Genting Malaysia raises $113m for casino resort expansion
Genting Malaysia, one of the world’s largest gaming companies, has announced its intention to raise MYR500 million (US$113m) by issuing medium-term notes through its subsidiary company, Genting Malaysia Capital Bhd.
The company explained in a filing to Bursa Malaysia that the notes are being issued through three tranches. The first tranche involves MYR250 million over five years with a 5.07 percent interest rate; the second is for MYR150 million at 5.35 percent interest; and the third is for MYR100 million at 5.52 percent.
Proceeds from the issuance will be used for a variety of purposes, including operating expenses, capital expenditure, investment, refinancing, working capital requirements, and general funding requirements. This will include funding the development and redevelopment of Genting Malaysia’s properties and resorts, including those located in Genting Highlands, Pahang.
This move comes after Genting Malaysia announced the sale of its 15.47-acre parcel of land in Miami for US$1.23 billion. It is expected that sum will be used to fund the expansion of the company’s New York casino if it is granted a full license.
Resorts World Casino New York City has a good chance of snagging one of the most coveted casino gaming licenses in the United States. The move to raise funds through the issuance of medium-term notes is part of Genting Malaysia’s ongoing strategy to expand and improve its integrated resorts around the world.