Macau Legend Development has entered into a disposal agreement for its entire equity interest in New Macau Landmark Management Ltd, the owner of The Landmark Macau casino and hotel.
The sale price amounts to HK$4.6 billion (US$590 million) in cash.
According to a company filing to the Hong Kong Stock Exchange, the buyers include four independent Macau incorporated companies.
Macau Legend said net proceeds from the disposal will be approximately HK$4.5 billion, which 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.