The new owners of Les Ambassadeurs Club, London’s high-end gaming venue, plan on focusing even more of the business on the Asian high-roller market.
Hong Kong-listed Landing International Development Ltd (0582.HK) filed papers on Friday with the Hong Kong Stock Exchange detailing its special general meeting on April 27, when shareholders will be asked to approve its GBP137 million (US$192.7 million) acquisition of the upmarket gaming venue in London in the United Kingdom, according to GGRAsia. In December, Landing International said a conditional deal had been struck for the acquisition of all the shares in the company controlling Les Ambassadeurs Club, with the exception of gaming debt receivables. United Kingdom-based firm, Twinwood Ltd, is the seller of the London venue.
In Friday’s filing, Landing International said that the company’s debt financing and internal resources would fund the acquisition. The development company said that following completion of the deal, Les Ambassadeurs Club “will continue to expand and focus on the Chinese markets for high rollers,” According to the filing, 50.3 percent of the club’s customer base in 2015 was from Asia. In addition, Landing International said, that despite potential higher risks, more favorable returns were expected from Asian high rollers. The firm also said that “through implementation of quality credit control measurements,” the risk of debt recovery would be reduced and manageable.
Currently, Landing operates its own casino in South Korea at the Hyatt Regency Jeju Hotel and in partnership with Genting Singapore is also developing a new mega-resort on Jeju. Landing International said in Friday’s filing, “The board considers now the right timing to expand and diversify its gaming operations into other markets by investing in a casino with well-defined and recognised brand name such as Les Ambassadeurs Club.”
An extract of Twinwood’s accounts indicates that for the full year of 2015 revenue was approximately GBP49.2 million, with approximately GBP21.6 million of that comprised by gaming revenue. Gaming revenue fell by about 79 percent compared to 2014.