RGB International Bhd, through its subsidiary RGB Ltd (RGBL), has formalised a strategic partnership to lease and operate 432 electronic gaming machines across 18 casino venues in the Philippines.
In a Bursa filing today, RGB said its board of directors ratified the signing of a Deed of Amendment and Restatement (DOA&R) between RGBL, Pinnacles Inc, and Timor Holding SA (THSA).
The agreement amends a prior investment agreement from 2019, formalising the leasing and operation of the gaming machines under the project leasing agreement, which is a related party transaction.
Key figures in the transaction include Datuk Seri Chuah Kim Seah, a significant shareholder of THSA through 1 Georgetown Ltd and a director of RGBL, and Datuk Lim Tow Boon, who holds major positions and shares in both THSA and RGBL.
The total investment cost for the project is approximately USD15.54 million, with RGBL contributing 50%, Pinnacles 30%, and THSA 20%.
RGBL’s investment, including a 50% share of the gaming machines and associated accessories, amounted to USD4.45 million.
The partnership aims to leverage the strengths of each party to enhance their presence in the Philippine gaming market.
The transaction does not require shareholder approval and is not expected to have a material impact on RGB International’s financials.
RGBI’s share price increased by 1.25% to 40.5 sen today, valuing the group at RM627.04 million. –TMR
