Philippines-listed Suntrust Resort Holdings has publicly confirmed that it is pursuing a “strategic working agreement” with Newport World Resorts operator Travellers International Hotel Group Inc (TIHGI) and associated companies aimed at expediting the completion of Suntrust’s US$1.25 billion LETX hotel and casino development in Manila’s Entertainment City.
News of the agreement was first broken by Inside Asian Gaming last month.
In a filing, Suntrust said it was pursuing the agreement with TIHGI, Westside City Inc, Westside Bayshore Holding Corporation and Entertainment City Resorts Corporation (ECRC) “to expedite the completion of the now-expanded Westside Integrated Resort Project, located in Entertainment City, Parañaque City in Metro Manila, Philippines.”
IAG understands that ECRC is to be the new holding company through which TIHGI and its parent company Alliance Global Group will assume a controlling stake in the project. TIHGI is also set to assume operational control of LETX once complete.
Suntrust also confirmed in Monday’s filing that the agreement would leave it with a 20% indirect interest of ECRC and that, to ensure the timely construction, development, completion and operation of the Westside Integrated Resort Project (LETX), ECRC will “assume all rights and obligations related to the project”.
Hong Kong-listed LET Group Holdings currently owns 51% of Suntrust, meaning it will upon execution of the agreement hold an effective 10.2% interest in the Entertainment City project.
Suntrust on Monday described LETX as “a world-class integrated resort consisting of a 5-star hotel, casino, mall and theater complex envisioned to be the Broadway of the Philippines. Among its offerings are Artists Promenade, the iconic Grand Opera House and the Apollo, Bohemia and Crown theaters all of which are dedicated to Philippine performing Arts.”