Genting HK considers offer for Newport World Resorts stake
Joint provisional liquidators are considering an offer from a potential buyer for the company’s stake in the complex.
The Philippines.- The joint provisional liquidators (JPLs) appointed for Genting Hong Kong Ltd continue to liquidate assets. In the company’s latest filing, it reported that it is considering an offer for its stake in the Newport World Resort-Casino complex in the Philippine capital of Manila.
The filing gave no further details on the matter. It also reported that the sale process for its ship assets are at various stages of completion. Genting Hong Kong said all of its ships, except Genting Dream and Crystal Mozart, had been mortgaged to banking syndicates, represented by KFW IPEX-Bank GmbH (“KFW”), Crédit Agricole Asia Shipfinance Limited and DNB Bank ASA.
The company said: “In respect of the mortgaged vessels, the JPLs note that the group has not received (and is not expected to receive) any recoveries from any actual or anticipated disposal proceeds.
“This is because the disposal proceeds from the vessel sales which have been implemented and the valuations of the remaining vessels are substantially below the amount of secured indebtedness owed to the relevant Bank Syndicates.”
It added that the JPLs expect the bank syndicates to claim any shortfall amounts from the estate of the company as “the company has also provided certain guarantees in respect of such secured indebtedness.”
Apart from vessels, the other major assets of the Group are its equity interest in Newport World Resorts (formerly known as Resorts World Manila) and its interests in residential and hotel properties in the People’s Republic of China.
In January, Genting filed for liquidation after a German court rejected a request to release US$88m for its shipyard unit MV Werften.
In July, the cruise ship operator reported that various non-core subsidiaries have entered into insolvency proceedings in the relevant jurisdictions, including Australia, Hong Kong, Malaysia, Singapore and the United States.
Genting Group chairman, Lim Kok Thay, has launched a new cruise line from Singapore. Making its debut on June 15, the company started out with the cruise ship Genting Dream, formerly part of Genting Hong Kong’s Dream Cruises stable.
