S.Africa's Sun Intl to buy rest of Chile's Monticello for $146 mln

JOHANNESBURG, July 2 Wed Jul 2, 2014 7:45am EDT

JOHANNESBURG, July 2 (Reuters) - South Africa's No.2 casino and resort operator Sun International Ltd is to buy virtually all the remaining stake in a Chilean gaming casino for $146 million, it said on Wednesday, as it pursues a drive to bulk up in Latin America.

Sun International, which owns 44.2 percent of Monticello Grand Casino, will buy an additional 44.2 percent in the asset from Austria's unlisted Novomatic AG and another 10.5 percent stake from minorities for $144 million.

The company would also acquire shareholder loans and cash in South America's biggest casino gaming operatin, worth about $32 million, it said.

The deal forms part of Sun International's stated strategy to grow in Latin America - the world's smallest but second fastest casino market, according to accounting firm PwC.

The company, best known for its Sun City resort in South Africa, is due to open a casino in Panama and has applied for a licence to operate another in Colombia. (Reporting by Tiisetso Motsoeneng)