Follow Add This All

Sunday, 11 August 2013

Macau News : Caesars sells US $438m Macau golf course to Pearl Dynasty

Macau!!!

HONG KONG, Aug 10 — US casino operator Caesars Entertainment has agreed to sell a golf course in Macau to Pearl Dynasty Investment Ltd for US$438 million (RM1.4 billion), effectively giving up on its wait for casino operating rights in the Chinese gaming enclave.

The Las Vegas-based company said today it plans to use proceeds to fund other capital expenditures or repurchase debt obligations, according to a filing to the US Securities and Exchange Commission. It did not comment further.

This followed a move by Caesars in April to spin off assets, with buyout firms Apollo Global Management LLC and TPG Capital LP investing US$250 million each in a new business free from the shackles of the company’s debt, potentially raising up to US$1.2 billion for Caesars.

The company was taken private by a consortium led by the two private equity firms in 2008 for US$30.7 billion and went public last year. It is struggling to cope with debt topping US$20 billion, according to its interim results announced July 30.

Caesars does not own a license to operate casinos in Macau.

The company had bought the land near the territory’s Cotai strip for US$578 million in 2007 with the intention of developing a hotel-casino complex, but the Macau government has not increased the six casino operating licenses issued since 2001. — Reuters

Source : TheMalayMailOnline

With Regards,
Sagar Gulati