Melco International Development Ltd. (200), controlled by Lawrence Ho, son of billionaire Stanley Ho, plans to extend the due date for HK$1.2 billion ($155 million) of convertible loan notes and cut the conversion price.
The note maturity date would be pushed to Sept, 2013, from Sept, 2010, the company said in a statement to the Hong Kong stock exchange. The conversion price would be HK$3.93 a share instead of HK$9.965, it said.
“If the maturity date of the convertible loan notes is not extended before the company publishes its 2009 account, the company will have a going concern issue since its current liabilities will exceed its current assets,” it said in the statement.
The notes are held by Great Respect, which is controlled by a discretionary family trust of Stanley Ho, the company said.
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