Hong Kong-listed Suncity Group Holdings Limited announced it will increase its stake in the casino resort Tigre de Cristal, located in Vladivostok and operated by Russian gaming company Summit Ascent, from 60 percent to 67.5 percent, following the acquisition of shares from two minority shareholders of Oriental Regent Limited. Earlier this month, the Suncity Group completed the acquisition of a 69.7 percent stake in Summit Ascent, giving it a controlling share.
Stylianos Tsifetakis, chief operating officer of G1 Entertainment, said the Suncity Group plans to create a family oriented tourist attraction in the Primorye region.
“We plan to invest at least $200 million in the construction of the second phase. A facility with a total area of about 63,000 square meters is planned, a hotel offering 350 rooms will be built, as well as up to 1,500 square meters to be used for restaurants, bars, conference rooms and other entertainment areas, a large shopping center with a food court and a family recreation area. We also want to create a pool area with a transparent dome and a tropical forest atmosphere. In our opinion, this will be unusual and in demand among the residents of the Far East.”
According to the company, the planning and design of Tigre de Cristal Phase II is “well underway” and will be twice the size of Phase I with three times the number of hotel rooms. Tsifetakis noted the new shareholders plan to make some minor changes to Phase II construction. The project still is going through several approval stages, he said.
Tsifetakis noted, “Tigre de Cristal opened in October 2015, and during all this time we see not only progress in the development of the gambling zone, but also in the development of Vladivostok and Primorye as a whole. From the Republic of Korea alone, initially the tourist flow was 50,000 to 60,000 people per year, and already last year there were almost 300,000 Korean tourists. We have seen a positive effect from the introduction of e-visa for 53 countries. As soon as the borders are opened, this will have a significant impact on Primorye Territory.”
Since January, Suncity has invested $5 million to expand Phase I with employee housing, a food court, VIP lounges and a nightclub, Tsifetakis also stated. Currently the casino has more than 1,100 employees; salaries were not cut during the pandemic, he said. In August and September, Tigre de Cristal slot business recovered to 96 percent of its pre-Covid-19 average.
Suncity and Summit Ascent Chairman Alvin Chau said, “The potential to acquire further stakes in Tigre de Cristal is a strong injection in confidence that both Suncity and Summit Ascent are fully motivated to drive up business volumes in Tigre de Cristal. Besides, the outstanding recovery post-closure was as astounding as it seem during one of the worst business challenges in this pandemic. That is a solid proof that we could sustain in hard times with local businesses only.”
Suncity also is the controlling shareholder of Suntrust Home Developers Inc. which is developing the Westside City Integrated Resort in Entertainment City in Manila, the Philippines, and operates the Hoiana integrated resort in Central Vietnam.
