Casino equipment maker LT Game Ltd and two related companies are to pay global gaming equipment supplier International Game Technology Plc US$800,000 in settlement of a dispute stemming from a deal between the sides signed in April 2016 and ratified in June that year.
The original deal – filed to the Hong Kong Stock Exchange by LT Game’s parent Paradise Entertainment Ltd, chaired by businessman Jay Chun – was due to span a 15-year period and gave IGT the exclusive global right to make, market and distribute electronic gaming systems involving “assignment and license of certain patents and associated technology” controlled by the LT Game side, with the exception of products for sale in the Macau market.
The LT Game brand produces an electronic table game product popular with Asian players and known as Live Multi Game, featuring electronic betting and bet settlement, but with a live dealer.
A Thursday filing by Paradise Entertainment to the Hong Kong Stock Exchange stated: “Subsequent to the signing of the agreement, a dispute arose among the LT Game parties and IGT as to whether the LT Game parties have to provide certain technology (not being possessed by the LT Game parties) to IGT that may be required for IGT to make and place the licensed products under the agreement.”
The filing added: “On October 17, 2017, upon commercial negotiation of the parties with the view to resolving the dispute, the LT Game parties agreed in writing with IGT that they shall pay to IGT a sum of US$800,000… for complete resolution of the dispute, which was determined based on the sharing by the LT Game parties of the estimated costs for the required technology.”
The document further noted that the two sides agreed the sum for settlement of the dispute would offset any initial earn-out payments owed by IGT to the LT Game parties under the 2016 licensing deal, for a period up to September 30, 2018.
“Any outstanding settlement amount not being set-off by such date will need to be paid by the LT Game parties to IGT in cash by October 15, 2018,” added Thursday’s filing.
But Paradise Entertainment stated: “Notwithstanding the above payment to IGT, the board maintains its view regarding the estimated amount of earn-out payments to be paid by IGT as set out in the circular, which is approximately US$44 million… during the term.”
Sep 19, 2018Nowadays, millennials, people who were born in the 1980s or...
Aug 16, 2018Food and drink have been heavily marketed as part of Macau...
Jun 27, 2018Macau’s gaming law needs to be amended in order to...
Oct 23, 2018Visitor arrivals to Macau totalled over 2.56 million in September, up by 3.0 percent year-on-year, the latest data from the city’s Statistics and Census Service showed. The September visitor tally...
Oct 23, 2018
Oct 23, 2018
”We need to have stability – especially in terms of legislation, so that it doesn’t change very often. We have several discussions with the authorities and they understand that stability is a must for the development of this industry”
COO for Russian operations at casino investor Summit Ascent