Suntrust Resort issues US$120.1m in convertible bonds to Summit Ascent

The bonds were used to repay a US$120m loan from Summit Ascent Investments.

The Philippines.- Suntrust Resort Holdings Inc has reported that it has issued PHP6.4bn (US$120.1m) in convertible notes to a subsidiary of Summit Ascent Holdings Ltd. The bonds were used to repay a US$120m loan received from Summit Ascent Investments Ltd last year.

Following the bond conversion, Summit Ascent’s subsidiary will control a 34.85 per cent stake in Suntrust. Suncity Group Holdings is the controlling shareholder of Summit Ascent, holding a 69.66 per cent stake in the company.

Last September, Summit Ascent Holdings extended the maturity date of the US$120m loan to SunTrust Resort Holdings until July 18, 2022, mainly due to the Covid-19 pandemic. Suncity got the loan to develop a 5-star hotel and casino project at Manila Bayshore Integrated City in Paranaque City.

According to the latest filing from Suncity Group, the project will incorporate 400 hotel rooms, a casino with approximately 400 gaming tables and 1,200 slot machines for both mass and VIP markets. It will also include a parking facility with 960 spaces.

The company originally hoped for a 2023 opening, but in November that was pushed back to 2024.