Asian gaming and entertainments giant, Melco International Development Limited, has reportedly announced that the Philippine Stock Exchange has suspended the trading of shares in its Melco Resorts and Entertainment (Philippines) Corporation subordinate.
Minimal target deficiency:
According to a report from GGRAsia, Melco made the revelation via a Monday filing and additionally explained that the move was due to the proportion of publicly-floated shares in its subsidiary falling below the Philippines bourse’s 10% minimum.
Buy-back proving successful:
Melco Corp is responsible for the City of Dreams Manila integrated casino resort and has been listed on the Philippine Stock Exchange since late-2014. However, its Hong Kong-listed parent reportedly initiated a $208 million share buy-back scheme in September that has since seen the concern’s public float drop to only around 2.1%.
No listing advantage:
GGRAsia reported at the time that Melco International Development Limited’s decision to voluntarily de-list the subordinate came after it determined that the operator’s presence on the Philippine Stock Exchange had ‘not contributed to its ability to raise funds despite considerable efforts and expenses being incurred to maintain its listed status.’
According to its Monday filing…
“The trading of Melco Resorts and Entertainment (Philippines) Corporation shares on the Philippine Stock Exchange has been suspended. Melco Resorts and Entertainment (Philippines) Corporation’s public float is below the 10% minimum public ownership requirement under the amended Philippine Stock Exchange’s rules on minimum public ownership.”
Also responsible for the Altira Macau, Studio City Macau and City of Dreams Macau integrated casino resorts as well as the Mocha Clubs chain of electronic gaming machine parlors, Melco Int’l moreover declared that its MCO Philippines Investment Limited subsidiary now controls some 97.9% of the shares in Melco Resorts and Entertainment (Philippines) Corporation.