Hong Kong-listed Macau Legend Development Limited has completed its 100 percent disposal of New Macau Landmark Management (NML), the company behind Landmark Macau.
The company first entered into a disposal agreement for the casino in November last year, with a sale price of HK$4.6 billion (US$590 million) in cash. The buyers included four independent Macau incorporated companies.
However, the completion of the disposal was delayed in March as the company needed more time to fulfill certain conditions under the Disposal Agreement.
According to the company’s Friday filing, the disposal is expected to accrue a gain before tax of approximately HK$3.3 billion.
In an earlier filing, Macau Legend said net proceeds will be used for MFW Redevelopment and reducing the group’s gearing level.
As for reasons for the sale, Macau Legend said that operating costs and labor costs as a result of operating two entertainment complexes had “increased tremendously.”
“The disposal will streamline the development of hotel and gaming business in MFW,” it noted at the time.