Hong Kong-listed International Entertainment Corp. (IEC) plans to build a new integrated resort (IR) with gaming in Manila, Philippines.
According to Inside Asian Gaming, the company has signed a provisional license agreement with the Philippine Amusement and Gaming Corp. (PAGCOR), which regulates casinos in the country, and has also submitted a master development plan for the agency’s review. The proposed complex would include a total gross floor area of at least 250,000 square meters (approximately 62 acres).
An earlier license granted in 2020 has been amended to include additional terms, including the level of investment, which could reach US$1 billion to US$1.2 billion. Next, IEC will file an implementation plan and deposit US$100 million into an escrow account, plus a bond to guarantee payment of all necessary license fees.
“The key concept components of the proposal approved by PAGCOR comprises a hotel with approximately 800 five-star luxury hotel rooms, a casino, restaurants, leisure facilities and shopping arcades,” the company stated. “The project components may change depending on market conditions, but without changing the key concept, and without diminishing the investment commitment amount. Changes in the project components shall be subject to PAGCOR’s prior written consent.”
The current license agreement mandates monthly license fees of 15 percent of gross gaming revenues (GGR) on VIP play and junket tables and 25 percent of GGR on mass tables and electronic gaming machines.
IEC justified its investment by the return of global travel to the Philippines. “With most of the Covid-19 restrictions now lifted, there were approximately 1.3 million international tourist arrivals in the Philippines in the first quarter of 2023. The Philippines Department of Tourism revealed it is aiming to attract 5 million foreign visitors in 2023.”
IEC directors said “the influx of tourists to the Philippines will boost the economy therein and benefits to the gaming and entertainment industry. The directors consider that the grant of the provisional license will provide an opportunity for the group to participate in the gaming and entertainment in addition to the existing hotel and hospitality markets in the Philippines and will enhance future earning capability and potential of the group.”
IEC currently co-manages a casino at its New Coast Hotel Manila, and recently announced an agreement with Malaysian gaming equipment distributor RGB to acquire almost 400 slot machines for use at the hotel’s casino.
