KUALA LUMPUR (Aug 19): The likely buyer for Genting Hong Kong Ltd’s (Genting HK) equity interest in Resorts World Manila is Alliance Global Group, Genting HK’s long-time joint venture partner in Newport World Resorts operating entity Travellers International Hotel Group.
In a report on Friday (Aug 19), Inside Asian Gaming said discussions between the two companies were already well advanced.
It said the recent rebranding of the former Resorts World Manila pre-empted the end of Genting’s involvement.
In a filing this week, Genting HK noted that its core remaining assets outside of cruise ship operations are its equity interest in Resorts World Manila and its interests in residential and hotel properties in China.
“These assets are unencumbered and the joint provisional liquidators are in the process of considering offers from potential purchasers,” it said.
Genting HK, which has already seen some of its cruise ships arrested and sold by third parties, also noted this week that its banking syndicates have now taken enforcement actions in relation to those ships.
Genting HK, with debts totalling around US$2.8 billion, first announced the appointment of liquidators in January after defaulting on loans when it was unable to drawdown a US$88 million backstop facility from the State of Mecklenburg Vorpommern for the continued operation of its Germany shipbuilding subsidiary, MV Werften Holdings Ltd (MVWH).
Genting HK shares have been suspended since Jan 18 — when it applied to halt its share trade — with the company saying it would remain so until further notice. At the time it had filed to wind up the company after it had “exhausted all reasonable efforts” to negotiate with its creditors and stakeholders, according to its bourse filing.
In April, it was warned by The Stock Exchange of Hong Kong Ltd that it would be delisted if it failed to remedy issues causing its share trade suspension and resume trading by July 17, 2023. Under Hong Kong bourse’s listing rules, the stock exchange may cancel the listing of any securities that have been suspended from trading for a continuous period of 18 months.