Imperial Pacific posts US$88.2m loss for 2021
Imperial Pacific International has shared its financial results for the year ended December 31.
Northern Mariana Islands.- Imperial Pacific International (IPI) has reported a loss of HK$690.8m (US$88.2m) for 2021. It said it is committed to resuming work on its Saipan casino and laid out a series of steps aimed at turning around the business.
The casino operator said its loss narrowed from the previous year’s HK$7.39bn (US$943.6m). The company did not record revenue in 2020 after the closure of its casino in March 2020 due to the Covid-19 pandemic.
IPI’s casino licence was suspended in April 2021 after it violated five regulatory orders. The Commonwealth Casino Commission (CCC) ordered IPI to pay a penalty of US$6.6m on top of an annual casino exclusive licence fee of US$15.5m and regulatory fees of US$3.1m.
IPI applied for judicial review of the CCC’s decision but last week, the Supreme Court of the Northern Mariana Islands rejected the appeal. Authorities in the Northern Mariana Islands will decide in May whether to permanently revoke the company’s licence.
Despite the hurdles, IPI is optimistic that it will be able to continue to operate as a business. The company said it is in active negotiations with the CCC over the US$15m it owes in licensing fees and a US$30m contribution to community benefit funds, fees and fines.
The casino operator has also spoken to key creditors seeking to extend the maturity date on its debt to 2024 and beyond. It is also exploring the possibility of paying off bond-related debt by issuing new shares.
Two New Jersey investors interested in operating casinos in Saipan, says CCC director
During an interview with the Saipan Tribune, the CCC’s Andrew Yeom revealed that two New Jersey investors are interested in operating an offline and online casino in Saipan.
Yeom said he could not give more details until the situation of current licensee Imperial Pacific International (CNMI) LLC is clarified. He would not elaborate on whether the investors were interested in buying IPI’s casino complex in Garapan.
