Gambling crackdown in Cambodia tanks M'sia Dreamgate share price

Dreamgate down on new Cambodia gaming rules

Thursday, 05 March 2009
Written by Joe Chin
The Edge Daily (Malaysia)

KUALA LUMPUR: Share price of Dreamgate Corp Bhd fell on March 5 on concerns over Cambodia government’s new gaming rules, which prompted RAM Ratings to downgrade its RM200 million debt notes to negative.

At 10.44am, it was down 0.5 sen to 10.5 sen. There were 667,100 shares done.

RAM Ratings placed the company’s A1/P1 ratings on its RM200 million debt notes (2007/2014) on Rating Watch, with a negative outlook.

The Rating Watch reflects RAM Ratings’ concerns about the adverse impact of the recent changes in Cambodia’s gambling regulations, which are expected to have negative implications on Dreamgate’s credit profile.

Dreamgate's "Chateau de Bavet" is coming to Phnom Penh; Are you ready to bask yourself in this island of luxury in the middle of Cambodia's misery?

Dreamgate To Invest RM20 Mln In Cambodian Club

KUALA LUMPUR, July 4 (Bernama) -- Dreamgate Corporation Bhd plans an initial investment of US$6 million (RM20.454 million) in the Chateau De Bavet Club in Phnom Penh, Cambodia.

The club is expected to start operations in the second half of next year, Dreamgate's group managing director Datuk Chuah Kim Seah said in a statement Wednesday.

Through its wholly-owned subsidiary Macrocept Sdn Bhd, Dreamgate has acquired a 40 percent stake in the club with the remaining 60 percent held by three Cambodian nationals.

Chuah said the main activities of the club are in gaming, accommodation, food and beverage, and entertainment.

"More importantly, we will be able to showcase the latest range of gaming machines and equipment," he said.

The Dreamgate group is a distributor of various leading brands of gaming machines and table games equipment in Asia.

It is also a key provider of technical support management and research and development, and various activities in the gaming industry.

"We look forward to positive contributions from this new partnership which will create added values to our shareholders," Chuah said.

Currently a Mesdaq listed company, Dreamgate has submitted an application for its proposed transfer to the Main Board of Bursa Malaysia.