Genting Hong Kong has announced that it has made a series of deals to gain access to new loan facilities and an extension on existing arrangements.<\/p>\n\n\n\n\n\n\n\n
Hong Kong.- Casino cruise ship operator\u00a0Genting Hong Kong Limited\u00a0<\/strong>has announced it has reached an agreement with the company\u2019s relevant financial creditors, partners and other stakeholders. <\/p>\n\n\n\n The agreement grants it access new loan facilities of US$700m<\/strong>, an amendment and extension of existing financial indebtedness and a provision of backstop funding arrangements to address future liquidity needs.<\/p>\n\n\n\n The company said the arrangements would create a stable runway for the firm \u201cto execute a fully-funded business plan aligned with anticipated market recovery as Covid-19 restrictions ease.”<\/p>\n\n\n\n In May,\u00a0Genting Hong Kong<\/a>\u00a0published its audited 2020 results, revealing that revenue fell from US$1.56bn to US$366.8m<\/strong>\u00a0mainly due to the Covid-19 pandemic and the resulting suspension of cruise operations.<\/p>\n\n\n\n The company reported a net loss of US$1.72bn for 2020<\/strong>, which compares to a loss of US$158.6m in 2019<\/strong>.<\/p>\n\n\n\n As for the second half of 2020, Genting Hong Kong reported that total revenue <\/strong>was down from US$831.8m to US$140.6m. It reported a net loss of US$973m <\/strong>compared to US$102.1m in H2 2019.<\/p>\n\n\n\n Although at the time the company remained optimistic that major economic and trade activities, including cruising, would resume, it stated\u00a0that the Covid-19 pandemic would continue to have a material impact on the Group\u2019s business<\/strong>.<\/p>\n\n\n\n In May, the company reported it reached a\u00a0recapitalisation proposal<\/strong>\u00a0with its stakeholders to access a\u00a0new US$261.5m loan<\/a>, which includes a small stake in the company, to finish construction of its Crystal Endeavor and Global Dream vessels.\u00a0<\/p>\n\n\n\n In its latest statement, the company noted that it suspended Explorer Dream cruising activities on May 12 <\/strong>due to a new Covid-19 outbreak in Taiwan. The Government indicated that cruises can only resume when the current level 3 alert is lowered to level 2.<\/p>\n\n\n\n In Singapore, the capacity of World Dream was reduced from 50 per cent to 25 per cent in May 2021 but returned to 50 per cent on June 14.<\/p>\n\n\n\nGenting Hong Kong voluntarily suspends Explorer Dream cruising activities<\/strong><\/h2>\n\n\n\n