Casino operator Genting International has announced details of
its IPO in Singapore.
The share sale is part of a move to switch its primary listing to
the city-state from Luxembourg.
Genting announced that it had attracted 4 strategic investors, 3 of
whom are linked to hotelier Ong Beng Seng.
With Genting in the running for an integrated resort licence in
Singapore, that is leading to speculation that they could be
joining hands for the project.
Genting International is offering 800 million shares to investors
at 35 Singapore cents each in its IPO here.
All 750 million placement shares were taken up, with an
oversubscription rate of about 7.5 times.
And it looks likely that the over-allotment option of 103 million
additional shares will be exercised.
This will bring the IPO size to one billion shares or 21.16 percent
of the company's enlarged capital.
And Genting has attracted Pontiac Land's investment arm Philean
Capital, HPL Investors and 2 of hotel tycoon Mr Ong Beng Seng's
investment units as strategic investors.
They entered into conditional agreements to subscribe for an
aggregate of some 97 million shares.
Genting is upbeat about its chances for an integrated resort
licence in Singapore.
And it says it intends to spend S$3 billion to S$4 billion on the
project.
Lim Kok Thay, Executive Chairman, Genting Int'l, said: "We are
quietly confident and based on the great track records we have in
the past, we've done successful projects in the gaming sector
previously elsewhere in Australia and so on."
"Couple with our know-how and in particular our understanding of
Asian culture, we are very exciting we can put together with our
strategic partners that also bring in their brand names in leisure
and gaming. We believe we will be able to put together a very great
project."
The company is not giving away any names but it says it has found a
strategic partner for its bid for the Marina site.
It has already said earlier that it was joining hands with
Universal Studios for the site at Sentosa.
Meantime Genting is going to the heartlands to market its
IPO.
Mr Lim said: "We would like to have as broad a shareholding base as
possible, which will offer us a liquidity. In that respect, we'll
marketing them through newspaper advertisements, also maybe out in
popular places such as MRT stations, shopping malls and through DBS
branches."
It will use proceeds of the share sale to expand its core
businesses in leisure, gaming and hospitality.
Applications for the IPO will close next Thursday and trading is
expected on December 12. - CNA/ch