Asian casino operator, Donaco International Limited, has reportedly announced that it will be holding an extraordinary general meeting within the next two months after three of its principal shareholders called for an immediate shake-up to the firm’s board.
According to a report, the Sydney-listed enterprise used an official filing to detail that the move came at the request of major stakeholders Antonia Caroline Collopy and Spenceley Management Private Limited, which serves as a trustee for the Spenceley Family Superannuation and the Spenceley Family Trust.
Donaco International Limited is responsible for northern Vietnam’s Aristo International Hotel and the Monday filing reportedly explained that the shareholders hope to use the extraordinary general meeting in order to strip directors Ben Lim Keong Hoe and Joey Lim Keong Yew of their positions. The brothers are the grandsons of Genting Malaysia Berhad founder, Lim Goh Tong, and helped to establish the operator also behind Cambodia’s Star Vegas Resort and Club in 2002.
GGRAsia reported that Joey Lim had served as the Managing Director and Chief Executive Officer for Donaco but was dismissed from these roles ‘with immediate effect’ in March following a prolonged absence to be replaced on an interim basis by his brother.
The pair is said to have further angered investors after Australia’s Takeovers Panel ruled earlier this month that December’s acquisition by regional investments firm Orchard Capital Partners of a 9.71% stake in Donaco International Limited had been conducted in ‘unacceptable’ circumstances. This was reportedly because the purchaser had been simultaneously engaged in negotiations with a Lim-owned entity known as Total Alpha Investments Limited regarding the alleged default of a loan repayment.
For the twelve months to the end of last June, Donaco had reported a loss of about $88.4 million, which had largely been down to the $99.6 million non-cash impairment charge related to the ongoing dispute.