SJM Holdings Co-Chairman and Executive Director Angela Leong On Kei has acquired all interests in the group of companies that own Macau hotel and casino, L’Arc Macau.
According to a filing by SJM, Leong informed the company that, as of 17 May 2021, she had become the sole owner of L’Arc holding companies City Honour Developments Limited and Power Link Fortune Limited, which indirectly own L’Arc Macau operating entity L’Arc Entertainment.
No details of the size or nature of such transactions was provided, although SJM noted that Leong’s full ownership “represents a significant change from the earlier position where [she] was one of a number of investors in the indirect holding companies.”
Nevertheless, the company said a series of agreements between its subsidiary, Sociedade de Jogos de Macau, S.A (SJMSA), L’Arc Entertainment and VIP gaming promotor Suncity Group would remain in place.
Those agreements include an original 2009 agreement, since extended through to June 2022, under which L’Arc Entertainment provides support services to SJMSA in relation to marketing, promotion, customer development and introduction, as well as authorizing SJMSA to occupy and use a designated area of L’Arc to operate a casino under a third-party “satellite” arrangement.
A so-called “tripartite agreement” between SJMSA, L’Arc and Suncity relates to payments owed between the parties for VIP operations.
While those agreements are now connected transactions due to Leong’s ownership, SJM said it considers them to be “in line with the Group’s business of operating various satellite casinos, which is in the ordinary and usual course of the business of the Group.”
Leong has a close connection with L’Arc Macau, having been a 50/50 investor alongside Hong Kong real estate tycoon Cheng Yu-tung when the building first opened in 2009.