Macau Studio City Sells Retail Stake To Taubman

Here's an interesting little piece of information regarding Macao Studio City. Parent company eSun Holdings has sold a 25% stake in its retail operations to mall operator Taubman Inc. for $HK424M. eSun had previously entered into an agreement with Taubman to partner on the development and rental of retail operations.

This outright sale of a percentage of the operation raises more questions that it answers, particularly given the slow rate of construction at Macao Studio City. I'm inclined to think that eSun may be in a bit of a pinch for funds, but since MCS' opening is still theoretically on track for 2009, and no other news about financing issues have been reported, they may just have a very slow construction timetable.

It still smells a little funny to me.