Bloomberry Resorts Corp., the gaming company led by tycoon Enrique Razon Jr., dropped its plan to invest in two casinos owned by businessman Dennis Uy.
Bloomberry said its board of directors decided to terminate the agreement “after considering the results of due diligence on the target companies and the projects”.
No other reasons were provided.
PH Resorts Group Holdings Inc., a company led by Uy, said in a statement to the stock exchange the termination of the agreement would enable it to pursue talks with other interested investors.
“While it is unfortunate that a deal was not closed, this now allows both parties to pursue their own plans. This development gives PHR the opportunity to reenter into discussions with other parties that were previously put into the backburner due to the contemplated investment by Bloomberry,” PH Resorts Group Holdings Inc. president Raymundo Martin Escalona said.
Bloomberry signed a term sheet agreement with PH Travel and Leisure Corp. in May 2022 for the proposed investment in Emerald Bay Resort Hotel and Casino in Punta Engano, Lapu-Lapu City, Cebu, and in Clark Grand Leisure Corp. which is developing The Base Resort Hotel and Casino in Pampanga.
Bay Resort Hotel and Casino is the flagship development of PH Resorts located in a 12.4-hectare property in Mactan, Cebu.
The first phase of Emerald Bay is expected to have 4,514 square meters of aggregate gaming floor area, with 600 electronic gaming machines, 122 gaming tables and a five-star hotel with 270 hotel keys.
The Base Resort Hotel and Casino sits on a 4.4 hectare property within Clark Global City. It is envisioned to be a premier adventure-themed integrated resort.
PH Resorts asked the government in October 2021 to suspend the license of its casino project in Clark over uncertainties surrounding the casino gaming industry and stiff competition in the area.
Bloomberry earlier said it was focused on completing its second hotel casino in Vertis North, Quezon City. Solaire North, which is slated for completion by early next year, will feature a hotel tower with up to 550 rooms and a gaming area with up to 200 gaming tables and 3,000 slot machines.
Bloomberry also plans to build an integrated gaming and leisure complex in Cavite.
The share price of Bloomberry rose 2.1 percent Wednesday to close at P9.10, while that of PH Resort dropped 5.8 percent to P0.10.