HONG KONG, April 22, 2010 (GLOBE NEWSWIRE) -- Melco International Development Limited ("Melco" or the "Group") (HKSE:0200) today announced the disposal of its indirect wholly owned subsidiary, Elixir International Limited, which is engaged in sale of hardware and software in Macau and the provision of related maintenance and consultancy services. The disposal is in line with the Group's strategy of divesting non-core business and sharpening the business focus on Gaming and Macau.
According to the agreement, Melco will sell the entire equity interest of Elixir International Limited at a consideration of HK$371,029. In addition, Melco will receive a HK$40 million loan repayment, which further enhances the Group's liquidity and financial position.
Mr. Lawrence Ho, Group Chairman and CEO of Melco, said: "I believe this transaction is at the best interest of the shareholders' value. Through the disposal of non-core business, Melco can further streamline and focus its businesses on the leisure and entertainment segment."
For the avoidance of doubt, the disposal has no effect on the Group's 39.5% equity ownership in Elixir Gaming Technologies, Inc. (NYSE Amex:EGT), a provider of electronic gaming machines on a participation basis in Pan-Asia.
For details, please refer to the announcement posted on the Stock Exchange website and company website www.melco-group.com.
About Melco International Development Limited
Founded in 1910 and listed on the Hong Kong Stock Exchange in 1927, Melco was among the first one hundred companies established in the city. 2010 marks the 100th anniversary of Melco. Today, under the leadership of its Chairman and Chief Executive Officer, Lawrence Ho, Melco is a dynamic New Generation Asian leisure and entertainment company focused on Gaming and Macau. Its promising performance and distinctive leadership in the industry are also well recognized worldwide. Melco was recognized by FinanceAsia magazine as one of Hong Kong's Best Managed Companies for the third year in 2009. It is also the first entertainment company to receive the "Hong Kong Corporate Governance Excellence Awards 2009" by the Chamber of Hong Kong Listed Companies and the Centre for Corporate Governance and Financial Policy, Hong Kong Baptist University. For more information about Melco, please visit www.melco-group.com.