Paradise Co Ltd, a foreigner-only casino operator in South Korea, has postponed completion on its acquisition of the West Wing (pictured) at the Grand Hyatt Incheon hotel, a property near the nation’s capital, Seoul.
The firm had announced the hotel wing’s acquisition in September. At the time, it said the deal was likely to be closed by October 31 this year.
In a filing on Friday to the Korea Exchange, Paradise Co revised the schedule to December 19 this year.
The firm said the later date was “to reflect some adjustments” on fulfilment of conditions.
Paradise Co is to pay, via one of its subsidiaries, KRW210.0 billion (US$147.2 million) to acquire the West Wing of the Grand Hyatt Incheon hotel.
Grand Hyatt Incheon is adjacent to the Paradise City casino resort, a joint venture in Incheon between Paradise Co and Japan’s Sega Sammy Holdings Inc.
Paradise City is directly operated by Paradise Segasammy Co Ltd, the entity that will acquire the West Wing of the Grand Hyatt Incheon, according to a September filing to the Korea Exchange.
Grand Hyatt Incheon, managed by KAL Hotel Network Ltd, is near Incheon International Airport, the country’s main air hub.
The property was previously known as Hyatt Regency Incheon and opened in 2003 with a single wing. It added the 500-room West Wing in 2014, when the complex was rebranded as the Grand Hyatt Incheon.
Paradise Co has said the acquisition aims to “strengthen” the group’s “competitive advantage as an integrated resort operator” in South Korea.
The move also seeks to “establish a foundation for sustainable growth by expanding demand from overseas tourists,” it added when announcing the deal.
The decision by Paradise Co to acquire the West Wing of the Grand Hyatt Incheon hotel will, in all likelihood, help improve the casino operator’s earnings, according to South Korea-based brokerage Hana Securities Co Ltd.
Paradise Co also operates gaming at Walkerhill, Seoul, as well as in the southern port city of Busan, and at a venue on the semi-autonomous holiday island of Jeju.
