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Melco Crown seeks $200 Million to pay debt

NEW YORK, New York -- As reported by Bloomberg: "Melco Crown Entertainment Ltd., the casino venture between Australia's richest man James Packer and the son of Macau gambling billionaire Stanley Ho, is seeking to raise $200 million in a Nasdaq share sale to help repay debt.

"The Hong Kong-based company is offering 37.5 million American depositary shares, or 112.5 million common shares, Melco Crown said in an e-mail. The sale may be expanded by 10 percent to cover excess demand. The number of shares on offer represents a 7 percent stake in Melco Crown, according to Bloomberg calculations.

"Melco Crown is raising capital to accelerate repayment of a $1.75 billion project loan facility that financed the building of City of Dreams, the second-largest casino in the only Chinese city where casinos are legal. The gamble on a revival of Macau's gaming market nearly doubled its market share in the city.

"Macau's gambling revenue and visitor arrivals fell amid a global recession last year, prompting rival Las Vegas Sands Corp. to halt construction on a neighboring project in November. Casino sales rose 3.1 percent in July from a year ago, narrowing the decline in the first seven months to 10 percent, Portuguese news agency Lusa reported Aug. 3..."

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