Content Writer: Janice Chew • Monday, 25/10/2025 - 14:38:53 - PM
Macau Legend Development Ltd has announced a planned rights issue aimed at raising HK$93.0 million (approximately US$12 million) through the issuance of 310,059,356 rights shares at a subscription price of HK$0.30 each, on the basis of one rights share for every two existing shares. The company intends to deploy the net proceeds toward general working capital—covering trade payables, property tax obligations, interest payments, and operating expenses.
To improve its listing structure and marketability, Macau Legend also plans a 10-for-1 share consolidation, merging every ten existing shares into one new share, while restructuring its board lot size accordingly. The consolidation is designed to lift the per-share price (which had been trading near HK$0.10), enhancing liquidity and attracting broader investor interest.
Major shareholders, including Mr. Li and Elite Success, have committed to fully subscribe to their entitlements in the rights issue. Underwriting arrangements are in place: the rights issue is fully underwritten by co-underwriters, subject to customary conditions. The offering is restricted to “qualifying shareholders,” with non-qualifying shareholders to have their nil-paid rights shares sold and net proceeds distributed proportionally.
This capital raise comes amid mounting financial strain on the company. Macau Legend has reported significant losses in recent periods, and faces regulatory headwinds: its satellite gaming operations, including its Casino Legend Palace at Fisherman’s Wharf, must transition to a new regulatory regime by January 2026, when the existing SJM partnership will end. In announcing the fundraising plan, the company emphasized the rights issue as a preemptive equity method that allows existing shareholders to maintain proportionate stakes rather than diluting via open placement.
