According to an executive director, the company expects to wait five years or more to get payback for its investment in the Hoiana resort.
Hong Kong.- The casino and resorts company Suncity Group expects to see payback on its participation in Hoiana, a new resort in Vietnam, in five years’ time at the earliest.
The new venue is expected to open in 2021, despite the ongoing pandemic.
Andrew Lo, an executive director at Suncity has forecast that it could take “five to six years” for the company to see payback and said the the Covid-19 pandemic would have a negative impact on Vietnam’s economy for the rest of this year.
Speaking to the Chinese newspaper Ming Pao, Lo said the overall investment for the first phase of Hoiana had reached US$1 billion.
In August 2018, Suncity Group Holdings reported the acquisition of a 34 per cent indirect stake in the Hoiana project for HKD600 million (US$77.4 million) at current exchange rates.
According to Lo, Suncity would get 34 per cent of any profit generated by the Hoiana resort.
The opening of the Hoiana is scheduled in 2021, but the venue offered a preview last month. It has 54 gaming tables and more than 250 slot machines. The resort has 50 rooms and the 19-hole golf course.
The resorts expects to focus on clients from mainland China, Taiwan and South Korea.