GGRAsia – Malaysian firm eyes casino development in Cambodia

Malaysian firm eyes casino development in Cambodia

Dec 16, 2016 Newsdesk Latest News, Rest of Asia, Top of the deck

Malaysian investment firm MQ Technology Bhd confirmed in a filing to Bursa Malaysia this week that it plans to join a US$51.1 million project in Cambodia that would include hotels, a casino and a theme park. The company however denied reports that it is negotiating a partnership with Cambodia-based casino operator NagaCorp Ltd.

MQ Technology, through its subsidiaries, designs, develops and manufactures high-precision tooling for various industries. The company said on Tuesday that its subsidiary Star Acres Sdn Bhd entered into a memorandum of agreement with Cambodian Resort and Entertainment Co Ltd “to collaborate on the development and management of a theme park”, the first phase of the proposed development project.

Cambodian Resort and Entertainment is described in the filing as the owner of a plot of land with 5.1 hectares (12.6 acres) in Bonteay Chakkrei, in Prey Veng province, near the Vietnamese border.

MQ Technology said the Cambodian partner is planning a mix development for the land, including a “Jurassic Theme Park”, hotels, casino and apartments. The total investment budget is estimated at US$51.1 million, to be completed over a period of six years.

The partners have agreed to create a joint venture to develop and operate the US$5.1-million theme park. Star Acres will have a 70-percent stake in the joint venture and provide funding to build the theme park, while Cambodian Resort and Entertainment will put forward the plot of land.

Star Acres will also be given exclusive rights to invest in the other components of the overall development at a later stage, said MQ Technology.

Robbie Hari Krishnan Tatparandam, executive director of MQ Technology, told the Phnom Penh Post that the project was still in its early stages. “Right now, the agreement is just to conduct a feasibility study to see if the project has potential,” he was quoted as saying.

In a separate filing to Bursa Malaysia on Wednesday, MQ Technology denied media reports that it was negotiating an agreement with Hong Kong-listed NagaCorp. NagaCorp is the operator of the NagaWorld casino resort in the Cambodian capital Phnom.

MQ Technology said in its latest filing that it was “not in talks” with NagaCorp over plans to build a casino in the project it is planning to develop in Cambodia.