Melco International Resorts & Entertainment’s holding in the company that owns the Studio City Resort in Macau has edged higher following a recent share transaction.
Melco’s indirectly held MCO Cotai unit now owns 54.7 percent of Studio City International Holdings, up from 54.1 percent previously. MCO bought shares worth $280.8 million in the company at a price of $3.89 a share.
The other major shareholder is New Cotai, which increased its share to 37.22 percent from 36.8 percent through the subscription offer. New Cotai is a Delaware-registered firm indirectly owned by investment funds.
Melco said that following the share issue Studio City will have about $500 million to complete the next phase in the resort’s development. It will also repay certain debts.
Phase 2 is scheduled to feature more non-gaming entertainment, including a giant water park.