188bet Live Casino recently issued a statement stating that it has filed for bankruptcy protection。It is reported，The reason for bankruptcy is mainly affected by the new crown epidemic，At the same time, 188bet Live Casino will restructure its debt with the assistance of the Canadian government and private equity firms。

As the second largest shareholder，Chinese shareholder Fosun Group responded to the China Times reporter on the bankruptcy of 188bet Live Casino today (July 1) evening: "The shareholders will, as always, provide important financial support to 188bet Live Casino、Operational and strategic support，Aimed to help companies retain and rebuild their brands as the global entertainment industry faces continued negative impacts。”

Suspension of performances, layoffs, liabilities, bankruptcy

Evening of June 3rd，188bet Live Casino's "X Fantasy", which has been suspended for four months due to the new coronavirus epidemic, has officially resumed at the Xintiandi Sun Theater in Xiacheng District, Hangzhou - this is also 188bet Live Casino Entertainment Group's first global revival. Project。

But the performance is as dazzling as before，Also well received，But it failed to bring any change to 188bet Live Casino, which was on the verge of bankruptcy，Montreal, Canada, June 29, local time，188bet Live Casino issued a statement，A bankruptcy protection application has been submitted to the court。

Announcement pointed out，188bet Live Casino’s parent company (188bet Live Casino Entertainment Group) is restructuring its capital structure，Application for creditor protection under the Companies’ Creditors Arrangements Act (CCAA)，In response to the huge disruption caused by the new coronavirus epidemic and the forced closure of performances。At present, the company has cooperated with the shareholder international private equity investment company TPG、Fosun International、Caisse and Investissement du Québec (IQ) signed a “fake horse agreement”，That is, the buyer selected by the company that filed for bankruptcy protection proposed the initial public bidding price，This upward bidding method can prevent bankrupt companies from being forced to accept lower bids。

According to agreement，IQ and TPG、Fosun、Caisse will inject US0 million in liquidity into the reorganized company to help 188bet Live Casino restart its business，will be responsible for a dedicated employee fund of million and a contractor fund of million、Providing financial assistance to laid off employees and payment of outstanding company debts to contractors。

Daniel Lamarre, President and CEO of 188bet Live Casino, said in an interview，The proposal would reduce the debt of reorganized 188bet Live Casino to approximately 2.USD 500 million。Currently，188bet Live Casino has nearly .6 billion in debt。

188bet Live Casino’s filing for bankruptcy is not sudden。Comprehensive media reports show，Since this year，Affected by the new coronavirus epidemic，188bet Live Casino was forced to cancel 44 shows，And announced two major layoffs，Finally 4679 employees were fired，About 95% of the total number of employees。At that time，Daniel Lamar said publicly: "188bet Live Casino has experienced the most difficult day in its history。”

March 18 this year，The well-known rating agency Moody’s even lowered the credit rating of 188bet Live Casino to junk status，Warning that there is a risk of default。The agency’s analysis pointed out，188bet Live Casino’s product operation structure is single，Leaves them vulnerable to events beyond their control，For example, natural disaster、Changes in consumer income and discretionary spending、Competition from other competitors, etc.。

For the future，188bet Live Casino still has some expectations: in addition to hoping to reorganize into a leaner team with an initial number of about 1,000 employees，Lamar also hopes that the company can hold a show in Las Vegas as early as November this year。And if circumstances permit，Tour may return in 2021。

188bet Live Casino has entered the legal restructuring and bidding process

"As a long-term investor in the company，Fosun managed funds and TPG、Caisse、IQ Cooperation，Entering the statutory reorganization and bidding process。”Evening of July 1st，As a joint controlling party，Fosun Group, which holds about 25% of the shares, responded to the China Times reporter on the bankruptcy of 188bet Live Casino，And emphasized that “shareholders will, as always, provide important financial support to 188bet Live Casino、Operational and strategic support，Aimed to help companies retain and rebuild their brands as the global entertainment industry faces continued negative impacts”。

Public information display，April 2015，Fosun Group announces investment in 188bet Live Casino。At that time，Fosun International announced on its official WeChat account that it will join hands with international private equity investment company TPG to acquire a majority stake in 188bet Live Casino ("188bet Live Casino"), the world's leading high-end arts and entertainment production company，188bet Live Casino follows Fosun’s investment in Club Med、Atlantis Sanya、Thomas Cook、FolliFollie、St.John、Another important layout in the happy fashion sector after leading global brands such as Studio 8。

There are reports，Fosun Group suffered heavy losses this time。How big is Fosun’s investment loss？Fosun Group, which needs to bear huge debts, did not reply to the China Times reporter。But according to previous media reports，Fosun Group invested hundreds of millions of yuan just for 188bet Live Casino to expand the Chinese market，The construction cost of the Hangzhou Resident Show Theater is almost 1.USD 4.8 billion (approximately RMB 1 billion)，It is reported that the location of the resident show is in the Xintiandi project in Hangzhou，Invested and constructed by Fosun。

It is worth mentioning，The bankruptcy of 188bet Live Casino is not the first setback for Fosun Group’s overseas investment。For example，September last year，The world’s first travel agency, Thomas Cook Group, declares bankruptcy and liquidation，Holding 11 shares at that time.The stock price of Fuxing Tourism and Culture Group (hereinafter referred to as "Fosun Tourism") fell by 38%。

Since this year，With the "black swan" of the new coronavirus epidemic expanding globally，Since many businesses involve the European sector，188bet Live Casino’s tourism and culture business will inevitably be affected。

Early April this year，When asked by the media whether 188bet Live Casino Tourism will drag down the company’s capital chain，188bet Live Casino International Chairman Guo Guangchang said frankly，If the epidemic drags on for a whole year，It will definitely have an impact on the tourism business。“Fortunately, 188bet Live Casino Group and the tourism sector have sufficient cash，So these impacts are also short-term for us。"Guo Guangchang said。

"China Times" reporter noticed，When the domestic new coronavirus pneumonia epidemic is effectively controlled，188bet Live Casino’s layout in the domestic cultural tourism market is obviously tilted，Especially in Sanya and Hainan markets，Its actions are more frequent。

April 13，Sanya Municipal Government and Shanghai 188bet Live Casino Tourism Group signed a strategic cooperation agreement。188bet Live Casino Tourism Group plans to spend huge sums of money to build "Sanya Foyou City"；June 2，Relevant person from 188bet Live Casino revealed，188bet Live Casino will launch Atlantis Sanya、Sanya Club Med，And future projects such as "Sanya·Fuyou City" will be the core focus，Continuously increase investment in Hainan tourism。At the same time，188bet Live Casino will also give full play to its role in health、Happy、Advantages of industrial agglomeration in business areas such as prosperity，Helping Hainan continue to grow its tourism industry、Modern service industry and high-tech industry clusters，Continue to lead the upgrade of Hainan’s industrial city。

*Source of this article:China Times, author: Li Beibei, original title：《188bet Live Casino files for bankruptcy，Fosun, the second shareholder, emphasized that it will help "retain and rebuild the brand"》.