Suntrust Resort Holdings Inc has agreed to a fresh US$6 million loan as it continues pushing to complete development of its US$1 billion hotel and casino project in Manila’s Entertainment City.
The loan was approved by the company’s Board of Directors on Friday, Suntrust revealed, and will be provided by Major Success Group – the parent company of Suntrust’s controlling shareholder LET Group Ltd (formerly known as Suncity Group). Major Success Group is wholly-owned by LET Group Chairman, Andrew Lo Kai Bang.
Suntrust did not reveal whether the loan is linked in any way to its failure to pay Php336 million (US$6.2 million) in interest owing to another LET Group subsidiary, Summit Ascent Holdings, on convertible bonds subscribed to in late 2020. Summit Ascent, operator of Russian casino-resort Tigre de Cristal, said in January that it was “in discussions with Suntrust on the payment arrangement of the overdue interest but no concrete plan has been reached as at the date of this announcement.”
Suntrust also revealed in April that it is seeking a potential loan facility in order to complete construction of its Manila casino project which would involve putting up “all or substantially all” of its assets and properties as collateral. It has since stated that it sees no impediments to opening the property by late 2024.
Part of the Westside City development linked with Newport World Resorts operator Travellers international Hotel Group, Suntrust’s hotel-casino is slated to incorporate a 450-room hotel with a casino boasting 400 gaming tables and 1,200 slot machines.