Macau
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by: Gene Koprowski.
Billionaire Stanley Ho’s casino company, SJM Holdings, Ltd., is planning to raise $258 million selling convertible bonds to fund operations in Macau as revenue is rebounding in the world’s biggest gambling market.

The firm plans to issue zero-coupon notes due in six years that can be converted into 373.8 million shares at an initial price of $5.35, it said in a regulatory filing in Hong Kong this week.

That’s 20 percent higher than yesterday’s closing price.
The firm has started raising funds even as its 87-year-old 20 chairman lies resting in a hospital, where he’s been since early August, without naming a successor.

Macau’s biggest casino operator by market share, with this dramatic move, now joins Wynn Macau Ltd., a unit of the gaming company founded by billionaire Stephen Wynn. Wynn may raise $12.6 billion from an initial public offering to help finance expansion in Macau, a former Portuguese colony in China.

“Investors may be concerned that upcoming IPOs are not doing that well and Wynn’s IPO may also affect the overall perception of the entire sector,” Gabe Chan, a Hong Kong- based analyst at Credit Suisse Group AG, said.




 
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