Malaysia-listed Halex Holdings has dropped a plan to invest in a Cambodian lottery business after failing to get enough documentation from its potential partner.
Halex in September entered into a memorandum of understanding (MoU) to buy at least 51 percent of VW Win Holdings Plc from major shareholder Goh Teik Keng.
VW Win currently operates a licensed lottery gaming business in Cambodia, and intends to apply for and operate an online gaming license in the kingdom.
However, Halex said in a stock exchange filing that it “has not been provided with complete documentation to enable the company to carry out the requisite due diligence exercise as stipulated in the MoU. As such the company has decided to terminate the MoU with Goh Teik Keng, the major shareholder of VW Win Holdings Plc.”
The conditions had stipulated that Halex should receive written approval from the relevant authorities in Cambodia with regards to the proposed sale and purchase of the shares; the completion of legal and financial due diligence on the business of VW Win; and obtaining shareholders’, Bursa Malaysia’s and Securities Commission Malaysia’s approval.
The MoU also stated that VW Win must obtain a valid online gaming license in Cambodia.