Genting subscribes to additional 300 million shares in RWS

PETALING JAYA: Genting International Plc has subscribed to an additional 300 million new shares in Resorts World at Sentosa Pte Ltd (RWS) for S$300mil cash.

Proceeds from its rights issue last year of 3.61 billion new shares would be used to pay for the new shares in RWS, Genting said in a filing with the Singapore Exchange on Thursday.

The additional investment in RWS via its wholly-owned subsidiary Star Eagle Holdings Ltd would not have any material impact on the net tangible assets and earnings per share of Genting for the financial year ending Dec 31, 2008, it said.

RWS, which was awarded the right to develop an integrated resort project on Sentosa island by the Singapore government in 2006, had completed in April the syndication of S$4bil credit facilities for the integrated resort development.

The credit facilities were expected to fund two-thirds of the S$6bil project cost with the remaining to be paid through equity raised through the successful rights issue last year by Genting International.

Genting International, the parent of RWS, is a 54.5% unit of Malaysia’s Genting Bhd.

Source