GENTING SINGAPORE PLANS $1.14 BILLION RIGHTS ISSUE wsj.com
Genting Singapore PLC said it will raise up to S$1.63 billion (US$1.14 billion) in a rights issue to boost its capital position and further develop its business. The company estimates that the majority of the capital, 60%, will be used for “future strategic opportunities” while the remaining 40% will be used for working capital purposes.
The operator’s S$6.59 billion resort-casino project on Sentosa island is due to open in 2010. The company maintains that the project is adequately financed and will be completed on time. Commentators speculate that some of the proceeds of the rights issue could be used to invest in casinos in Macau. Genting Singapore, which owns 45 casinos in the U.K., is 54.3% owned by Malaysia's Genting Bhd.