Hong Kong-based Aquis Leisure has obtained a shock provide from a thriller bidder to amass its Australian property, On line casino Canberra.
The newest method triggered Aquis to request a buying and selling halt of its shares on the ASX whereas it considers the brand new proposal.
Final month, the corporate introduced it deliberate to promote the on line casino to Capital Leisure, a subsidiary of Sydney-based hospitality firm Oscars Group, for AU$52 million (US$36 million).
In an announcement to the ASX, Aquis mentioned the competing proposal had been adopted by a revised provide from Capital Leisure. Each have been at “materially increased costs to that agreed within the unique settlement with Capital Leisure.”
The identification of the competing bidder has not been publicized, though extra particulars concerning the proposal are anticipated to be revealed this week.
Aquis, managed by Hong Kong billionaire banker Tony Fung, has been attempting to promote the On line casino Canberra for a while.
It acquired the ailing property in 2014. That was on the identical time Fung was looking for approval for a controversial proposal to construct a A$8 billion (US$5.8 billion) megaresort on line casino in Cairns, Queensland, near the Nice Barrier Reef. That challenge has since been deserted.
Fung hoped funding in Canberra, the Australian capital, would grease the skids on the Nice Barrier Reef deal.
Aquis petitioned the Australian Capital State (ACT) authorities to permit slot machines at On line casino Canberra. In return, the corporate promised to plow AU$307 million (US$209 million) into regenerating a property it mentioned had suffered from “years of underinvestment.”
Aquis requested for 500 slots. In 2018, the federal government supplied simply 200, plus 60 EGMs (digital gaming machines), topic to sure strict circumstances. Aquis mentioned the counterproposal made it “tough to progress… [the] unique proposal.”
In the end, the corporate failed to achieve settlement with the ACT authorities, which nonetheless prohibits slots within the state.
Dodged a Bullet
In 2018, Blue Whale Leisure sought to turn out to be the foremost shareholder within the property in an AU$32 million deal. However that deal fell by means of as a result of Blue Whale failed to achieve approval from ACT regulators.
It was a very good name. In 2020, Blue Whale’s proprietor, Michael Gu, turned a world fugitive when his Sydney-based property group, iProsperity, collapsed, owing buyers round US$245 million.
Gu and his enterprise companion, Harry Huang, are accused of working a Ponzi scheme. Their whereabouts stay unknown.