In a significant development for the Philippine casino industry, Dennis Uy, through PH Resorts Group Holdings Inc., has announced a new partnership aimed at resuming construction on the stalled Emerald Bay Resort and Casino in Cebu. This initiative, facilitated by a Memorandum of Understanding (MOU) with EEI Corporation, promises to reinvigorate the ambitious project.

Details of the new partnership:

On Monday, PH Resorts Group, a subsidiary of Udenna Corp, disclosed the MOU with EEI Corporation to the Philippine Stock Exchange. This agreement sets the stage for EEI, a major construction entity in the Philippines, to potentially finance, construct, and complete the luxurious Emerald Bay development. The deal is contingent on meeting specific conditions and obtaining necessary regulatory approvals.

EEI Corporation’s involvement is particularly notable as it is partially owned by RYM Business Management Corp., which has ties to the family of House of Representatives Speaker Martin Romualdez, a cousin of President Ferdinand Marcos Jr.

The announcement had an immediate impact on the stock market, with PH Resorts experiencing a drop of as much as 25%, halting a four-day winning streak. Conversely, EEI’s shares saw an increase of up to 6%. This fluctuation underscores the high stakes and significant investor interest surrounding the project’s revival.

Dennis Uy, a well-known ally of former President Rodrigo Duterte, has faced several hurdles in his attempts to fund and complete the project, initially estimated at around $465 million. As reported by Bloomberg via Yahoo Finance, previous negotiations with figures such as billionaire Enrique Razon and Japan’s Universal Entertainment Corp. were unsuccessful.

Strategic importance of Emerald Bay Resort:

According to Inside Asian Gaming, Emerald Bay is envisioned to be Cebu’s second integrated resort, following NUSTAR. Upon completion, it is expected to feature two 15-story hotel towers with 642 rooms, multiple pools, 18 food and beverage outlets, extensive retail space, and ample conference and exhibition facilities. The gaming floor planned for the resort is substantial, with over 700 electronic gaming machines and more than 140 gaming tables.

The successful completion of Emerald Bay could have a transformative impact on the local economy, attracting more tourists and creating numerous jobs. It also represents a crucial step for Uy in reducing the significant debt incurred during an aggressive expansion phase that included ventures into telecom and energy sectors under Duterte’s administration. As the project moves towards finalizing definitive agreements, the casino industry and investors are keenly observing how this partnership might pave the way for other stalled projects in the region.