Elixir Gaming Enters into Agreement with NagaWorld Limited to Place and Operate Gaming Machines on Participation Basis at Leading Cambodian Casino Resort
Mon Jan 5, 2009 7:00am EST
LAS VEGAS--(Business Wire)--
Elixir Gaming Technologies, Inc. (AMEX:EGT) ("Elixir Gaming" or "the Company"),
a provider of gaming technology solutions to the Pan-Asian gaming industry,
announced today that it has entered into a contract with NagaWorld Limited, a
wholly owned subsidiary of the Hong Kong listed NagaCorp Ltd. (HKSE:3918), to
place electronic gaming machines on a participation basis at its NagaWorld, a
five-star hotel casino resort in Cambodia. The only licensed full service casino
in Phnom Penh, NagaWorld is a luxury destination resort.
Under the terms of the agreement, Elixir Gaming will place electronic gaming
machines in a prescribed area of NagaWorld`s 14-story hotel wing and will share
in the gross revenue generated by each machine. It is expected that
approximately 140 electronic gaming machines will be placed in the prescribed
area and Elixir Gaming and NagaWorld will have joint control over the operation
of the electronic gaming machines, including floor staffs and respective audit
rights. Elixir Gaming anticipates the electronic gaming machines to be in
operation in time for the upcoming Chinese New Year in late January 2009.
Subject to certain milestones and agreement between the parties, the Company
expects that the electronic gaming machines placed by it at NagaWorld may be
increased to over 200 by the second quarter of 2009.
NagaWorld is Cambodia`s only integrated hotel casino entertainment complex,
located in the heart of the nation`s capital city of Phnom Penh. One of
Cambodia`s most popular tourist destinations, NagaWorld currently has, among
others, 508 rooms, 176 table games, a premium meeting, incentive travel,
convention, and exhibition (MICE) facility, a retail shopping area, a collection
of restaurants and bars, a karaoke lounge, and a spa.
Clarence Chung, Chairman and Chief Executive Officer of the Company, commented,
"We are excited to work with such a well-established gaming operator with a
proven track record of operating excellence, deep industry experience, and
extensive local knowledge and networking. NagaWorld is one of the premier hotel
casino resort destinations in Southeast Asia and its five-star amenities rival
those of many of the high-end casinos in major gaming markets worldwide.
Through Elixir Gaming`s expertise in developing full scale slot operations, as
well as collaborative marketing efforts, we believe we can drive even greater
player traffic and gaming revenue to NagaWorld`s already successful operation."
Stuart Sandon, Senior Vice President of NagaWorld Ltd., added, "Elixir Gaming`s
market knowledge and ability to develop and implement turnkey slot floor
solutions will help to solidify what is an important component to NagaWorld`s
gaming operation. We look forward to the benefit that Elixir Gaming`s expertise
and industry relationships, as well as its established and growing base of
operations will bring to the long-term success of our facility."
About Elixir Gaming Technologies, Inc.
Elixir Gaming Technologies, Inc. (AMEX:EGT) is a provider of gaming technology
solutions. The Company secures long-term contracts to provide comprehensive
turn-key solutions to 3, 4, and 5 star hotels and other well-located venues
throughout Asia that seek to offer casino gaming products. The Company retains
ownership of the gaming machines and systems and receives recurring daily fees
that average in excess of 20% of the net gaming win per machine and provides
on-site maintenance. The Company has established a strategic presence in the
Asia Pacific region with a focus on the Philippines and Cambodia markets. For
more information please visit www.elixirgaming.com.
About NagaCorp Ltd.
NagaCorp Ltd. (3918.HK) operates NagaWorld, the only licensed 5-Star Hotel
Casino Resort in Phnom Penh, the capital of Cambodia. NagaCorp holds a casino
license issued by the Royal Govemment of Cambodia, which gives the company the
rights to operate the casino for 70 years commencing January 1995 with 41 years
exclusivity within a 200 kilometer radius of Phnom Phen (except the
Cambodia-Vietnam boarder area, Bokor, Kirirom Mountains, and Sihanoukville.)
NagaWorld, currently has, among others, 508 rooms and 176 table games. NagaCorp
Ltd.is incorporated in Cayman Islands with limited liability and its securities
are listed on the Main Board of The Stock Exchange of Hong Kong Limited.
Forward Looking Statements
This press release contains forward-looking statements concerning Elixir Gaming,
Elixir Group and Elixir International within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended. Those forward-looking statements include statements
regarding expectations for the business of Elixir Gaming, its working capital
requirements and future revenue and profitability. Such statements are subject
to certain risks and uncertainties, and actual circumstances, events or results
may differ materially from those projected in such forward-looking statements.
Factors that could cause or contribute to differences include, but are not
limited to, risks related to Elixir Gaming`s inability to place gaming machines
at significant levels, whether the gaming machines placed generate the expected
amount of net-win, the ability of Elixir Gaming to acquire additional capital as
and when needed, the ability of Elixir Gaming to collect revenue and protect its
assets and those other risks set forth in Elixir Gaming`s annual report on Form
10-K for the year ended December 31, 2007 filed with the SEC on March 31, 2008
and our Form 10-Q for the three months ended September 30, 2008 filed on
November 14, 2008. Elixir Gaming cautions readers not to place undue reliance on
any forward-looking statements. Elixir Gaming does not undertake, and
specifically disclaims any obligation to update or revise such statements to
reflect new circumstances or unanticipated events as they occur.
Elixir Gaming Technologies
Traci Mangini, 702-617-4741
SVP, Corporate Finance
Jaffoni & Collins Incorporated
Richard Land/Dave Jacoby, 212-835-8500