Empire Resorts, Inc. announced that it has entered into a subscription agreement with returning investor Genting Malaysia Berhad for 1,500 series L convertible preferred stock at a price of $100,000 per preferred share for gross proceeds of $150,000,000 on September 11, 2020. The 1,500 series L convertible preferred stock which will be convertible at any time on or after December 31, 2030 but before maturity date into 15,000,000 common shares at a conversion price of $10 per share. The investor will be investing through its indirect wholly owned subsidiary Genting ER II LLC.

The preferred shares will have a maturity date of December 31, 2038. The preferred shares are senior to the company's common shares pari-passu with company's Series F Preferred Stock held by Kien Huat Realty III Limited and Series G Preferred Stock held by Genting Malaysia Berhad. The preferred shares are entitled to receive dividends equal to (on an as-if-converted-to-common-stock basis) and in the same form as dividends paid on common stock and also entitled to vote.

The transaction is expected to close by end of 2020. The transaction is not subject to shareholders' approval of the investor or any other relevant authorities.