Recently, Donaco released an update on its legal dispute with the vendors of the Star Vegas casino business in Cambodia. It was earlier announced on 12 June 2018 that Donaco was granted an injunction in its favour by the Banteay Meanchey Court of First Instance in Cambodia, to prevent the vendors of the Star Vegas business from threatening to terminate the lease of the land on which the Star Vegas sits. Unless it can be overturned by another court or arbitration ruling, this injunction will remain in force for an indefinite period of time.
It was observed that vendors have committed a number of breaches of the lease agreement, specifically by encroaching on the land leased to Donaco. Consequently, the vendors have alleged that Donaco has committed various breaches of the lease. Now the vendors have commenced arbitration proceedings in Cambodia over these disputed matters that are under the lease. Management is confident of its position in the arbitration proceedings as the judgment which is already made by the Cambodian court is in its favour. The group’s Star Vegas business has been still recovering from impact of the Thai vendor’s breaches of contract while Aristo International Hotel Casino visitation has been up as per March quarter update. There was no change in the price for (ASX:DNA) as of now and it was trading near its 52-week low price that is $0.145 (as on 29 June 2018; 13:37 PM AEST).
The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkine.com.au and associated websites are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). The information on this website has been prepared from a wide variety of sources, which Kalkine Pty Ltd, to the best of its knowledge and belief, considers accurate. You should make your own enquiries about any investments and we strongly suggest you seek advice before acting upon any recommendation. Kalkine Pty Ltd has made every effort to ensure the reliability of information contained in its newsletters and websites. All information represents our views at the date of publication and may change without notice. To the extent permitted by law, Kalkine Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss or data corruption). If the law prohibits this exclusion, Kalkine Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services. There may be a product disclosure statement or other offer document for the securities and financial products we write about in Kalkine Reports. You should obtain a copy of the product disclosure statement or offer document before making any decision about whether to acquire the security or product. The link to our Terms & Conditions has been provided please go through them and also have a read of the Financial Services Guide. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.