• 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
  • Industry Talk
  • Trends & Tech
  • iGaming
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

Donaco confirms US$10mln capital via entitlement offer

Jul 27, 2020 Newsdesk Latest News, Rest of Asia, Top of the deck  


Donaco confirms US$10mln capital via entitlement offer

Australia-listed casino operator Donaco International Ltd says it has successfully completed a share exercise it flagged earlier this month, and is raising AUD14.4 million – about US$10.3 million at current exchange rates – before costs.

The proceeds of the exercise, known as an entitlement offer, “will be used to meet the upcoming repayment requirements” under a debt facility with Mega International Commercial Bank Co Ltd, also known as Mega Bank.

Some of the funds harnessed will separately be used as “working capital” in relation to two casino complexes that Donaco runs: Star Vegas Resort and Club, in Poipet, on Cambodia’s border with Thailand; and Aristo International Hotel at Lao Cai, on Vietnam’s border with China.

“The funds raised will enable Donaco to continue to service its debt obligations as well as and provide financial stability to the company,” said Donaco in a Monday filing to the Australian Securities Exchange.

The company added that the Covid-19 pandemic and, in particular, consequent restrictions on international travel, had “significantly impacted the level of patronage” at its casinos.

The Cambodian government had mandated the closure of all casinos in that nation from 1 April, but in early July flagged a reopening phase, provided safeguards were followed. The Vietnam government had ordered closure of casinos in that country, amid the threat of Covid-19.

Only the scheme in Vietnam has meanwhile resumed operations, albeit at limited capacity. GGRAsia has contacted Donaco asking for clarification on whether its casino operations in Cambodia were open again for business.

Donaco had previously disclosed that Mega Bank had agreed to defer from June 2020 to December 2020 certain repayments under a debt facility.

The offer is fully underwritten by two people: Lee Bug Huy and Lee Bug Tong; who currently control a 17.99-percent stake in Donaco, said the casino operator. The two investors had been in previous litigation with the Donaco group.

After completion of the entitlement offer and associated underwriting, those two individuals in their role as underwriters will increase their relevant interest in the company to 42.12 percent.

Mel Ashton, Donaco chairman, was cited in Monday’s filing as saying: “We are pleased to advise that the funds raised through the offer will work to ensure that the business remains in a healthy position during the unprecedented Covid-19 pandemic.”


  • tweet
Related articles
  • GEN Singapore posts US$29mln 1Q profit, up sequentially
    GEN Singapore posts US$29mln 1Q...

    May 12, 2022  

  • Casino firm Paradise Co slips to negative EBITDA in 1Q
    Casino firm Paradise Co slips to...

    May 12, 2022  

More news
  • Andrew Lo takes controlling stake in Suncity, Summit Ascent
    Andrew Lo takes controlling stake in...

    May 19, 2022  

  • Okada Manila chair Manuel Lazaro dies aged 87
    Okada Manila chair Manuel Lazaro dies...

    May 19, 2022  


Latest News

Andrew Lo takes controlling stake in Suncity, Summit Ascent

Andrew Lo takes controlling stake in Suncity, Summit Ascent

May 19, 2022  

Andrew Lo Kai Bong (pictured), a senior executive at Hong Kong-listed casino investor Suncity Group Holdings Ltd, acquired controlling shares in the firm with effect from May 13, according to...
Read More
Okada Manila chair Manuel Lazaro dies aged 87

Okada Manila chair Manuel Lazaro dies aged 87

May 19, 2022  

Bloomberry plans 3rd Philippine casino, coastal near Manila

Bloomberry plans 3rd Philippine casino, coastal near Manila

May 19, 2022  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Pick of the Day


US$403.9 million

Interim normalised profit after tax and amortisation reported by slot machine maker and online gaming content provider Aristocrat Leisure



Most Popular

  • Wynn CEO, Macau execs in base pay cut in return for sharesWynn CEO, Macau execs in base pay cut in return for shares May 17, 2022
  • Macau repeat visitors denied visa by China says BernsteinMacau repeat visitors denied visa by China says Bernstein May 16, 2022
  • U.S. says Steve Wynn ‘foreign agent’, lobbied for ChinaU.S. says Steve Wynn ‘foreign agent’, lobbied for China May 18, 2022
  • Alleged bribe offer to ex-Wynn manager probed by HK, MacauAlleged bribe offer to ex-Wynn manager probed by HK, Macau May 17, 2022
Copyright 2014-2022 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us