Why are the Fungs working the press now?
It would seem the Aquis project is now on the ropes. Fung has flown in the Chinese "financial whales" on his private jet, but these men (including Poly Group president Zhang Zhengao) are reported to have rejected equity finance of the Aquis project. With Poly Group shares down some 25% in Hong Kong, Zhang cannot afford any more dud development projects.
So now the Fungs, seeing that the easy finance options are closed off to them, have cranked up the bullshit, to an increasingly skeptical public.
In the takeover documents for the Reef Casino Trust (RCT), Fung boasts that he's planning to quadruple the profit at the Reef Casino in 2-3 years. How do Tony and Justin Fung plan to do this? They don't say. As many in Cairns would know, the Reef Casino has been run by Chinese management for a number of years. Allan Tan has done a terrific job at growing the Reef Casino business. It is absurd to think the Fung family, with zero casino experience, are capable of even matching the current performance of the RCT.
In an interview conducted by the Australian Financial Review, Fung then announced that he now plans to finance Aquis with 'an equity market float in 2016' - claiming that "he expects strong support from investors if he could prove himself as a successful operator of a casino".
So *IF* he can do this, a 2016 float means really that the project will not get underway until 2017!
And of course the reverse is also true - if he doesn't QUADRUPLE the Reef Casino earnings, Aquis is dead.
And the chances of quadrupling the earnings at the Reef Casino? Slim and none.
The fact is that there are NO casino company shares that
have been used to finance ONE single massive casino project. Casino companies, like all successful companies, are diversified. A share market float for Aquis is deemed "fantasy" by most bankers asked.
While the Cairns Post continues to refer to Tony Fung as a
"billionaire", there has never been evidence of this being true. And while Aquis has racked up millions in costs for the project, it's obvious that they never had the financial wherewithal to build the proposed project. And despite repeated requests, the Fungs continue to refuse to disclose what passports they carry.
In an interview conducted by Cairns Post reporter Nick Dalton during the Aquis-paid media junket to Macau, one of the Fungs (with the story unclear as to who said it) also dropped what we regard as the biggest bombshell so far. "Aquis would be financed using a combination of private equity, PUBLIC EQUITY, and debt". Prior to the the Fungs have previously insisted that the project would be financed privately.
So who with (obviously) the Queensland Government has committed PUBLIC MONEY to the Aquis project? Or the even more ominous option - Mainland Chinese government money!
Member for MacKenzie Gavin "Don't Rape Me" King has posted the clipping from the AFR on his Facebook page in some kind of fairyland haze. Gavin King is an idiot. We've been unable to determine if any of our local pollies have gone on this Macau junket. If any have, they obviously will need to recuse themselves from any future voting on the project.
We don't understand the purpose of flying people from Cairns to Macau, anyway. The Fungs own nothing in Macau, run nothing in Macau. With gambling and prostitution the two primary industries in Macau, we'll need to know from all the reporters how much they were "spotted" in free chips, and how many teeny girls (and boys) they were provided while there.
A new website has popped up, "AquisRealEstate.com". This free promo (and copyright violation) was set up by Blake Dutton at Value Homes. The vultures have arrived - apparently replacing the flying foxes.
|TRIP ADVISOR REVIEW OF VENETIAN CASINO IN MACAU -|
AND EXACTLY WHAT WILL BE SAID OF CAIRNS
IN THE FUTURE IF AQUIS IS BUILT