Philippine-listed casino operator Bloomberry Resorts Corp has acquired two parcels of Philippine Amusement and Gaming Corporation (Pagcor) land on which its integrated resort Solaire Resort and Casino stands.
In a filing to the Philippines Stock Exchange, Bloomberry confirmed that the land, situated in Manila’s Entertainment City, would be purchased by subsidiary Sureste Properties Inc (SPI) for a total of PHP37.3bn ($714m).
“SPI was the sole offeror for the property in a negotiated sale after two failed biddings,” Bloomberry said in a statement. “The purchase price is PHP100m above the floor price set by Pagcor for the property.”
Bloomberry chalked up its most successful quarter ever in Q1 2018, reporting record EBITDA and gaming revenues for both the VIP and mass market sectors, and PHP3.7b ($71.2m) in profit for the quarter.
The company recorded gross gaming revenue of PHP13.7bn ($263.7m), an increase of 28 percent year-on-year driven by Solaire.
Despite a 12 percent fall in VIP volumes, the VIP revenue increased by 39 percent to PHP7.1bn ($136.7m) thanks to a high hold rate of 3.61 percent.
Meanwhile, mass revenue for the quarter was PHP3.3bn ($63.5m), an increase of 17 percent on year-on-year.
“We are off to a good start. Our fundamentals are solid, our cost optimisation initiatives are working, so we should be on track to make this a banner year,” said the company’s chairman and CEO, Enrique Razon Jr.