Club Hotel Loutraki, owners of a casino hotel in Greece controlled by the Club Hotel Group and publicly traded (I.Z.) Queenco Leisure International, has entered into an agreement with the Casino Austria Group, for the purchase of a 51 percent stake of a Serbian company which owns the license to operate the Casino Beograd in Belgrade.
Club Hotel Loutraki, which already holds 39% of the company's assets, will increase its holding to 90%, at the price of â‚¬42 million. As part of the deal, Casino Austria has given Club Hotel Loutraki the option to acquire either 50 or 75% of the Casino Austria holdings in the Grand Casino Brussels, in exchange for a return investment in the casino (estimated at tens of millions of euros). The option will expire on March 10, 2009.
In addition, Casino Austria submitted an offer to the company, which indirectly holds Club Hotel Loutraki stocks, according to which Casino Austria will invest for â‚¬49.5m. in the Club Hotel Loutraki mother company based in Spain, in exchange for the allocation of a variety of stocks. As a result, the holdings of the Casino Austria Group in the Spanish company will increase to 24%. The closure of the deal is subject to approval.