The SM Group-backed China Banking Corp (Chinabank) has announced plans to sell a plot of land that is the site of the Emerald Bay Resort and Casino, a stalled project in Mactan, Cebu, in the Philippines.
“We have it [the land] already. We will start opening it up to people to show interest. There are a couple of interested parties,” Chinabank chairman Hans Sy told local reporters last week.
“It is a very valuable property. We will open it up for sale,” he added, as reported by the BusinessWorld newspaper.
The casino project is controlled by Philippines-listed PH Resorts Group Holdings Inc, a unit of Udenna Corp, controlled by Philippine entrepreneur Dennis Uy.
PH Resorts had engaged in financing exercises and capital-raising plans in a bid to generate “sufficient cash flows” to support it in meeting debt obligations and completing the Emerald Bay project.
In October 2023, the company restructured its outstanding indebtedness with Chinabank – through an agreement on the sale and leaseback, with option to buy back – certain land and improvements of Emerald Bay’s developer entities, Lapulapu Leisure Inc (LLI), and Lapulapu Land Corp (LLC).
The restructuring related to the property of LLI and LLC in Lapulapu City, Mactan, Cebu, covering an area of approximately 12.4 hectares [30.6 acres], plus improvements. The restructuring also allowed LLI and LLC to repay Philippine peso-denominated bridge loans and extend the U.S. dollar-dominated bridge granted by CBC [China Banking Corp] in 2018, PH Resorts stated at the time.
In his remarks last week, Mr Sy said Chinabank had no plans to renew the leaseback agreement, which expired in March.
“It’s expired now. We’re not renewing anymore. We always do things with a heart. We gave them a chance,” he was cited as saying.
In its 2024 annual report published last week, PH Resorts said the company was working on a possible repurchase option following the expiration of its leaseback deal on March 31, 2025.
The company also said that the group was still in negotiations with local construction company EEI Corp, concerning the Emerald Bay Resort and Casino.
In December, PH Resorts disclosed that its parent had signed a memorandum of understanding with EEI, with the latter company becoming an investor to help finance, construct, and complete Emerald Bay.
Based on PH Resorts’ latest annual report, EEI made in January 2025 a PHP300 million (US$5.4 million) advance to one of PH Resorts’ subsidiaries, with the proceeds “used to partially fund the lease and interest payments” to Chinabank.
“As of April 30, the group and EEI have ongoing discussions to determine and finalise the terms of the agreements,” stated PH Resorts.
The company also said it received a letter of financial support in April 2025 from its ultimate parent, “stating that it commits and is willing and has the ability to provide continuing support” to PH Resorts with respect to the firm’s financial liabilities.
That included support regarding a PHP301.0 million payment due to Philippine casino group Bloomberry Resorts Corp as part of a PHP1.0-billion deposit paid to PH Resorts, following the breakdown of talks for Bloomberry to invest in Emerald Bay.
