Paradise Entertainment said it has entered into a supply agreement for next year, worth a maximum of HK$40 million, with Chairman Jay Chun’s brother-in-law.
In a statement to the Hong Kong Stock Exchange, the company said the accord with “Mr Feng” will run from Jan. 1st next year.
Feng and his companies will sell and distribute electronic gaming products in the U.S., Canada, Australia and elsewhere on a non-exclusive basis.
The company said the supply of products will be based on normal commercial terms and will be priced at an 8 to 10 percent discount from the group’s suggested retail prices. It said the terms will be no less favourable to the group than those offered by third parties.
“The board believes that sale of the products to the buyers will raise the profile of our products, enhance our products’ penetration into overseas markets and generate additional revenue for the group,” it said.