HK’s Daido buys $43 mln stake in a Macau hotel

Written on June 8, 2006 by admin

HONG KONG, June 8 (Reuters) - Concrete products distributor and property investor Daido Group Ltd. plans to buy a 12 percent stake in a five-star hotel resort in Macau for HK$336 million (US$43 million).Daido Concrete said in a statement on Thursday it would buy Jumbonet International Profits Ltd., which holds the stake in the resort, Grand Waldo Complex in Macau, from third party Ever Apollo Ltd.

The company said HK$181.6 million of the purchase would be paid in cash, HK$104.4 million would be settled by the issue of convertible bonds, and the remaining HK$50 million would be settled by the sale of promissory notes.

The bonds are convertible into Daido Group's shares at HK$0.116 each.

Shares of Daido Concrete fell 7.5 percent to HK$0.111 in early trade on Thursday. (US$=HK$7.8)

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