Inside Asian Gaming

DECEMBER 2017 INSIDE ASIAN GAMING 13 Macau Legend Development Limited has announced the signing an agreement with four buyers to sell The Landmark Macau for HK$4.6 billion. The sale will see the property’s owners – Macau Legend CEO David Chow and wholly owned subsidiary Hong Hock – offload 100% of issued capital in another subsidiary, New Macau Landmark Management Limited (NML), with neither to have any further interest in The Landmark Macau upon the successful execution of the agreement. Wynn loses bid to avoid Okada ouster trial Wynn Resorts Ltd and its former board member Kazuo Okada look set to face off in court next year after a Nevada judge threw out the company’s bid to avoid a trial over the forced redemption of his stock at a US$900 million discount in 2012. Wynn Resorts had argued that a July ruling in Nevada’s Supreme Court preventing Okada and the company he founded, Universal Entertainment Corp, from accessing the board’s communications with its legal team proved that courts could not question a board’s decisions provided proper procedures were followed. Instead, Nevada District Court Judge Elizabeth Gonzalez rejected Wynn Resorts’ bid, stating that Nevada’s “business judgement” rule applied only to the protection of individual board members and not to the company itself. It means the bitter legal feud between Wynn Resorts Chairman and CEO Steve Wynn and his former friend will continue in court in April, where Okada and Universal will argue that the Wynn Resorts board acted on Mr Wynn’s orders rather than independently when it kicked him out five years ago. The board forcibly redeemed Okada’s 24.5 million shares worth almost US$2.8 billion and issued him a promissory note for US$1.9 billion instead, claiming his presence put Wynn Resorts’ gaming license in jeopardy amid allegations he had provided improper hospitality at Wynn properties to Philippine gaming officials to the tune of US$110,000. Macau Legend agrees HK$4.6 billion sale of The Landmark Macau According to a filing with the Hong Kong Stock Exchange, Dong Lap Hong Property Investment Company Limited will acquire 58% of NML, with the other buyers listed as Tong Lap Tak Real Estate Limited (20%), Tong Hong Wan Real Estate Limited (17%) and Tong Tak Cheng Real Estate Limited (5%). The buyers will acquire the entire combined stake in The Landmark Macau – a hotel and casino complex on the Macau Peninsula covering 80,129 square meters in gross floor area including 439 five-star rooms and suites as well as Pharaoh’s Palace Casino. Pharaoh’s Palace occupies 16,698 square meters with 60 mass market gaming tables, 17 VIP gaming tables and 141 slot machines. The sale won’t completely end Macau Legend’s involvement, with one stipulation of the agreement being that Hong Hock will continue to provide gaming services at Pharaoh’s Palace “for as long as SJM maintains its status as a gaming concessionaire in Macau, including extensions and/or renewals of the existing gaming concession and/or a new concession obtained by SJM.”