White Supreme Corp, a company that recently acquired 50% of Genting Macau Holdings Ltd, will be given the opportunity to purchase the remaining stake.
The acquisition, completed back in December, cost HKD750m ($96.7m). The company now has the option to buy the remaining 50% until 1 December 2021.
Genting Macau is developing a hotel project in the Nam Van area of the Macau peninsula. According to the company, the project already cost HKD1.06bn, with an additional HKD2.72bn required to complete the construction. The tentative date for the completion of the project is June 2022, but it’s likely it will change due to setbacks.
Genting Hong Kong, an operator of cruise ships and a parent company of Genting Macau, explained the decision of the sale, saying: “This would no doubt divert the resources of the group at a time when the group needs to focus on the cruise and shipyard operations.”
If White Supreme does not complete the purchase by the end of next year, Genting Hong Kong can exercise a put option, which would require the purchaser to acquire the remaining 50%. This option can be invoked from 2 December 2021 to 1 December 2022.
In a statement, Genting Hong Kong added: “The Transaction is aligned with the Group’s objective to sell non-core assets and will reduce the Group’s financial burden in meeting future funding requirements in relation to Genting Macau’s business.”