Aquis Entertainment Limited will soon be acquired by Blue Whale Entertainment Pty Ltd, after the owners’ redevelopment plans for its Casino Canberra failed to materialize.

In a filing at the Australian Stock Exchange, Aquis announced the impending sale, subject to independent shareholder and regulatory approval. Blue Whale, majority-owned by iProsperity Group CEO Michael Gu, will be buying some 137 million Aquis shares from Aquis Canberra Holdings (Aus) Pty Ltd (ACH), for AUD4 million ($2.82 million), or AUD0.029 ($0.020) per share.

The implementation deed also transfers ACH’s convertible loan with Aquis, which has an outstanding balance of AUD37 million ($26.1 million), to Blue Whale for AUD24 million ($16.9 million), after which Blue Whale will forgive at least AUS2 million ($1.4 million) of the amount, with the remainder to be converted to company shares at AUD0.20 ($0.14) per share, subject to a cap.

In addition, ACH will be granted put options in the selling of its remaining 26.87 million Aquis shares after approximately three years, guaranteeing a selling price of more than AUD4 million ($2.82 million) for these, or AUD0.149 ($0.105) per share.