Suntrust secures mortgage on assets for Manila casino project
Suntrust Resort Holdings has confirmed the mortgage of its assets and properties under an omnibus loan and security agreement.
The Philippines.- Suntrust Resort Holdings Inc. has announced the mortgage of its assets and properties through an omnibus loan and security agreement.
Following a special stockholders’ meeting, the company confirmed the agreement, which comes a few days after securing a new loan facility from China Banking Corp. of up to PHP25.00bn (US$446.4m)
The mortgage represents a significant step in advancing the Westside City project. Developed by Philippine conglomerate Alliance Global Group, the project involves the construction of a casino hotel complex with 400 gaming tables and 1,200 slot machines, 450 five-star hotel rooms and 960 parking spaces covering 44,000 square metres.
With an estimated cost of around US$1bn, construction work on the IR reached level 10 by the end of the first quarter and is still on track for a 2024 launch.
In connection with the loan facility, investors linked to Suntrust Resort Holdings will inject an additional PHP19.37bn as cash equity into the project, further solidifying its financial foundation.
In May, Suntrust also disclosed that its board had approved a separate US$6m loan from a related party, controlled by the company’s chairman, Lo. The details of the financial agreement have not been disclosed and the company has not clarified how it plans to use the funds acquired.
