Ho-backed Summit Ascent in Russia move

 

Summit Ascent Holdings Ltd. says it had entered into a preliminary agreement for a gaming resort development investment in Russia, with a deadline set of August 15 to finalize the deal. The company did not disclose details of the project but said the Hong Kong Stock Exchange’s listing division had taken the view that the proposed deal structure would constitute a reverse takeover. The company, whose current business is the trading of tiles and engineering equipment, said it might request a review of that decision and was considering other options with its advisers. Lawrence Ho, chief executive and co-chairman of Melco Crown Entertainment Ltd., owns 37 percent of Summit Ascent. The Wall Street Journal, citing an unnamed source, said the company had been picked by the government of the Primorye region, which borders China and North Korea, to develop a casino outside Vladivostok. Primorye is one of only four areas of Russia, all remote border districts, where casinos have been allowed since 2009. The newspaper said the casino would open in the second half of 2014.