Melco International Development Limited, the Hong Kong-listed parent company of Macau concessionaire Melco Resorts, confirmed earlier this week that it had raised net proceeds of HK$770.8 million (US$98.2 million) via a rights issue, after expenses.
In a filing, Melco International said the proceeds from the rights issue will be used to prepay a portion of the principal amounts outstanding and interest payable under the 2021 credit facilities. However, the total amount that can be utilized for this purpose comes to around HK$380.8 million (US$48.5 million).
This, the company explained, is because it had previously drawn down HK$390 million (US$49.7 million) in shareholder loans, including from Chairman and CEO Lawrence Ho and his associates.
