Electronic gaming machine manufacturer RGB International Bhd said the tender to operate the Savan Vegas Hotel in Laos has been terminated.
"The Board of Directors wishes to announce that the tender for sales process for the Savan Vegas Hotel & Entertainment Complex in Lao PDR was terminated by the Government of Lao PDR (People's Democratic Republic)," said RGB in a filing to Bursa Malaysia.
In March, RGB International announced that its subsidiary RGB Macau Ltd, together with consortium members Datuk Chuah Kim Seah and Ung Chi Fong, had been shortlisted to bid for the acquisition of the casino hotel. Bids to purchase and operate the complex would be submitted on May 10, 2016.
Five other interested parties were shortlisted to submit their respective tender to bid for the concession agreement at the time.
Last week, Lao Holdings N.V., the parent company of Sanum Investments Limited, filed three legal actions against the Lao Government.
The legal action is related to the violation of the 2014 settlement agreement reached by both parties, stipulating the sale of the Savan Vegas Hotel and Casino, and other assets, for maximum value to the benefit of all parties.
These actions have been taken in direct response to the expropriation and planned sale of Sanum’s gaming and hotel complex located in Savannakhet, Laos.
It was not clear whether the termination of the tender process was related to the legal actions taken by Sanum Investments.
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