Malaysian casino operator Genting International yesterday launched an initial share offer in Singapore worth S$280 million (US$165.68 million) ahead of its listing on December 12.

Genting International, which is among several firms vying to build Singapore's first casino resorts, is offering 800 million new shares at 35 cents each, a prospectus filed with the Monetary Authority of Singapore said.

Of the total initial public offering (IPO), 750 million shares will be sold under a placement scheme and 50 million shares will be allotted to retail investors.

The company said in its prospectus that on top of the IPO, it has also entered into a subscription agreement involving 96.58 million shares with four strategic investors.

It also has an over-allotment option of up to about US$103.4 million worth of additional new shares.

The company said it plans to use the proceeds from the share offer for investments in the leisure, hospitality and gaming sectors.

Trading on Dec 12

Genting International has teamed up with Universal Studios and its unit Star Cruises to bid for the right to build one of two casino resorts Singapore plans to open from 2009.

The share offer closes on December 8 and Genting International, which has a secondary listing, will start trading on the Singapore Exchange's main board on December 12.

Genting International chief financial officer Tan Hee Teck said that the company intends to invest US$3-4 billion to develop the Singapore casino if it wins the bid.

The company was incorporated in 1984 to invest in leisure and gaming-related businesses outside of Malaysia.