Suntrust unsure of Tigre de Cristal sale impact

Suntrust Resort Holdings said it is unable to assess the impact of the sale.

The Philippines.- Suntrust Resort Holdings has said that it does not have sufficient information to estimate the impact of the sale of the Tigre de Cristal licence by two of its associate firms. It said it remains unclear whether the sale will have a direct impact on its business.

Summit Ascent said the decision to sell G1 Entertainment was made due to “uncertainties arising from the ongoing Russia-Ukraine conflict,” despite the disapproval of most of its board and its Hong Kong-listed parent, Let Group Holdings. Summit Ascent is now in breach of Hong Kong Stock Exchange rules following the resignation of five directors who disagreed with the US$16m sale.

Currently, Andrew Lo Kai Bong is director and chairman of Summit Ascent. Lo is also chairman and a director of LET Group Holdings. LET Group confirmed that all board members other than Lo had resigned due to their disapproval of the sale.

Suntrust stated that its management “will be in a better position to assess the impact, if any, of the sale” involving its associates after they obtain more information. LET Group controls 51 per cent of Suntrust through a subsidiary.

In 2023, Summit Ascent Investments, a subsidiary of Summit Ascent Holdings, agreed to subscribe to convertible bonds worth up to PHP13.51bn (US$247.5m) issued by Suntrust Resort Holdings to help fund the development of a casino hotel project located at Westside City in Manila, the capital of the Philippines. However, the convertible bond “has yet to be issued,” according to a filing on Friday.