CASINO

Success Universe chairman increases stake in casino company

TAGs: Sonny Yeung Hoi Sing, Success Universe

In a filing with the Hong Kong Stock Exchange, Success Universe Group (SUG) announced that its chairman and executive director, Sonny Yeung Hoi Sing, had bumped up his stake in the company from the previous 52.10% to 71.52%.  Through his company, Silver Rich Macau, Yeung now controls over 3.52 billion SUG shares.

Success Universe chairman increases stake in casino companyPart of the increase came through a deal with Japanese pachinko hall operator Maruhan Corp. The company sold its entire stake to Silver Rich for a cash payment of approximately $26.8 million, relinquishing all stocks at about $0.02 apiece.

SUG operates a number of operations across several sectors. Its portfolio includes businesses in travel-related fields, property investments and an investment project, Ponte 16. Ponte 16 is an integrated resort-casino located in the Inner Harbor of Macau. It includes a five-star hotel and casino and will soon see an entertainment and retail complex included. The casino offers 270,000 square feet of gaming space with 109 gaming tables, 3 VIP clubs and around 300 slot machines. It was built following a partnership between SUG and a subsidiary of SJM Holdings, which owns 51% of the operations.

In its financial report for 2017, SUG reported operating revenue of $75 million, with gross profits of around $2.56 million. It added that its 2017 losses had narrowed slightly compared to the previous year. In 2016, the company reported losses of $3.95 million and last year, the losses were only $3.79 million. Part of last year’s losses came from the disposal of the firm’s China-based lottery businesses in September.

The same filing discussed the outlook for 2018, stating, “With the solid economic foundation set in 2017, the outlook of global economic growth is expected to be positive in 2018 amid the political uncertainties. In order to capture the opportunities and to benefit from the recovering market sentiment, the Group has significantly re-shaped the business portfolio with progressive development of property investment business and the Disposal, and will continue to evolve the offerings in the entertainment and tourist-related industries to create greater value.”

Yeung said in the filing, “The global economy is expected to grow at a strong pace and the Group is optimistic about the economic outlook for the year ahead. The Group has made further progress in its property investment business since 2016, and will continue to strengthen its competitiveness by exploring new opportunities. It will also strive to fortify its business portfolio to capture the enormous market potential, by leveraging on its experience in entertainment and tourist-related industries.”

Comments

views and opinions expressed are those of the author and do not necessarily reflect those of CalvinAyre.com