2007-10-23 01:38 (New York)
By Denise Kee
Oct. 23 (Bloomberg) -- Genting International Plc, a unit of Asia's biggest casino operator by market value, is seeking to borrow a record S$3.2 billion ($2.2 billion) to fund a casino resort in Singapore, three people with knowledge of the transaction said.
The overseas unit of Kuala Lumpur-based Genting Bhd. is adding to S$2.17 billion raised in a rights offer in August, andS$450 million of convertible bonds it sold in April to partly fund the resort.
Genting International's loan will push lending to Asia's casino industry to about $9.1 billion, more than double the total for last year, according to data compiled by Bloomberg. Lending to the region's industry is set to grow as countries including Japan consider joining Singapore in lifting bans on casinos.
``There are quite a few countries in Asia where gambling is banned,'' said Harsh Agarwal, a credit analyst with LehmanBrothers Holdings Inc. ``If more countries legalize gambling, we should see an increase in bank lending for casinos.''
Las Vegas Sands Corp., the world's largest casino operator by market value, hired eight banks last month to arrange a loanof about S$5 billion for its Singapore gaming resort.
Genting International's loan will be a record for the Singapore-listed company. The gaming operator has yet to pick arrangers, said the people, who declined to be identified because the information is private.
Tan Hee Teck, chief executive officer of Resorts World at Sentosa Pte, Genting International's S$5.2 billion casino project in Singapore, didn't return calls to his office today.
`History in Casinos'
The regulated gambling market in the Asia-Pacific region is expected to expand 15.7 percent a year to $30.3 billion in 2011, according to PricewaterhouseCoopers LLP. The region will replace Europe, the Middle East and Africa as the second-biggest gaming market after the U.S. by 2011, PricewaterhouseCoopers says.
Genting International will be building the casino on Sentosa island, known for its golf courses and beaches. The resort will include Southeast Asia's first Universal Studios theme park. Singapore's government lifted a four-decade ban on casinos two years ago and issued licenses to GentingInternational and Las Vegas Sands.
The Malaysian company said last year that its planned resort in Singapore could draw 10 million tourists a year by2015.
``Bankers will take a lot of comfort in that Genting does have a history in casinos,'' Hong Kong-based Agarwal said in a phone interview. ``Its Malaysia casino is doing quite well. Theywill also draw comfort in how well Macau is doing and howMalaysia is doing well.''
The parent company of Genting International, runs casino-resorts in Malaysia. Genting International also owns the U.K.'s biggest casino-operator, Stanley Leisure Plc. The Kuala Lumpur-based gaming operator has a credit rating of BBB+ from Standard& Poor's Corp., and Baa1 from Moody's Investors Service, the third-lowest investment grade.
--Editor: Unwin (net/lcc/phl/net/lcc)
To contact the reporter on this story:Denise Kee in Singapore at +65-6212-1514or Dkee2@bloomberg.net
To contact the editor responsible for this story:Netty Ismail in Singapore +65-6212-1106 ornismail3@bloomberg.net.
Showing posts with label Genting. Show all posts
Showing posts with label Genting. Show all posts
Thursday, October 25, 2007
DJ MARKET TALK: Genting Likely Neutral To Founder's Passing
2007-10-23 01:28 (New York)
0528 GMT [Dow Jones] Genting (3182.KU) +0.7% at MYR7.70 but may slip marginally in afternoon trade on news founder Lim Goh Tong passed away, says dealer; Lim was 89 years old.
"The impact on share price is likely to be minimal, at worst. He stopped playing an active role in the management of the company since he retired in 2004," says senior gaming analyst at a local brokerage. Lim Goh Tong's son, Lim Kok Thay took over the reins of the casino and hotels operator.
Associate Resorts World (4715.KU), last +0.5% at MYR3.76, also not expected to react to news, he adds, noting that any weakness in share prices of either stock should be viewed as an opportunity to accumulate.
(VGB) Contact us in Kuala Lumpur. 603 2692 5254; MarketTalk@dowjones.com
(END) Dow Jones Newswires 23-10-07 0528GMT Copyright (c) 2007 Dow Jones & Company, Inc.(AP-DJ-10-23-07 0528GMT)
0528 GMT [Dow Jones] Genting (3182.KU) +0.7% at MYR7.70 but may slip marginally in afternoon trade on news founder Lim Goh Tong passed away, says dealer; Lim was 89 years old.
"The impact on share price is likely to be minimal, at worst. He stopped playing an active role in the management of the company since he retired in 2004," says senior gaming analyst at a local brokerage. Lim Goh Tong's son, Lim Kok Thay took over the reins of the casino and hotels operator.
Associate Resorts World (4715.KU), last +0.5% at MYR3.76, also not expected to react to news, he adds, noting that any weakness in share prices of either stock should be viewed as an opportunity to accumulate.
(VGB) Contact us in Kuala Lumpur. 603 2692 5254; MarketTalk@dowjones.com
(END) Dow Jones Newswires 23-10-07 0528GMT Copyright (c) 2007 Dow Jones & Company, Inc.(AP-DJ-10-23-07 0528GMT)
Tuesday, October 23, 2007
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.
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.
Wednesday, October 10, 2007
Reality Bites Resorts World at Sentosa
By ARTHUR SIM
Business Times - 10 Oct 2007
MARK Burnett - creator of reality TV shows like Survivor and The Apprentice - has tied up
with Genting International to produce TV and game shows for the region.
Speaking at a tele-conference yesterday, US- based Mr Burnett, president and founder of Mark Burnett Productions, said that filming for the first show could begin as early as next year.
Based at Resorts World at Sentosa, the firm will use the resort's attractions and facilities for
some of its productions.
A joint-venture company called Mark Burnett Productions Asia (MBPA) will be formed,
with the two partners holding equal equity and investing up to US$20 million together.
The two partners were brought together in June by the Singapore Economic Development
Board (EDB).
Manohar Khiatani, assistant managing director of EDB, said: 'This decision underscores the
attractiveness of Singapore as a location where leading media content owners create and
manage their intellectual property assets.'
He said MBPA would reinforce the government's efforts to build Singapore into an
international media hub.
Mark Burnett International and Genting International will team up on a 10-year exclusive
partnership to develop, produce and distribute reality TV series and game shows for the
region. The partnership covers all of Asia except Japan and the Middle East.
Mr Burnett said: 'We've been doing business in and around Asia since our company was
founded and we've been looking at ways to do more in this massive market.'
Besides producing TV for Asia, MBPA will hold an exclusive licence to produce and
distribute these programmes to multiple media platforms that range from broadcast, the
Internet and mobile television.
The company will also develop original TV shows for Asia that will be licensed for format
productions worldwide.
Mark Burnett Productions has already made forays into other markets. Scot Cru, executive
(international), Mark Burnett Productions, said: 'Having recently launched Mark Burnett
Productions France, this is a natural evolution of our worldwide brand.'
He added: 'The fact that this deal was fast-tracked and took a very short time to negotiate is
evidence of both companies' recognition that it is a partnership that both companies felt was a
no-brainer.'
Copyright © 2007 Singapore Press Holdings Ltd. All rights reserved.
Business Times - 10 Oct 2007
MARK Burnett - creator of reality TV shows like Survivor and The Apprentice - has tied up
with Genting International to produce TV and game shows for the region.
Speaking at a tele-conference yesterday, US- based Mr Burnett, president and founder of Mark Burnett Productions, said that filming for the first show could begin as early as next year.
Based at Resorts World at Sentosa, the firm will use the resort's attractions and facilities for
some of its productions.
A joint-venture company called Mark Burnett Productions Asia (MBPA) will be formed,
with the two partners holding equal equity and investing up to US$20 million together.
The two partners were brought together in June by the Singapore Economic Development
Board (EDB).
Manohar Khiatani, assistant managing director of EDB, said: 'This decision underscores the
attractiveness of Singapore as a location where leading media content owners create and
manage their intellectual property assets.'
He said MBPA would reinforce the government's efforts to build Singapore into an
international media hub.
Mark Burnett International and Genting International will team up on a 10-year exclusive
partnership to develop, produce and distribute reality TV series and game shows for the
region. The partnership covers all of Asia except Japan and the Middle East.
Mr Burnett said: 'We've been doing business in and around Asia since our company was
founded and we've been looking at ways to do more in this massive market.'
Besides producing TV for Asia, MBPA will hold an exclusive licence to produce and
distribute these programmes to multiple media platforms that range from broadcast, the
Internet and mobile television.
The company will also develop original TV shows for Asia that will be licensed for format
productions worldwide.
Mark Burnett Productions has already made forays into other markets. Scot Cru, executive
(international), Mark Burnett Productions, said: 'Having recently launched Mark Burnett
Productions France, this is a natural evolution of our worldwide brand.'
He added: 'The fact that this deal was fast-tracked and took a very short time to negotiate is
evidence of both companies' recognition that it is a partnership that both companies felt was a
no-brainer.'
Copyright © 2007 Singapore Press Holdings Ltd. All rights reserved.
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