Genting Malaysia will acquire the 10% economic interest in New York state entity Empire Resorts Limited that it doesn’t already own from the family trust of Lim Kok Thay and family for US$41 million plus added debt, the company has revealed.
The Membership Interest Purchase Agreement was announced via a Bursa Malaysia filing on Friday and will include both the US$41 million cash consideration plus acceptance of an intercompany loan owing by Empire to the Lim’s Kien Huat Realty III (KH) Limited amounting to US$39.7 million.
KH currently holds 51% of Empire Resorts common stock with Genting Malaysia holding the remaining 49%, however Genting Malaysia has equity accounting 90% of the entity’s losses because it also owns Empire convertible preferred stock.