PH Resorts plans follow-on offer worth P1.125 billion

MANILA, Philippines — PH Resorts Group Holdings Inc. (PHR),  tycoon Dennis Uy’s gaming and hospitality subsidiary, has filed for regulatory approval of its follow-on offer amounting to as much as P1.125 billion.

Uy said the company remains positive about the prospects of the tourism and gaming sector.

Net proceeds will be used to partially fund the completion of the first phase of Emerald Bay, PH Resorts’ flagship integrated casino beach front resort in Mactan, Cebu.

“Despite the ongoing COVID-19 pandemic, we remain positive on the prospects of the country’s tourism and gaming sector. The company is aiming for nothing less than making Emerald Bay one of the best integrated resorts in the region. PH Resorts is prepared for these challenges and we’re facing them head-on. We’re here playing our long game,” Uy said.

The offer will involve up to 300 million primary common shares, with an over-allotment option of up to 150 million primary common shares at a price ranging from P1 to P2.50 per share.

Uy believes that Emerald Bay has a strong competitive position having a seven-year exclusivity agreement with the city government of Lapu-Lapu which will start from the commencement of commercial operations.

The sprawling property stands on a 300-meter long stretch of beach front.

PH Resorts plans to open the first phase of Emerald Bay in the second quarter of 2022 with 122 gaming tables for mass, premium mass and junkets,  600 electronic gaming machines (EGM) and 270 hotel room bays.

It will open the second phase by 2026, increasing Emerald Bay’s capacity to 146 gaming tables and 729 EGMs as well as 780 hotel room bays and five villas.