Hong Kong’s Century Entertainment International Holdings that was formerly known as Amax International Holdings, has relocated gaming tables under its operation in Sihanoukville, Cambodia to a new location. This happened just after the company’s Chairman and owner of the casino in question revealed it was relocating.
According to a Monday filing, Century Entertainment Chairman and CEO Ng Man Sun have informed the company that he would be moving his Cambodian casino operations from its current home location at Sihanoukville’s Sunshine Bay Hotel after he and the landlord failed to reach an agreement on improving the lease terms in the wake of recent COVID-19 closures.
COVID-19 Situations in Century Entertainment
Due to this issue, the casino, operating under Ng’s wholly-owned Lion King Entertainment Company Limited, has relocated to the newly opened Ming Guan Hotel. The move came only months after Century Entertainment signed a five-year deal with Lion King under which it was assigned Gaming Table Business Rights for five years at a total consideration of HK$120 million.
Rumours have it that Ng was offered “comparatively more attractive terms” for this new location. In his speech, he told Century Entertainment that the new location will not have any impact on the validity of the Gaming Table Business Rights agreement.
According to Century Entertainment, the new casino will fill the entire block of hotels and facilities at a lower lease rate. Lion King has also considered that it would definitely be beneficial to the business performance of the Casino in the long run and has decided to move the operation of the Casino from its existing location at Sunshine Bay Hotel to the potential new location.”
New Location For The Company’s Assessment
Ng has also sent Century Entertainment on-site photos, videos and presentations regarding the new location for the company’s assessment. The Company noted that the Ming Guan Hotel is a newly constructed hotel that comes with a newly decorated casino venue ready for lease.
The basic reason behind the sudden decision to move the company to a new location was the inability of the landlord and CEO to reach a consensus. In a quest for better terms for its lease, Century moved its gaming tables to the new Ming Guan Hotel.
According to a filling sent to the Hong Kong Stock Exchange, Century Entertainment had gaming table business rights at the hotel for five years starting March 31. But with casinos remaining closed, the rights holder Lion King had been attempting to negotiate a reduction on the lease. Unable to negotiate, it’s now found better terms elsewhere and will move gaming tables to the new Ming Guan Hotel.
According to Century Entertainment International Holdings, the current facility remains closed and Lion King is still negotiating the final terms of the agreement. This location would provide the company with rights to use the 17,000 square metres of the hotel floor area for 50 slot machines, 40 mass-market tables and 40 VIP gaming tables. The hotel has 176 rooms, two restaurants, a swimming pool, spa and nightclub.