GGRAsia – Donaco raises US$72 mln via shares to institutions

Donaco raises US$72 mln via shares to institutions

Feb 11, 2015 Newsdesk Latest News, Rest of Asia, Top of the deck

Boutique casino operator Donaco International Ltd says it has raised AUD92.4 million (US$71.8 million) via a successful share placement to institutions by way of what is known as an entitlement offer.

It told the Australian Securities Exchange in a filing on Wednesday that it had placed just over 154 million shares – representing 100 percent of the institutional component of the offer.

A retail component to the entitlement offer opened on Monday and will close on February 23, with the shares scheduled to commence trading on March 3, stated Wednesday’s announcement.

Donaco said in a filing on January 30 that it was raising US$100 million in equity financing – via an entitlement offer – toward the US$360 million consideration price for the acquisition of the Star Vegas Resort and Club casino property in Poipet, Cambodia. That deal is due to close in April, according to the January 30 filing.

Donaco is currently a one-property operator, running the Aristo International casino hotel (pictured) in Lao Cai, in northern Vietnam, near the country’s border with the Chinese province of Yunnan. The property – established in 2002 – is a joint venture with the Vietnamese government, which has a 5 percent stake, said Wednesday’s filing. The site was recently expanded and upgraded to a five-star resort with 428 hotel rooms.