HONG KONG, June 1 (Reuters) – Macau-focused gaming firm Melco International Development Ltd. will use the net HK$1.18 billion (US$151.3 million) raised from a share sale to purchase a property in Macau, to cut debt and for working capital.Melco said in a statement on Thursday it would use about HK$750 million of the proceeds to finance its contribution to the purchase of a Macau property by Melco PBL Holdings Ltd., a gaming joint venture it equally owns along with Australia's Publishing and Broadcasting Ltd. .

The Hong Kong-listed company said its substantial shareholder Better Joy Overseas Ltd. would buy 63.6 million new company shares at HK$19.10 each after the shareholder sold the same amount of existing shares at the same price to third party investors.

Better Joy, which is 65 percent owned by Melco's chairman Lawrence Ho and 23 percent by casino mogul Stanley Ho, will hold 23.57 percent of the company after the share sale, down from the current 24.86 percent.

Shares of Melco have risen 7.7 percent over the past two weeks to end at HK$20.30 on Monday prior to a trading suspension. Trading in the shares will resume on Thursday. (US$=HK$7.8)