Macau Fisherman’s Wharf sells HK$200 mln in bonds to improve parent company’s cash-flow

Macau Fisherman’s Wharf, a subsidiary of gaming company Macau Legend Development Limited, has disposed of HK$200 million (US$25.4 million) in bonds as a way to ‘strengthen’ the group’s cash-flow.

In a Hong Kong Stock Exchange dispatch, Macau Legend the Bonds were originally issued by Luso International Banking Limited in December 2018, with the proceeds of the sale to be used as ‘working capital’.

‘[Macau Legend] purchased the Bonds for investment purposes. In light of the market situation, the Board considers that the Disposal of the Bonds provides the Company with a good opportunity to realise the Bonds investment in order to strengthen the cash-flow of the Group and to better structure its asset portfolio,’ the company headed by Melinda Chan Mei Yi added.

Macau Legend is mainly engaged in the provision of services to SJM Resorts, S.A. for the operation of Babylon Casino and Legend Palace Casino; the operation of a casino inside Savan Legend Resorts resort in Laos PDR; and the operation of hotels, entertainment and leisure facilities within its properties.

The group ended 2021 with a total of HK$1.19 billion in net losses, a 39 per cent reduction from the previous year, the gaming company indicated in its latest financial report.

CEO Melinda Chan revealed in June that Macau Legend was planning to streamline its operations due to the poor business environment, leading to a 16 per cent staff reduction. 

As of the end of 2021, Macau Legend had a total of approximately 3,603 employees – less about 200 than the same period of the previous year – including approximately 1,122 gaming operation employees who were employed and paid by SJM but over whom the Group exercised oversight in accordance with its service agreement.