MANILA, Philippines — Davao-based businessman Dennis Uy is likely to take the backdoor route with the acquisition of H2O Ventures.
Uy may use H2O Ventures as the listing vehicle for his planned grand casino in Cebu.
Through Udenna Development Corp., Uy signed a memorandum of agreement to acquire the shares of listed holding company Jolliville Holdings Corp., its subsidiaries and related parties, in H20 Ventures for P327.7 million.
H2O is an investment holding company, which is engaged in the operation, maintenance, and distribution of water supply system through its subsidiary, Calapan Waterworks Corp. (CWWC).
It shall implement and complete a spin-off by selling all of its existing business and assets, including shares and interests in CWWC and all other interests in other corporations.
Aside from Jolliville, the other sellers are KGT Ventures Inc., Melan Properties Corp., NGTO Resources Corp., OTY Development Corp., Nanette Ongcarranceja, Ortrud Yao, Kenrick Ting, Jolly Ting, and Lourdes Ting.
Udenna will also do a mandatory tender offer for the H2O shares pursuant to the Securities Regulation Code.
It is building the $341 million Emerald Resort and Casino, which will rise on a 12.5-hectare prime beachfront property in Mactan Island in Lapu-Lapu City.
Lapu-Lapu Leisure Mactan will have iconic modern buildings and infinity pools. It will have a skydiving center on a pier, a retail complex, a convention center, luxury hotels and villas, specialty dining options, private residences, and condominium-hotels.
The development will give residents and guests access to the longest stretch of beachfront in Mactan as well as views of the Hilutungan Channel and the Magellan Bay, making it a premier business and holiday destination year round.
Mactan has become a premier tourist destination, seeing a surge of investments but keeping enough room for further development in the coming years.
If Uy decides to do a backdoor listing for his casino, he joins the usual route done by other casinos in the Philippines such as Enrique Razon’s Solaire Resort in Parañaque through Bloomberry in 2012 and Melo Crown which acquired Manchester International Holdings Unlimited Corp. also in 2012.