Summit loans SunTrust US$120m for new Manila casino
The Manila hotel and casino development is scheduled for completion in late 2022.
The Philippines.- SunTrust, a Suncity Group subsidiary in the Philippines, has signed a loan agreement with Summit Ascent Holdings to fund the construction of its hotel and casino development in Manila’s Entertainment City.
The Manila casino resort will include 400 gaming tables and 1,200 slot machines, 400 five-star hotel rooms and 960 parking spaces covering 44,000 square metres.
According to Summit, the HK$930m (US$120m) loan sets a default annual interest rate of 8 per cent and a maturity date at three months from the date of the disbursement to SunTrust.
The loan agreement has to be approved by a special general meeting of Summit Ascent shareholders.
Summit Ascent stated that because of the delays in the development of its Tigre de Cristal casino complex, part of the net proceeds from an October 2020 rights issue will be deployed as a loan.
The company said: “The board is of the view that the proposed change in use of the original portion for Tigre de Cristal as loan is fair and reasonable and in the interests of the company and the shareholders as a whole.”
