Genting Founder Lim Goh Tong Dies Age 90 After Short Illness

2007-10-23 03:00 (New York)

By Stephanie Phang

Oct. 23 (Bloomberg) -- Lim Goh Tong, who built a hilltop casino in Malaysia and turned it into Asia's biggest publicly traded gaming company, died today. He was 90.

The founder of Kuala Lumpur-based Genting Bhd. and Malaysia's third-richest person, died peacefully after a short illness, his grandson, Justin Leong, said by phone.

Lim, who started out selling vegetable seeds in China, built Malaysia's only licensed casino, risking his life and facing bankruptcy along the way. He created what is now Malaysia's eighth-largest listed company, with interests in gaming, hotels and cruise lines from the U.K. to Hong Kong.

``He's a legend,'' Tan Kai Hee, group managing director atHai-O Enterprise Bhd. and a council member of the Associated Chinese Chambers of Commerce and Industry of Malaysia, said in an interview in February. ``He's an impressive entrepreneur who went through very difficult and challenging times in building his business.''

The tycoon was born in the mountainous Anxi county in China's Fujian province. He was named after the parasol tree, considered auspicious among Chinese, by his maternal grandfather,who hoped the name would bring him good fortune, Lim said in his 2004 autobiography. Forbes in May put his wealth at $4.3 billion.

His father's death forced Lim to leave school and start selling vegetable seeds to support his family at the age of 16. In 1937, he left China for British-controlled Malaya, as the country was then known, where he became a building contractor.

Vegetable Farmer

During the Japanese occupation of Malaya from 1941 to 1945, Lim survived on vegetable farming and petty trading, before switching to dealing in hardware and scrap metal trading, on which he started to build his fortune. Lim, who narrowly escaped being killed by the Japanese during the occupation, said in his biography his brushes with death made him drive himself harder.

After the British returned to Malaya at the end of WorldWar II, Lim benefited from the post-war reconstruction. He bought used machinery tendered after public projects were completed and sold them at higher prices.

Lim, who didn't speak English and had no knowledge of engineering, also ventured into mining and construction. His experience ``and a little layman common sense'' helped him succeed, he wrote in his autobiography.

Enjoying the cool mountain air of a hill station while working on a hydroelectric project in 1963, Lim came up with the idea of building a hilltop resort nearer to Malaysia's capital of Kuala Lumpur. The plan stunned friends and fellow contractors,who warned Lim, then 45 and a successful businessman, against it.

`Against All Odds'

``The Genting project basically fitted my idea of an ideal business,'' Lim wrote. ``No one was interested in it, which meant no competition. I took the plunge against all odds and held on steadfastly.''

He spent seven years developing Genting, laying a road and building a hotel on a 1,800-meter (5,900-foot) hill outside the city. Failing to lure others to join, Lim invested all his money in the project without getting any returns in the seven years it took to build. `

`At one stage, I was teetering on the brink of bankruptcy,'' he wrote.

Lim had support from the government of Malaysia, which gained independence from British rule in 1957. The Malaysian government permitted him to pursue the project and subsidized the road. It also gave Genting a casino license, renewable every quarter, and a six-year tax break for the resort business.

During construction, Lim almost lost his life at least six times from falling trees, driving mishaps and a landslide, according to his autobiography.

`Virgin Jungle'

Genting, which means ``atop the clouds'' in Mandarin, is a complex of hotels, themed casinos, amusement parks, shops and restaurants. The resort attracts more than 18 million visitors a year.

``Besides being a tremendous individual achievement, Lim's success in developing Genting Highlands from virgin jungle into a world-class resort reflects Malaysia's economic progress in the last four decades,'' former Malaysian Prime Minister Mahathir Mohamad said in his foreword to the tycoon's biography.``Even without the advantages of higher education, he has proven that nothing is impossible.''

Lim married Lee Kim Hua in 1944. They had three daughters, three sons and 19 grandchildren, according to his biography. His second son, Lim Kok Thay, is Genting's chief executive officer.

The Genting group now includes Resorts World Bhd., which operates the casino in Malaysia. The group owns casinos in theU.K. and is building Singapore's second casino resort. Genting also has interests in oil palm plantations and power generation.

Kok Thay succeeded his father as president and CEO in 2002, before becoming chairman in December 2003. Genting needed to become a ``global corporation,'' Kok Thay said when he replaced his father as chairman in 2003.

--With reporting by Angus Whitley in Kuala Lumpur. Editor:T.Jordan (lcc)

To contact the reporter on this story:Stephanie Phang in Washington at +60-12-268-5530 or sphang@bloomberg.net

To contact the editor responsible for this story:Tony Jordan at +65-6212-1150 or tjordan3@bloomberg.net.