Wynn Resorts raises $1.63 billion in Asian initial public offering
Wynn Resorts raised $1.63 billion in its Asian initial public offering Wednesday after selling 25 percent of its Macau holdings at a price higher than it had expected.
The 1.25 billion shares of Wynn Resorts will be listed on the Hong Kong Stock Exchange late next week, according to published reports.
According to Dow Jones and Reuters, the shares were sold for $10.08 per share in Hong Kong dollars, or $1.30 per share.
The portion of shares set aside for institutional investors attracted 20 times more interest than could be accommodated, according to sources. About 10 percent of the shares were allocated to retail investors.
Hong Kong analysts said the IPO’s success was a sign that demand was still strong for certain offerings despite a glut of stock deals.
Wynn, which operates Wynn Las Vegas and Encore, controls Wynn Macau and is expected to open the $650 million Encore at Wynn Macau next spring. Recently, the company said it was exploring development of a hotel-casino project on Macau’s Cotai Strip region on a site the company has controlled for several years.
Gaming revenues in Macau, like Las Vegas, have been impacted by the worldwide recession. But strong revenue growth in Macau in the previous four years exceeded those of the Strip and Atlantic City combined in 2008.
Contact reporter Howard Stutz at hstutz@reviewjournal.com or 702-477-3871.
