PBL Considers Betting on Bonds

As reported by the Australian: "James Packer's Publishing and Broadcasting will weigh up a junk bond issue and a US stock market listing to help fund its $3 billion Macau casino plans.

"PBL executive chairman James Packer said yesterday that the company was looking at 'all financing operations, including high-yield bonds and a possible initial public offering' for its Macau casino plans.

"…PBL has to pay Las Vegas casino operator Steve Wynn more than $600 million by the end of September for his share in a Macau casino licence.

"PBL will own 60 per cent of the licence while its Hong Hong-based partner, Melco, will own 40 per cent.

"…PBL said yesterday that a non-recourse financing deal for the City of Dreams project and the acquisition of the casino licence was expected to be signed early next month, with syndication targeted for the first half of 2007.

"ANZ is the lead bank in the financing, working alongside Barclays, Deutsche Bank and Bank of America.

"At the same time a consortium of banks, including UBS, Credit Suisse and Citibank, is working on a possible float of the PBL/Melco assets in Macau on the US over-the-counter market…"

2006-08-23