(CHINA - Tags: BUSINESS SOCIETY) - RTX117JZ

Macau | Suncity subsidiary signs technical support agreement for Vietnam IR

Macau (MNA) – SGMC (Hoi An), a subsidiary company of Macau SAR junket operator Suncity Group, has reached a Technical Services Agreement with Hoi An South Development Ltd., the firm in charge of developing an integrated resort in Hoi An, Vietnam. In addition, Alvin Chau Cheok Wa, Executive Director and Chairman of Suncity, is the owner of Star Admiral, a firm holding a 34 per cent stake in Hoi An South Development, a filing with the Hong Kong Stock Exchange revealed on Tuesday.

SGMC (Hoi An) will ‘provide technical and pre-opening services during the planning, design, construction, fit-out and pre-opening phases of the zones it will operate when the casino opens.

SGMC (Hoi An) will receive US$1,333,333 (HK$10,426,664) in respect of all the services, US$800,000 in respect of the first six months payable in advance on the date of signing of the Technical Services Agreement, and US$133,333 from the seventh month through and including the twelfth month of the period of service. The same monthly amount will be paid if the provision of services is extended beyond the twelfth month.

The technical services include ‘provision of design guidelines, advice on appointment of the professional team, assistance in the preliminary design [for the area to be operated], review of the schematic design development provided by the professional team at key stages, provision of technical services of reviewing the designs and drawings provided by the professional teams in relation to the construction of the integrated resort complex,’ the filing states.

On the other hand, ‘the pre-opening services include, among other things, providing assistance … for the preparation of the operation of the resort and casino, selection of the professional teams for the construction of the resort and casino, development of marketing and operation plans and assisting … in procuring all licences and permits for the operation of the [area], meeting with potential investors and financiers, and provision of IT consultation services’.