The loan was judged to be the best source of funding to provide immediate financial stability to the company.<\/p>\n\n\n\n\n\n\n\n
Australia.-\u00a0Donaco International\u00a0<\/strong>has announced that its board has approved a shareholder loan facility of AU$7m (US$5m) from CEO and executive director\u00a0Lee Bug Huy<\/strong>. The loan will allow ongoing protection of the balance sheet<\/strong>\u00a0to ensure the company remains sustainable until the general situation improves.<\/p>\n\n\n\n It is an unsecured loan facility with no specific repayment schedule that Donaco will repay once working capital is available. The final redemption date is 48 months after the first withdrawal, and the final redemption date can be extended for a further 8 months upon request. The interest rate is 6 per cent per annum.<\/p>\n\n\n\n According to the company, Huy offered financial assistance to the company while casino operations remain limited due to the Covid-19 pandemic. The company\u2019s Star Vegas casino in Cambodia has been closed since April 27, 2021, while Aristo Casino<\/a> in Vietnam<\/a> has been open on a limited basis since May 8, 2020. <\/p>\n\n\n\n Donaco expected Star Vegas to open again by now, but the company has yet to receive official instructions on when it will be allowed to resume operations.<\/p>\n\n\n\n Donaco\u2019s non-executive chairman\u00a0Paul Porntat\u00a0<\/strong>said: “We are optimistic about Donaco\u2019s long term future. We are almost at the end of this bumpy journey, and I\u2019d like to sincerely thank our shareholders for your patience.”<\/p>\n\n\n\n Donaco International <\/strong>has reported an EBITDA loss of AU$1.4m for the first quarter, compared with a loss of AU$0.29 in the same quarter last year. Revenue was AU$0.2m.<\/p>\n\n\n\n The board is considering additional balance sheet protections to ensure the company remains sustainable until the situation improves.<\/p>\n","protected":false},"excerpt":{"rendered":" The loan was judged to be the best source of funding to provide immediate financial stability to the company.<\/p>\n","protected":false},"author":176,"featured_media":19768,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Donaco International has secured an AU$7m shareholder loan from CEO Lee Bug Huy to bolster its balance sheet and ensure sustainability amidst ongoing operational limitations. This unsecured facility, bearing 6% interest, addresses prolonged casino closures in Cambodia and Vietnam, following a Q1 EBITDA loss of AU$1.4m. The funding aims to bridge the period until full operational resumption and market recovery.","focusai_entities":"Donaco International, Lee Bug Huy, Paul Porntat","focusai_location":"Australia, Cambodia, Vietnam","focusai_target_profile":"ceo_executive (1.0), regulator (0.7), compliance_legal (0.7), operator_casino (1.0), investor_analyst (1.0), supplier_vendor (0.7), journalist_researcher (1.0)","focusai_suggestions":[{"label":"Loan Repayment Strategy?","query":"Given the unsecured nature and lack of a specific repayment schedule, what are Donaco's projected cash flow generation strategies to service the AU$7m shareholder loan, particularly if casino re-openings are further delayed?"},{"label":"Operational Reopening Outlook?","query":"What specific regulatory or public health milestones are required for Donaco's Star Vegas casino in Cambodia to resume full operations, and what is the revised timeline for achieving these conditions?"}],"footnotes":""},"categories":[16336,157],"tags":[966],"class_list":["post-29591","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-australasia-news","category-business-news","tag-donaco"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/29591","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=29591"}],"version-history":[{"count":2,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/29591\/revisions"}],"predecessor-version":[{"id":29601,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/29591\/revisions\/29601"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/19768"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=29591"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=29591"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=29591"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Donaco posts revenue of AU$0.2m for Q1<\/h2>\n\n\n\n