Hong Kong Tycoon May Be The Future of Cairns Australia Casino

Shares in the Australian casino operator Reef Casino Trust skyrocketed to the highest starburst wheellevel investors had seen in 6 years after Tony Fung, a tycoon from Hong Kong made an offer to purchase.

Fung, at the helm of his company Aquis, originally announced plans for a $4.2 billion AU mega resort and casino in August 2013, a project that Fung has called publicly a “man made wonder of the world.” He intends to make the site the home of aquariums, multiple hotels, a casino, villas, apartments, shopping malls, theaters, golf, and sports arena.

The family business, Aquis Casino Acqisitions valued the Australian casino at $213.6-million AU, approximately $4.354 per share. Reef Casino Trust is the owner of the only Cairns casino, located in northern Queensland. Investors saw Reef shares climbing 44% to $4.10 then steadying off at an even $4.

In order for Aquis’ proposal to become a done deal, Fung and his family company will require

  • satisfactory due diligence completion
  • regulatory approvals attainment
  • and entry into “definitive transaction documentation.”

A committee has been put together by the Board of Reef Corporate Services LTD. The committee is made up of independent directors for the sole purpose of considering the Aquis proposal.

Other proposal terms include

  • The acquisition of Casinos Austria International Pty LTD (Cairns)
  • The acquisition of Reef Corporate Services Limited
  • And the acquisition of the Reef Hotel Casino.

Reef’s representatives stated that the deal depends on Aquis also acquiring Casino Canberra Limited, as it is a subsidiary (wholly owned) by Casinos Austria International. Casinos Austria International owns 100% of the other two necessary acquisitions.

According to sources, the subsidiary has interest in 70% of Reef Casino Trust units and supports the proposal made by Aquis if all is satisfactory and if no greater offers are made between now and signing.

Original source(s): Here