James Packer’s Crown Resorts has offloaded part of its stake in Macau-focused Melco Crown Entertainment for US$800m.
Melco repurchased 155 million shares at US$5.17 each from a Crown subsidiary to lower the Packer company stake from 34.3 per cent to 27.4 per cent, the Australian-listed firm said in a statement on Wednesday.
“Crown intends to maintain a significant investment in Melco Crown Entertainment,” the company added. Shares in Crown, one of Australia’s largest entertainment groups, went up 5.75 per cent to A$12.50 in morning trade on Thursday after the news.
As part of the deal, Packer will step down as co-chair of Melco and become deputy chair. The Australian owns 53 per cent of Crown but in December resigned from the firm’s day-to-day running to focus on projects in Australia and the US.
