The company disclosed on August 31st that its indirectly held 21.5 percent equity interest in Zhuhai Lai Ieng, the entity controlling the commercial complex, will be put up for sale. Located in the Guangdong-Macau In-Depth Cooperation Zone, Hengqin Legend Ponto Square sits opposite the Hengqin Port and is considered a landmark mixed-use property in the district.
The property comprises a total of 971 real estate units, including 109 retail shops and 862 parking spaces. It will be sold on an “as is” basis, with no reserve price set for bidding. The final transaction value will be determined by the highest qualified offer.
The tender opened at 10 a.m. on September 1st and will run until 6 p.m. on October 30th. Interested bidders are required to submit a deposit of RMB15 million. Macau Legend noted that this deposit could be forfeited if a winning bidder fails to fulfill contractual obligations.
The sale is subject to several preconditions, including compliance with Hong Kong Stock Exchange disclosure and approval requirements, as well as confirmation that existing tenants do not exercise their rights of first refusal.
Hengqin Legend Ponto Square was one of the key demonstration projects in the Cooperation Zone. Developed at an estimated cost of RMB2.5 billion, construction began in 2014 and the property officially opened on December 15th, 2019.
The announcement comes as Macau Legend faces mounting financial pressure. In its interim results for the six months ending June 30th, the group reported a net loss of HK$1.42 billion ($182.3 million), compared to a loss of HK$110 million in the same period last year. The company attributed the decline primarily to the expected closure of its Legend Palace Casino operations in Macau by year-end.
Revenue from continuing operations fell 7.57 percent year-on-year to HK$168 million. The company did not declare an interim dividend.
Macau Legend has also acknowledged risks surrounding its debt obligations. As of the end of June, the group’s bank borrowings totaled HK$2.05 billion, all of which were reclassified as current liabilities due to loan covenant breaches. Although the group has sought waivers from lending banks, it has yet to secure formal approval.
The company previously defaulted on an HK$85.5 million loan but was granted an extension until October 2026 to complete repayment. Similarly, repayment terms for a HK$2 billion facility were renegotiated, requiring monthly installments of HK$1 million until August 2026, with principal repayments deferred to September 2026.
Macau Legend has stated that “circumstances exist that cast significant doubt” on its ability to continue as a going concern. The proposed disposal of Hengqin Legend Ponto Square is seen as part of its strategy to raise capital, strengthen liquidity, and pivot towards non-gaming revenue streams, particularly at its Macau Fisherman’s Wharf properties.
