Melco Int’l subsidiary gaming machine sales on a roll

Melco International Development Ltd., a company controlled by local gaming entrepreneur Lawrence Ho Yau Lung, said its non-wholly owned Entertainment Gaming Asia Inc. (EGT) is selling a total of 824 gaming machines for US$3.25 million (MOP26 million) in two deals.
According to the company’s filing with the Hong Kong Stock Exchange on Wednesday night a wholly-owned subsidiary of EGT is to sell 670 electronic gaming machines located in the NagaWorld Casino for US$2.5 million, as well as 154 machines located in the Leisure World VIP Slot Club in the Philippines for US$750,000.
Melco International, holding some 64.8 per cent of the issued shares of EGT, expects the two deals will bring in some US$1.89 million.
Prior to the sales agreements, the electronic gaming machines to be sold were respectively rented to the owners of the NagaWorld Casino and the Leisure World VIP Slot Club, the rental agreements of which were both terminated on June 30.
The Hong Kong-listed company did not name the purchasers in the two deals. But it indicated the sales of 154 gaming machines is to a company ‘principally engaged in the gaming, recreation and leisure businesses,’ while the other deal involving 670 machines was reached with ‘an individual’.
EGT, listed on NASDAQ, is primarily engaged in slot operations, development and operation of regional casinos and gaming clubs in the Indo-China region.