Tiger Resort, Leisure and Entertainment Inc. (TRLEI), the operator of Okada Manila, paid PHP300.1 million to begin acquiring majority ownership of the stalled Emerald Bay casino resort project in Cebu. This initial “non-refundable” payment moves the long-delayed development closer to resumption.
PH Resorts Group Holdings Inc., led by Filipino businessman Dennis Uy, confirmed the payment in its 2023 annual report filed with the Philippine Stock Exchange. The company recorded the funds as “advances for future stock subscription.”
In December 2023, Universal Entertainment Corp, the parent of TRLEI, announced a preliminary deal with PH Travel and Leisure Holdings Corp, a PH Resorts unit. The agreement covers the acquisition of interests in Lapulapu Leisure Inc. (LLI) and Lapulapu Land Corp. (LLC). These two companies oversee the Emerald Bay development.
If both sides finalize the deal by July 2024, as expected, TRLEI will take over the project’s development. Consequently, construction may finally move forward. Universal Entertainment targets the opening of Emerald Bay by 2026.
Despite this new investment, PH Resorts admitted it faces “material uncertainty” regarding its future operations. In 2023, the company posted a net loss of PHP1.81 billion. This followed a PHP801.9-million loss in 2022. Additionally, its current liabilities exceeded current assets by PHP303 million in 2023. The previous year, the gap was PHP1.97 billion.
To manage its financial woes, PH Resorts continues to pursue capital-raising efforts and restructures its debts. For example, in October 2023, it restructured its outstanding loan with China Banking Corp. by initiating a sale and leaseback agreement involving land and facilities tied to Emerald Bay.
Moreover, the company remains in discussions with Land Bank of the Philippines to defer interest and principal payments. As of December 2023, PH Resorts carried an outstanding loan balance of PHP975 million.
Udenna Corp, PH Resorts’ ultimate parent company, issued a formal letter promising continued financial backing. This includes support in handling a PHP1-billion deposit previously received from Bloomberry Resorts Corp in 2022. Even though talks for a separate investment ultimately fell through, Udenna remains committed.
While PH Resorts faces serious financial challenges, this new partnership with TRLEI injects hope into the Emerald Bay casino deal. Furthermore, the expansion of integrated resorts outside Metro Manila opens new doors for local entertainment and gaming. It also offers more Filipinos access to premium leisure destinations.
