Philippines real estate and investments firm Belle Corporation has announced the termination of its revenue sharing agreement with retail gaming operator Leisure And Resorts World Corporation.

According to a report from Asia Gaming Brief, Belle Corporation via its Premium Leisure And Amusements Incorporated affiliate had partnered with Manila-based Leisure And Resorts World Corporation in hopes of bringing the $1.3 billion City Of Dreams Manila development to reality before Melco Crown Entertainment Limited became involved with the project in 2012.

A subsidiary of SM Investments Corporation, Belle Corporation subsequently agreed an amended deal with Leisure And Resorts World Corporation subordinate AB Leisure Global Incorporated that saw it pay $82 million in order to be entitled to a 30% share of the fixed yearly income generated by leasing commercial space in the Entertainment City venue inclusive of its hotel, retail and casino premises.

In a filing with the Philippine Stock Exchange, Belle Corporation, which last week revealed that it had joined a consortium hoping to build a new international airport on reclaimed land near the southwest suburbs of Manila, reportedly declared that it will pay approximately $104.6 million to end the previously arranged agreement, of which it had already handed over about $20.9 million with the balance due by the end of 2017.

“The proceeds from the transaction are intended to be utilized by Leisure And Resorts World Corporation on its core businesses,” read a statement from Belle Corporation. “Under the terms of this newly signed agreement, Leisure And Resorts World Corporation will be able to finalize its transaction with Belle Group by the end of March 2017. Thereafter, the March 13, 2013 agreements will be deemed terminated.

August saw Manila-based Belle Corporation reveal a half-year net profit of just over $19.5 million, which represented a 9.5% increase year-on-year, while its gross revenues improved by 11.7% to reach in excess of $27.9 million. It moreover declared a 9.8% growth in second-quarter net profit to $10.7 million alongside a 12.5% boost in gross revenues to $33.1 million.

Leave a Reply

Your email address will not be published.