Possible New Backer Emerges for Stalled Emerald Bay Casino Project in the Philippines

Posted on: October 4, 2023, 07:48h. 

Last updated on: October 4, 2023, 07:48h.

PH Resorts Group Holdings, a prominent gaming firm in the Philippines, has faced significant challenges in developing its latest property, the Emerald Bay integrated resort (IR) in Cebu. However, there may be a breakthrough as it recently signed a non-binding agreement with AppleOne Properties, signaling progress in the revival of the project.

An aerial view of the Cebu Island area of the Philippines
An aerial view of the Cebu Island area of the Philippines. A long-delayed integrated resort on the island may be close to securing new funding. (Image: Shutterstock)

The Emerald Bay project has faced setbacks in its development, but the agreement with AppleOne may provide the necessary funding for a potential revival. AppleOne has the option to invest in the majority equity interest in Emerald Bay’s associated subsidiaries or acquire the assets of the IR and its land.

If the investment reaches completion, it will inject much-needed capital into the project, allowing construction to resume and fulfill the potential of Emerald Bay as a premier IR in the Philippines.

Cebu’s Potential Renewed

If successful, Emerald Bay would join Nustar as one of the two integrated resorts in Cebu, further establishing the region as a leading destination for world-class entertainment and leisure.

Cebu’s plans to be a premier destination in the Philippines were previously halted by former President Rodrigo Duterte, but a resurgence is now on the horizon.

While the specific details of the investment remain confidential, stakeholders are optimistic that this partnership will contribute to the full realization of Emerald Bay’s potential, positively impacting the local economy and solidifying its place in the thriving gaming and entertainment landscape of Cebu.

The first phase of the project aims to open a gaming facility with 729 machines and 146 tables, as well as provide 780 hotel rooms and five villas. The investment is crucial to achieving these goals.

PH Resorts in the Restructuring Process

PH Resorts has faced numerous challenges in facilitating the potential investment and future of Emerald Bay. Its subsidiaries, Lapulapu Leisure, Inc and Lapulapu Land Corp, are currently in negotiations with AppleOne while restructuring other financial aspects of the property.

This includes addressing outstanding debt held by China Banking Corp. The subsidiaries have completed sale/leaseback agreements for the properties to alleviate some of the debt and potentially allocate more resources to Emerald Bay’s development.

The specific value of the new agreements has not been disclosed, but the subsidiaries have the option to buy them back if all goes well.

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