Donaco International
has let the other shoe drop, announcing two new directors joining their board. This comes just a day after the casino operator announced the departure of their latest CEO.
In a press release, Donaco International revealed Mr Lee Bug Huy (aka Techatut Sukcharoenkraisri) and Mr Paul Porntat Amatavivadhana would join as non-executive directors on the company’s board, effective August 3, 2020. This happens as the company completes it’s Entitlement Offer and associated underwrite.
Amatavivadhana was the founding principal and CEO of Infinite Capital, a successful boutique corporate advisory firm based in Bangkok. Donaco noted he brings considerable experience in M&A, restructuring and capital raisings, with real estate experience to boot. Previously he also acted as non-executive director, having been appointed to the position in July 2015.
That restructuring experience may be necessary, as Donaco announced a 95% year on year drop in revenue for the first half of the year. In that announcement, they made clear that cost cutting would be a necessary next step to free up some capital.
Also joining is Huy, Vice President at the Casino at Donaco’s Star Vegas Casino & Resorts Co. He was also previously an executive director for Donaco in July 2015, and is touted for his experience in the slot machine business.
This comes just a day after Donaco confirmed Paul Arbuckle would be leaving his role as CEO on August 4. While his retirement was announced in 2019, Donaco has yet to find a replacement, leaving the company in an interesting position as it contends with its mounting losses and the Covid-19 crisis.
It’s not clear when a new CEO will be found, or if either Amatavivadhana or Huy are up for the job. The company has only noted that a number of candidates are “currently under consideration.”
After seeing more than a $5 million swing from profit to defecit, the company will want to get its plan in order quickly.
