Landing International Development Limited has announced the appointment of Kingston Securities to raise up to HK$1.8 billion through share placement in order to complete construction of its tourist resort Jeju Shinhwa World in Jeju, Korea.
In a filing to the Hong Kong Stock Exchange, Landing International said it was seeking to place up to 24 billion shares with at least six placees at a price of HK$0.075 per placing share, representing a discount of 10.71% on the previous closing price of HK$0.084 per share. The shares are equal to approximately 19.45% of the existing issued share capital of the company.
“Assuming all the placing shares are successfully placed by the placing agent, the aggregate gross proceeds from the placing will be HK$1.8 billion,” it said. “The net proceeds, after deduction of all relevant expenses incidental to the placing of approximately HK$9.3 million, are estimated to be approximately HK$1.79 billion.
“The company intends to apply the net proceeds from the placing for the development of Jeju Shinhwa World and other working capital of the group.”
Landing International said it had achieved “certain major developments and revised its construction and business plans in relation to its investment in Jeju Shinhwa World,” including signing agreements with Four Seasons Hotels and Resorts Asia Pacific Pte Ltd to launch a luxury Four Seasons resort within Jeju Shinhwa World. It has also signed a theme park development agreement with Lions Gate Entertainment Inc for the development of a theme park built around world-famous movies named “Lionsgate Movie World.”
The company recently stated its intention to accelerate the construction and bring forward the completion of the waterpark, theme park hotel and dormitory and training facilities to 2018, and to build a new lobby and guest facilities within Somerset Jeju Shinhwa World to cater for guests’ expectations and operation needs.
Another possibility is the relocation of Landing Casino from the Hyatt Regency Jeju Hotel to Jeju Shinhwa World. Full completion of Jeju Shinhwa World is scheduled for 2019.
