Billionaire and King of gambling Malaysia, Lim Kok Thay is currently in danger of going bankrupt. This was because a subsidiary of his casino company, Genting, which operates cruise ship services, failed to get an injection of funds.
A subsidiary of Genting, is currently building a cruise ship dubbed the Global Dream. Unfortunately, Lim failed to secure a funding deal from German shipbuilder MV Werften.
Launching from Forbes, Saturday (15/1/2022) Due to the failure to obtain funding, many parties consider the debts owned by Genting due to the decline in the company’s performance during the pandemic, will be difficult to repay. Genting Hong Kong shares fell 56%.
Then, the situation was also made worse by the rejection of the German government export credit insurance agent, Euler Hermes. With the rejection, the Genting group admitted that they were threatened with default with an aggregate principal amount of US$ 2.78 billion.
On the other hand, the German Economy Minister Robert Habeck is currently facing the situation that Genting is facing because the company failed to reach a negotiated agreement with MV Werften. Until finally it was called endangering 2 thousand jobs at MV Werften.
Genting’s performance has indeed declined due to the prolonged COVID-19 pandemic. The company recorded a loss that tripled to US$743 million in the first half of 2021 from US$238 million a year earlier.
In addition to the cruise ship business, Lim has stakes in casino resorts in Singapore, Malaysia, the Philippines and the US. As a result of the company’s decline in performance, Lim’s fortune fell to $2.5 billion, according to recent Forbes data.
Whereas before, King of gambling With a recorded net worth of US $ 2.6 billion, he is ranked 11th in the list of Malaysia’s 50 Richest People according to Forbes published in June 2021.