SJM, Iao Lek’s Cotai construction deals amount to MOP2.3 billion

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Macau casino operator SJM Holdings Ltd. has announced it is spending about MOP557 million (HK$541 million, US$71.4 million) on a new construction contract with one of its existing contractors for the Lisboa Palace project in Cotai, scheduled to open ‘in the fourth quarter of 2017’.
SJM entered into a new construction contract with Macau-incorporated Iao Lek Engineering Company Ltd. in which it would undertake ‘certain basement excavation, reinforced concrete structure and general builder’s work’ for the Lisboa Palace project, the casino operator told the Hong Kong Stock Exchange after trading hours on Friday.
This latest deal signed with Iao Lek means SJM would be spending an aggregate of approximately MOP2.3 billion with the contractor, counting the casino operator’s existing construction contracts signed with it for some preliminary site works for Lisboa Palace, according to the Friday filing.
The HK$30 billion Lisboa Palace project, which commenced in February last year, is designed to feature three 5-star hotels with a supply of some 2,000 rooms plus shopping, dining and entertainment facilities as well as a casino with approximately 700 tables and 1,000 slot machines – a figure that is subject to the ‘obtaining of applicable licences’, SJM said in an interim report released in September.
S.L.