THE M3: PANSY HO NON-COMPETE AGREEMENT; MBS CLUBS DELAY; CHINA HOUSING

The Macau Metro Monitor, May 10, 2011

 


PANSY HO CAN KEEP FAMILY SHARES AFTER MGM CHINA LISTING SCMP

Pansy Ho's non-compete agreement with MGM China Holdings will let her keep her directorship and 3.77% minority stake in STDM, the parent of SJM Holdings.  MGM China said, "As Pansy Ho is a director and substantial shareholder of the company, she does not intend to participate in board decisions of STDM which concern the exercise of rights attaching to its indirect majority shareholding in SJM."  In addition, Ho and her associates can own shares in STDM as long as they do not directly or indirectly control the firm, and so long as STDM's Macau casino investments are confined to publicly listed SJM.

 

Any breach of the non-compete agreement by Ho that is triggered by the activities of STDM, SJM or Shun Tak Holdings would give her 30 days to resolve the situation. Ho would then have three options: undo such a breach of the agreement, sell down her stake in MGM China to below 20%, or sell down her stake in Shun Tak, STDM or SJM to a level that "no longer causes a breach".


LAWSUIT MAY DELAY US CLUBS' OPENING AT MBS Business Times

Because of a legal battle between the operators of American celebrity nightclubs Pangaea and Avalon and a former partner, MBS said the clubs' opening in July 2011 will be delayed by at least another month. Also, MBS is moving ahead with a new parter after Kraze, which has ties with South Korean entertainment company Krazetech, failed to get the intellectual property rights to operate the clubs under the brands, Avalon and Pangaea.

 

HOUSING TRANSACTIONS FALL IN MORE KEY CHINESE CITIES; PRICES MOVE LITTLE Business China

Housing transactions fell in 25 of the 35 key cities monitored by the China Real Estate Index System (CREIS) in the week of May 2-8, following a short-term boost over the three-day Labor Day holiday, although prices remain high.  Of the nine most closely watched cities - Beijing, Tianjin, Shanghai, Wuhan, Nanjing, Guangzhou, Shenzhen, Chengdu and Chongqing - seven saw week-on-week declines.