GGAM claims stake in Razon company
A Singapore arbitration tribunal has ruled that Global Gaming Philippines was unfairly removed from its management role at Enrique Razon Jr.’s Bloomberry Resorts Corp.
According to the Manila Times, the tribunal also upheld GGAM’s claim to an 8.7 percent stake in the Philippine-based casino company, or a total of 921.18 million shares.
Bloomberry Resorts is the parent company of Bloomberry Resorts and Hotels Inc. and Sureste Properties Inc., the owners and operators of Solaire Resort & Casino in Entertainment City. In 2012, the companies signed a five-year deal with GGAM to manage Solaire’s casino operations. But within months of Solaire’s grand opening, Bloomberry tried to terminate the deal, saying GGAM breached the terms of its contract and especially failed to deliver VIP gamblers to Solaire’s gaming tables.
GGAM, led by veteran industry executive William Weidner, denied the allegations.
In 2014, the arbitrator ruled in favor of Bloomberry, but now has reversed its decision. It said there is “no basis” for Bloomberry’s challenge to the share ownership “because the grounds for termination were not substantial and fundamental. Thus GGAM can exercise its rights in relation to those shares, including the right to sell them.”
Bloomberry did win on one point, however, as the tribunal rejected a claim by GGAM that it had been defamed by Razon’s comment that the company was “a very expensive, glorified executive-search firm.”
