KUALA LUMPUR (March 19): Genting Malaysia Bhd (GenM) said it is injecting a further sum of up to US$20 million (RM82 million) into its US-based unit Empire Resorts Inc.

The equity injection will be executed by GenM's wholly-owned unit Genting ER II LLC by subscribing for up to 200 Series L Preferred Stock.

"The proceeds from the Series L will be used by Empire for working capital and to conclude Empire's short-term refinancing plan," said GenM in a stock exchange filing today.

The group previously injected US$40 million into Empire Resorts in March last year, and another US$150 million in September, also through subscription of preferred stocks in the latter.

With the latest injection, GenM will hold up to 1,700 Series L stocks convertible into 17 million common shares in Empire Resorts at a price of US$10 per share.

It also holds 400 Series G shares convertible into two million common shares at US$20 per share.

GenM currently holds 49% in Empire Resorts via Genting ER II.

The proceeds from the equity injection will be used to close Empire's short-term refinancing plan for its debts totalling US$350 million, maturing on March 23.

GenM, however, noted that "there is no assurance that the proposed equity injection will enable Empire to achieve the desired objectives" of meeting its financing conditions and close on the proposed refinancing plan.

Empire Resorts owns and operates New York’s Resorts World Catskills and harness horse-racing facility Monticello Raceway.

Shares of GenM fell 11 sen or 3.34% to RM3.18 today, valuing the group at RM18.88 billion.