Casino hotel lessor International Entertainment Corp says an indirect, non-wholly owned unit has agreed to renew to the Philippine Amusement and Gaming Corp (Pagcor) a let, on premises in Manila, for a period of up to 15 years.
The space is for “for gaming and/or support functions for gaming and office space for Pagcor’s executive headquarters and other general office administration functions,” according to a filing by International Entertainment made on Friday to the Hong Kong Stock Exchange.
The indirect unit involved as lessor in Friday’s deal is Marina Square Properties Inc.
Pagcor is the regulator of the Philippine casino industry and also the operator of some publicly owned casino facilities.
The lease for the premises – described as inside a “hotel complex in Manila” – starts on April 1, 2016, and expires on March 31, 2031 or until such time as the total rent accruing or payable by Pagcor reaches an aggregate of PHP24.5 billion (US$518.2 million at current exchange rates) at an agreed fixed exchange rate said the filing.
International Entertainment is controlled by the family of Hong Kong billionaire Cheng Yu Tung, who has been a long-term business partner of Stanley Ho Hung Sun, a founder of Macau casino concessionaire SJM Holdings Ltd.
In January 2014, International Entertainment said it was interested in buying a 70-percent economic interest in Macau junket investor Suncity International Holdings Ltd. On December 31 that year, the provisions of a term sheet expired without any definitive agreement.
