Macau Legend Development Sold A Chunk Of Holdings To Tak Chun Group

Article by : Helen Dec 9, 2020

It is not a secret that the Covid-19 pandemic generates difficulties, but once the Macau gambling industry rebounds, several investors will make a considerable profit. Levo Chan, the CEO of Macau gambling junket firm Tak Chun Group acquires a 20.65% stake in Macau Legend Development company in September. By increasing his holdings, he became the second-largest shareholder and currently controls a 20.75% stake. This acquisition has allowed Levo Chan to take up the post of Executive Director and co-chairman of the company.

The company decided to sell a significant stake after it had faced a loss of HK$550.2 million for the first six months in 2020. Chan’s goal was to increase his assets, and this stake in Macau Legend cost him $162.2 million. The acquisition was made through his own investment firm Perfect Achiever Group Ltd, and the details were made public on the Hong Kong Stock Exchange. However, Levo Chan had decided to continue the process of acquisition and bought an extra 771.24 million shares, meaning he received 12.44% of the total issued share capital. The company’s stock was trading at $0.15, but on November 19 it fell to $0.13, and instead of $104.5 million that Chan had to pay, he probably would pay less. Not to mention that the highest pre-pandemic share price was $0.20 and it was recorded in summer 2018.

According to recent changes, Levo Chan and his spouse are the largest shareholders and have got even more holdings than the founder of Macau Legend and his spouse.

David Chow Kam Fai and Melinda Chan Mei Yi are left with a 9.89% share after they sold 20% of their stake. At the same time, 18.03% share in Macau Legend is held by Li Chi Keung, the chairman of junket group Golden Glove. The wife of Stanley Ho, the gaming oligarch, is holding a 16.28% share in the company.

There are some key executives at Macau Legend whose holdings can’t be bought by Chan. So, the holdings owned by CEO Melinda Chan, Chairman, and founder David Chow, Madam Lam Fong Ngo, the founder’s mother, and directors Li Chi Keung and Sheldon Trainer won’t be transmitted to Chan. He isn’t able to buy shares that belong to Vast Field Investment Ltd as well. Anyway, the businessman’s investment company is going to work with the Offeror Concert Party Group, which has 79.88% of Macau Legend and doesn’t include Vast Field.

Except for some non-gaming entertainment properties and hotels, Macau Legend provides gaming services to SJM Holdings at Legend Palace Casino, Landmark Casino, and Babylon Casino. The company also operates the Savan Legend Resorts in Laos and Cape Verde and is going to develop entertainment complexes and tourism in these regions.

After the acquisition, changes in the Macau Legend board have taken place. Some directors handed in their resignation, and Mark Fong Chung, Donald Chow Wan Hok, Carl Tong Ka Wing, and Sheldon Trainor-DeGirolamo have left office. While Chow has taken over as co-chair and a non-executive director, the chief financial officer for Tak Chun Group’s junket operations, Tsang Ka Hung, will take up the posts of Executive Director, Chief Financial Officer, and company secretary. Macau Legend’s CEO hasn’t changed, and Melinda Chan remains in her post. Gaming experts noted that changes in Macau Legend might lead to liquidity improvements and show how the junket operator is merging with resort operations.

  1. Macau Vaccines Come Too Late To Save It From Another Bummer
  2. Tak Chun to Open Its VIP Gaming Club at Revamped Londoner Macau
  3. Macau Casinos’ January Revenues Are in Line with the Slow Rebound Expectations
  4. Macau’s December Hotel Occupancy at Its Highest Since January 2020
  5. Macau’s Mass Market Segment on the Path to a Faster Recovery than VIP
  6. The Londoner Macau Opens for Chinese New Year
  7. Sanford Bernstein Forecasts Macau Recovery In Late 2021, Rebound in 2022
  8. Four Macau Casino Operators Please Their Employees With Early Year Bonuses
  9. Macau Is Ready To Open Its Casinos And Is Positive On Increasing Tourist Arrivals
  10. Morgan Stanley Does Not Share Enthusiasm Over Macau’s GGR Recovery
  11. Macau Casino Industry to Continue Its Recovery in 2021, But It Might Take Years to Bounce Back
  12. Macau Poised to Post 80 Percent Revenue Reduction
  13. The Londoner Macau to Partly Open in February
  14. Macquarie: Macau Is Likely to Extend Existing Concessions Beyond Mid-2022
  15. Macau Government Expects a 71% Year-on-Year Drop in Gaming Tax Revenues in 2020
  16. When Macau Gets The Vaccine And How The Gaming Stocks Respond To This News
  17. Macau & Digital Yuan: Could It Be the Dawn of a New Era for Macanese Casinos?
  18. The Londoner Hotel in Macau May Start Welcoming Guests in February 2021
  19. With the Casino Industry in a Crisis Mode, Macau’s Gaming-Related Crime Is in Decline, Too
  20. Bernstein Research: Premium Mass Gamblers Could Be the Key to Macau’s Casino Industry Recovery
  21. What Should Be Done Before New Macau Gambling Law Adoption
  22. Macau Is About To Focus On International Sports
  23. How Covid-19 Impacts Macau’s Revenues
  24. The Implications Of The American Choice On Macau
  25. Pandemic Forces Macau Gaming To Pivot Or Suffer
  26. Macau 2022 Tenders Raise Uncertainty As Former Advisors Chime On The Deadline
  27. Macau: SJM Holdings to Emerge As Market Leader Post-COVID
  28. Macau's The 13 Leaps Out Of The Frying-Pan Into The Fire
  29. Macau Faced Some Mixed Blessing: Casinos On, Revenue Off
  30. Unnerving Forecast: Macau And Singapore Expect Staff Cuts
  31. Macau Casino Unemployment Rate Rises Sharply
  32. Macau Casinos are Bleeding and Seeking Hopium as COVID-19 Takes Its Toll
  33. Macau SAR China


Chief Editor

SlotsUp - Free Slots Universe at FacebookSlotsUp slot games at PinterestSlotsUp at TwitterSlotsUp's Slot Games video reviews at Youtube