PH Resorts Group Holdings Inc. has begun reviewing its future direction after the Philippine Amusement and Gaming Corp. revoked the provisional casino license tied to its long-delayed Emerald Bay integrated resort project in Cebu. The move has prompted both a strategic reassessment by the company’s leadership and a pending change in how the firm is classified on the Philippine Stock Exchange.

The Davao-based company, owned by businessman Dennis Uy, disclosed that its board of directors and senior management are evaluating possible paths forward following the loss of the provisional gaming license. The license had been issued to subsidiaries Lapulapu Leisure Inc. and Lapulapu Land Corp. for the Emerald Bay development in Lapu-Lapu City, Cebu.

“Following receipt of notice of the revocation of the PAGCOR provisional license previously issued in connection with the Emerald Bay integrated resort and casino project, the board of directors and senior management of PH Resorts are currently undertaking a comprehensive evaluation of the company’s available strategic options,” the company said in a disclosure.

Strategic Review Following License Revocation

As The Philippine Star reports, PH Resorts stated that the review includes examining whether existing assets could be reconfigured or repurposed, as well as assessing alternative business opportunities that align with its broader corporate objectives. These options may involve entering into joint venture arrangements with other entities or pursuing other initiatives aimed at improving shareholder value.

The company also confirmed that mergers or acquisitions of other entities or assets remain under consideration. At the same time, management emphasized that the review process remains ongoing and that no final course of action has been approved.

“The company emphasizes, however, that no definitive plans or decisions have been made and approved as of date hereof as the company is still carefully considering its options,” PH Resorts said.

PH Resorts added that it would issue the appropriate disclosures should any material developments or definitive decisions emerge from the review.

The company also noted that the revocation of the provisional license is not expected to have a material effect on its current financial position, as the Emerald Bay project had not yet begun commercial operations. It further disclosed that all funds previously allocated to the project from earlier capital-raising efforts have already been fully used.

“Should the company undertake future capital-raising activities or reallocate resources in connection with any new or revised business plans, the company shall make the appropriate disclosures in accordance with applicable disclosure rules,” it said.

Stock Exchange Reclassification Set for January

The loss of the casino license has also triggered a reclassification of PH Resorts on the Philippine Stock Exchange. Effective January 5, the company will be moved from the Casinos & Gaming subsector to the Hotel & Leisure sector, while remaining under the broader Services sector.

The reclassification was outlined in a recent exchange circular that announced changes affecting 13 listed companies. The PSE said the adjustments were based on corporate developments as well as a review of financial statements from 2022 to 2024 and the latest quarterly report for 2025. Under exchange rules, companies are classified according to the sector and subsector that account for at least 60% of their revenue.

Emerald Bay’s Financial Impact and Project History

Emerald Bay was envisioned as a five-star integrated resort and casino that would serve as a major entertainment destination outside Entertainment City in Metro Manila. PH Resorts secured the provisional license for the project in 2017, but the development encountered repeated financing challenges over the years.

According to earlier disclosures, partnership talks with construction firm EEI Corp., which had been identified as a potential investor to help finance and complete the project, were halted following the cancellation of the license.

The project’s financial strain became more pronounced this year. After a sale-and-leaseback agreement with China Banking Corp. expired on March 31, 2025, PH Resorts wrote off its investment in Emerald Bay. This resulted in the de-recognition of properties and improvements worth PHP13.65 billion, alongside financial liabilities amounting to PHP8.75 billion.

In November, the company warned that a material uncertainty existed regarding its ability to continue as a going concern, citing difficulties in realizing assets and settling liabilities in the normal course of business.

Despite these challenges, PH Resorts reiterated in a December 19 filing that it was still “carefully assessing possible business plans, strategic directions, and potential opportunities that may be pursued by PHR.” The statement echoed earlier disclosures that confirmed the absence of unutilized proceeds remaining from funds originally raised for the Emerald Bay project.