Macau gaming deals likely to generate more junk than EM interest, trader says

By Paul A. Harris

St. Louis, July 28 - Expected bond deals from three Macau-based gaming operations are likely to receive warmer receptions from traditional high-yield accounts than from emerging markets names, according to an emerging markets trader who focuses on high-yielding Asian issuers.

The three deals, all of which are expected in the fourth quarter of 2005, include:

* K. Wah Construction Materials Ltd., the owner of Macau's Galaxy Casino, with a proposed $800 million offering via Merrill Lynch & Co. and Morgan Stanley;

* Wynn Resorts (Macau) SA with a $744 million equivalent offering via Banc of America Securities and Deutsche Bank Securities; and

* Venetian Macau Ltd. with a $300 million (possibly a floating-rate note) offering via Goldman Sachs.

A U.S. high-yield syndicate official commented Thursday that the three deals are on the "shadow calendar" and that none are expected to launch prior to September.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.