Genting Malaysia Bhd is suing Walt Disney Co and Twenty-First Century Fox Inc for more than US$1 billion for allegedly reneging on the planned construction of the first Fox-branded theme park.

Reuters reported Genting as saying that "seller's remorse" induced Fox to breach a 2013 contract to license intellectual property for Fox World, the park planned as an addition to the Resorts World Genting complex.

According to the complaint, Genting accused Disney of wanting to terminate the contract because associating with a casino operator would not fit into its "family-friendly" branding.

The lawsuit, filed in the US District Court in Los Angeles, comes amid Disney completing its US$71.3 billion purchase of many Fox assets, expected in the first quarter of 2019.

Genting was also reported by Reuters as saying that the manner in which Fox issued a default notice was "entirely consistent with Disney wanting to kill the deal" to benefit itself.

"Given that FEG (Fox Entertainment Group) had no right to terminate the Agreement, Fox and Disney are liable for what will exceed a billion dollars in damages attributable to the bad-faith behaviour of both Fox and Disney," the complaint read.

Genting said it had already made a "US$750 million-plus investment" in Fox World. 

Following reports of the lawsuit, Genting emerged as the top active counter on Bursa Malaysia, with its share price dropping 42 sen to RM3.18, after opening 60 sen lower at RM3.00 today.