says brokerage Sanford C. Bernstein Ltd, due to a combination of consumer concerns about Covid-19 infections on...
Read More
TCS John Huxley installs Blaze products at Okada Manila

TCS John Huxley installs Blaze products at Okada Manila

Jan 26, 2021  

Hoiana official opening scheduled for 2H 2021: UBS

Hoiana official opening scheduled for 2H 2021: UBS

Jan 25, 2021  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Partners

Pick of the Day

"We have estimated that on average, the [daily] visitor arrivals for this year’s Chinese New Year break could turn out to be a bit weaker than for the Christmas holiday period"

Maria Helena de Senna Fernandes

Director of the Macao Government Tourism Office



Most Popular

  • Sands China sixth Macau op to pledge staff extra paymentSands China sixth Macau op to pledge staff extra payment January 21, 2021
  • Londoner Macao first phase launch Feb 8 says Sands ChinaLondoner Macao first phase launch Feb 8 says Sands China January 21, 2021
  • Macau Covid-19 case no bar to mainland travel tiesMacau Covid-19 case no bar to mainland travel ties January 22, 2021
  • Digital yuan eventually for Macau mass bets mulls BernsteinDigital yuan eventually for Macau mass bets mulls Bernstein January 22, 2021
  • Yokohama announces RFP timeline for casino bidYokohama announces RFP timeline for casino bid January 22, 2021
Copyright 2014-2020 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us