Echo Looks To Block Packer Moves

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Echo Entertainment is looking to block James Packer's attempts to team up with Genting

Australia billionaire James Packer has seen his attempts to broaden the country's casino landscape opposed.

Echo Entertainment, of which Packer is a shareholder, is attempting to raise $450 million in order to ward off a takeover Malaysian firm Genting.

According to the Sydney Morning Herald, the firm will raise the funds in a renounceable rights issue at a discount of between 22 per cent and 26 per cent in order to boost its balance sheet.

It comes as Mr Packer announced that he would be open to a deal with Genting in order to expand the casino landscape in Australia - Sydney is currently home to just one casino - in the hope of attracting more high rollers from the Asia-Pacific region.

"The capital raising will be used to partly reduce its $1.2 billion gross debt but sources close to the company said it would be mainly used to boost its balance sheet and VIP offering at the Star casino in Sydney," the newspaper explained.

It comes at a time when the government already anticipates gambling revenue to rise by 4.6 per cent each year over the coming four years, with $70 million being added to the state's coffers in 2013.