The junket operator is expected to place a bid for all of the company’s publicly traded shares under HK’s Takeover Code.
Macau.- Chan Weng Lin, chief executive officer of the Macau junket Tak Chun Group, could soon increase his stake in casino operator Macau Legend Developers.
Last week, a company he owns, Perfect Achiever Group, acquired a 20.65 per cent stake in the casino operator, making Chan its largest stakeholder. He already owned about 0.11 per cent of the operator’s shares.
Now under Hong Kong’s Takeover and Merger Code, Perfect Achiever Group will have to make a mandatory unconditional cash offer for the remainder of the operator’s publicly trades shares.
In a filing on Monday, the company said it will make an offer of HK$1.05 (US$0.13) in cash for each issued share controlled by public stakeholders and one company director. This could elevate Chan’s stake in Macau Legend to over 49 per cent of the total capital.
The offer will not be made to executives and senior directors of Macau Legend, including the operator SJM, who have already signed an agreement not to dispose of their shares.
Founders David Chow Kam Fai and Melinda Chan Mei Yi have confirmed that after the offer moves forward, they will remain company co-chairman and executive director, and chief executive officer respectively. Chow will also become a non-executive director, the filing said.