Wynn Macau Ltd has announced an agreement with lenders to amend the terms of a US$1.5 billion facility agreement as the company continues to face headwinds due to the COVID-19 pandemic.
In a filing with the Hong Kong Stock Exchange, Wynn Macau said its lenders have agreed to waive certain financial covenants contained within the facility agreement in respect of the relevant periods ending on 30 June 2022, 30 September 2022, 31 December 2022 and 31 March 2023. A floor on the interest rate margin of 2.625% has also been agreed through 30 June 2023.
Payment of dividends may, however, be restricted pending Wynn Macau fulfilling certain criteria within the facility agreement.
Wynn Macau had announced last September that the facility agreement, which includes an option of increasing the facility by an additional US$1 billion, was to be used to refinance certain indebtedness of the company and its subsidiaries, to pay the financing costs, fees and expenses in respect of the revolving facility, to fund ongoing working capital needs and for general corporate purposes.
The final maturity of all outstanding loans under the revolving facility is 16 September 2025.
Wynn Macau parent Wynn Resorts is due to announce its 1Q22 financial results next Wednesday 11 May (Asia time).