Universal Entertainment cancels Emerald Bay acquisition
The company says certain closing conditions were not fulfilled.
The Philippines.- PH Resorts and the Okada Group have announced that the sale of the Emerald Bay Resort and Casino project will not proceed. This decision comes a week after PH Resorts (PHR) denied that negotiations had halted.
Universal Entertainment has issued a company filing announcing that Tiger Resort, Leisure, and Entertainment (TRLEI) has decided to terminate the preliminary agreement to buy a majority stake in the property. It said closing conditions under the Term Sheet “are not or cannot be fulfilled” and that it could not give more details due to confidentiality obligations
Universal Entertainment said the cancellation will not impact on the company’s consolidated financial results for the year ending December 31, 2024.
PHR issued a statement confirming that it received a letter from TRLEI terminating the Term Sheet dated December 8, 2023 yesterday (1 July)
PHR president Raymundo Martin M. Escalona said: “We understand that the Okada Manila operator no longer intends to pursue the Emerald Bay acquisition. Nevertheless, this development shall give PHR the opportunity to engage with other parties which have already expressed their keen interest in the Emerald Bay Project but have been unable to formalize due to the restrictions under the TRLEI deal.
“We assure our shareholders and stakeholders, however, that the Company’s management is already working towards another transaction, be it an acquisition, joint venture, or otherwise, that will ensure the completion of the Emerald Bay Project.”
PHR obtained a provisional gaming licence from the Philippine Amusement and Gaming Corporation (PAGCOR) for the Emerald Bay Resort, located on Mactan Island, Lapu Lapu City, Cebu, in 2017. Development was suspended during the Covid pandemic. It was hoped that, once TRLEI and PHR sealed the sale, work would be reactivated with the aim of opening in 2026.
