PETALING JAYA: Genting Malaysia Bhd’s indirect wholly owned subsidiary Genting UK Plc is disposing of its entire stake in Coastbright Limited to Sonco UK BidCo Limited for £34.6 million (about RM185 million) cash.
In a filing with Bursa Malaysia, Genting Malaysia said the disposal will allow Genting UK to streamline its operations.
Genting Malaysia is expected to realise a gain arising from the disposal. Based on its audited consolidated financial statements for the financial year ended Dec 31, 2018 and assuming the disposal had taken place at the beginning of the year, the disposal would result in a gain of about £23 million (about RM123 million).
The proceeds from the disposal will be used to reduce Genting UK group’s borrowings and for other potential investment opportunities.
The disposal is not expected to have a material effect on the consolidated earnings, net assets and gearing of Genting Malaysia for the financial year ending Dec 31, 2019.
Coastbright is an indirect wholly owned subsidiary of Genting UK. It operates the Maxims casino in Kensington, London in the UK.
Following the disposal, Coastbright will cease to be an indirect wholly owned subsidiary of Genting Malaysia.
Sonco represents a consortium of investors led by Sonco Gaming Inc., a Canadian group involved in the ownership, operation and development of gaming properties.
