Success Dragon places $28.3 million in convertible bonds

Casino services firm Success Dragon International Holdings Ltd has announced it has entered into three separate placing agreements, to place an aggregate of HK$220 million (US$28.3 million) in convertible bonds.

The placing agents include Kingsway Financial Services Group Ltd; BaoQiao Partners Capital Ltd; and Opus Capital Ltd.

“The maximum net proceeds from the issue of the convertible bonds of approximately HK$211,013,000 will be used for the development and expansion of the group’s business, investment and general working capital of the group,” said the company in a filing to the Hong Kong Stock Exchange on Thursday.

The convertible bonds, represent approximately 15.7 percent of the existing issued share capital of the company.

Last month, Success Dragon posted a widened net loss of HK$231.5 million for its fiscal year ended March 31, 2016.

According to the filing to the Hong Kong Stock Exchange, the results compares to a net loss of HK$47.3 million in the year before.

The firm announced at the time it has been actively seeking to expand its outsourced management services business other countries.

“Apart from the business in Macau, the Group has been actively seeking opportunities to expand this segment of business in other emerging countries, with the first country being Vietnam.”