Melco completes share acquisition from Crown

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Melco International Development Ltd., chaired by local gaming mogul Lawrence Ho Yau Lung, announced yesterday that it had completed the purchase of 13.4 per cent of the issued share capital of Melco Crown Entertainment Ltd. from joint venture partner Crown Resorts.
According to a company filing with Hong Kong Stock Exchange, Melco International’s interests in the local gaming corporation has increased to around 51.3 per cent from the previous 37.9 per cent following the share acquisition.
The aggregate purchase price for the purchase totalled US$1.1 billion (HK$8.53 billion).
A separate announcement by the Melco International reads it has obtained a credit facility of up to US$1 billion for the acquisition from Industrial and Commercial Bank of China (Macau) Ltd and Industrial and Commercial Bank of China (Asia) Ltd., comprising a US$700 million term loan facility fund and US$300 million revolving credit facility.
Having paid US$100 million deposit upon the signing of the share acquisition agreement, the company said it had settled the remaining amount of the closing payments by its internal resources.
In December last year, Australian-based Crown Resorts announced the sale of its 13.4 per cent stake in Melco Crown. The company later said it would further reduce its stake in the consortium to 11.2 per cent.
Crown and Melco International each held 34.3 per cent stake in Melco Crown last May.