Melco/PBL consortium nets US$160 million through sale of shares in US

11 January 2007

Macau, China, 11 Jan – The Melco/PBL consortium, which has a gaming and gambling sub-concession in Macau, netted US$160 million by selling 9 a further 9 million shares on the New York stock market, officials said.

Melco/PBL mad available 53 million American depository receipts (ADRs) with an option of a further 9 million shares in its initial public offer (IPO), which generated revenue of US$1.14 billion.

With the cash generated by the sale of the shares, the consortium, led by James Packer, for PBL and by Lawrence Ho – son of Stanley Ho – for Melco, plans to carry its various projects in Macau.

With the sale of around 62 million shares, the consortium sold off 13.7 percent of the company, according to Portuguese news agency Lusa.

Currently the consortium runs six slot machine rooms and is also building the Crown hotel/casino on Taipa island, in which it is investing US$512 million and the City of Dreams complex – which includes an underwater casino – between the islands of Taipa and Coloane, at a total investment of US$2.1 billion.

The Melco/PBL consortium was formerly part of the Stanley Ho empire but was given independence to run its own operations after it was approved to buy, for US$900 million, the gaming and gambling sub-concession held by Steve Wynn of Wynn Resorts. (macauhub)