December 15, 2016 / 10:07 PM / 7 months ago

BRIEF-Crown Resorts further reduces shareholding in Melco Crown Entertainment

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Dec 16 (Reuters) - Crown Resorts Ltd

* Asx alert-further update on major initiatives-cwn.ax

* Entered into further agreements in respect of its shareholding in Melco Crown Entertainment Limited

* Following completion, sale to Melco and sale to public will generate net proceeds to crown resorts of approximately $1.9 billion

* New agreement reduce company's shareholding to 11.2% of mce shares with an economic hedge referencing just over 5.5% of mce shares

* Has entered into a series of cash-settled equity swaps referencing approximately 81.9 mln MCE shares

* Has entered into an underwriting agreement for sale of 40.9 million MCE shares for US$5.33 per MCE share

* Proceeds from sale to public will initially be used to reduce crown resorts' net debt position

* Intends to use proceeds to fund a special distribution of about $600 million and enable a share buy-back of about $500 million Source text for Eikon: Further company coverage:

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