[ET Net News Agency, 31 May 2017] Melco International Development (00200) said it
agreed to sell to 500.com Limited about 1,279 million shares of MelcoLot Limited (08198),
representing about 40.65% of the issued share capital of MelcoLot, at HK$0.252 per
MelcoLot share for a total of about HK$322 million.
Upon completion, the Melco Group will cease to have any interest in MelcoLot and
MelcoLot will cease to be a subsidiary of Melco.
500.com will make a conditional mandatory cash offer for all issued shares of MelcoLot
at HK$0.252 apiece, representing a discount of about 42.7% to the closing price of
HK$0.44.
The offeror is a leading online sports lottery service provider in the PRC. It intends
to continue with the MelcoLot Group's existing principal business and maintain the listing
of the shares on the GEM after the close of the offer.
Melco considers that the MelcoLot share sale is a good opportunity for the Group to
divest its non-core investments so that management can focus on the Group's core
operations and other business initiatives with more dynamic growth potential. (HL)