1 July 2015
Donaco International Limited (the Company) is pleased to confirm that its acquisition of the business of the Star Vegas Resort & Club in Poipet, Cambodia (the Transaction) was successfully completed today, 1 July 2015.
The Company now has ownership and control of the Star Vegas business.
Working Capital Facility
The Company has also signed binding agreements for the USD20 million working capital facility, in accordance with the proposed terms announced on 23 June 2015.
The Company has also agreed to issue warrants over a total of USD7m worth of shares in the Company to the lender under the working capital facility. The warrants are effectively options to subscribe for new shares in the Company The exercise price of the warrants will be based on the volume weighted average price over the 20 trading days prior to the drawdown date under the facility, which is expected to be 9 July 2015.
If the warrants are exercised in full, the warrant holder will be required to contribute USD7m in cash to the Company The number of shares to be issued will be fixed on the drawdown date. At the current volume weighted average price, and USD:AUD exchange rate, the total number of shares to be issued would be less than 1.5% of the Company’s issued capital base.
The Company can choose to cash settle the warrants on exercise. If the Company chooses to cash settle, then no new shares will be issued to the warrant holder.
For further information:
Phone: + 61 412 060 281
ABOUT DONACO INTERNATIONAL LIMITED (ASX: DNA)
Donaco International Limited operates leisure and entertainment businesses across the Asia Pacific region.
Our flagship business is the Aristo International Hotel, a successful boutique casino in northern Vietnam. Donaco operates the business and owns a 95% interest, in a joint venture with the Government of Vietnam.
Donaco is a pioneer casino operator in Vietnam. The business was established in 2002, and is located on the border with Yunnan Province, China. The property has recently been expanded to a brand new five star resort complex with 428 hotel rooms.
To learn more about Donaco visit www.donacointernational.com