Joint venture between major investors companies negotiates the sale of their stakes.
South Korea.- Once Caesars Entertainment, Lippo Group and OUE International Holdings had introduced a project to install a large casino in Incheon, South Korea back in 2013, the Asian country authorities supported the bid and approved the requirements. Nevertheless, the construction of the casino resort never begun, and now the joint venture is under talks to dissolute the stakes.
Lippo Group, Hong Kong company revealed this week its intentions to complete the negotiation with Caesars Entertainment in order to sell its stake of LOCZ Korea and be able to focus on new business. The real estate developer presented on Tuesday a report to the Hong Kong Stock Exchange announcing the negotiations.
“Whilst it was anticipated the exit agreement would be entered into within November 2016, the exit negotiations are continuing, and their outcome is dependent upon a separate set of negotiations between Caesars Korea and the investor,” stated Lippo Group in the document filed to the Stock Exchange. However, the renowned real estate company does not expect the exit agreement set by December, as negotiations are still “ongoing.”
The planned casino in South Korea was supposed to require the investment of US$730 million and was going to be opened by the 2018 Winter Olympics in the country. LOCZ Korea was dedicating about 1.61 million square feet for the gross floor area, where a luxury gaming centre was going to be installed.