Melco Resorts unit gets waiver on credit facility ratios
A unit of Asian casino investor Melco Resorts and Entertainment Ltd has been granted a number of amendments to the conditions of a loan facility it holds.
The agreement, stated Melco Resorts Finance Ltd in its latest quarterly report, was confirmed on Thursday, and involves a subsidiary called MCO Nominee One Limited.
The senior facilities agreement – that the Melco Resorts group had obtained in April this year – is with a number of banks, with Bank of China Ltd, Macau Branch; Bank of Communications Co., Ltd. Macau Branch; and Morgan Stanley Senior Funding Inc as joint global coordinators.
Under the agreement, the lenders made available HKD14.85 billion (equivalent to approximately US$1.92 billion) in revolving credit facilities for a term of five years, to the Melco Resorts group.
The newly stated conditions include the lenders waiving the requirements for Melco Resorts Finance to meet or exceed a number of previously-agreed financial ratios until the end of next year.
The Melco Resorts unit has agreed “to pay a customary fee to all consenting lenders” in relation to such consent, the filing stated.
On September 23, the Melco Resorts group drew down HKD1.94 billion (approximately US$250.0 million) of the revolving credit facility under the credit facilities, according to Melco Resorts Finance filing. The document added that, as of September 30, HKD12.91 billion (equivalent to approximately US$1.67 billion) of the revolving credit facility were available for future drawdowns.
Melco Resorts reported a third-quarter net loss of US$331.6 million. The firm’s total operating revenues for the period between July and September were just under US$212.9 million, up by 21 percent from the second quarter, said the firm in its quarterly earnings statement earlier this month.
Latest News
Sign up to our FREE Newsletter
(Click here for more)
