Okada firm issues $200-M bonds to finance Manila Casino resort

MANILA, Philippines - Universal Entertainment Corp. of Japanese gaming mogul Kazuo Okada issued an additional $200 million in offshore bonds to fund the completion of Okada Manila.

This is in addition to the $600 million notes issued in August 2015 and the $400 million in October 2016.

“The proceeds of these additional notes will be applied to the construction costs and operating costs for the opening of Okada Manila,” Universal Entertainment said.

Universal Entertainment is building a $2 billion 44-hectare casino and resort complex, the biggest property inside the sprawling 100-hectare Entertainment City of the Philippine Amusement and Gaming Corp. in Parañaque City.

It is scheduled to open on Dec. 21.

The additional $200 million 2020 notes will have a yield of 8.5 percent per annum, “with any interest in excess of six percent payable, at the option of the company, by adding additional principal to the Series 2 Notes.”

Okada has partnered with businessman Antonio “Tonyboy” Cojangco for the $2-billion project.

Okada Manila is envisioned to be a world-class Las Vegas style development with luxurious hotels, classy restaurants, commercial facilities, hotels, residences and state of the art pool with real sand beach covered by a huge glass dome.

“We are happy and excited that we are finally fulfilling our vision of developing a huge and integrated world-class entertainment property in the Philippines. This is just the beginning of that vision. All preparations are underway and our whole team is working hard in ensuring that everything gets finished properly and on time,” said Okada, chairman of Universal Entertainment.

It will have two towers connected by a sky bridge with each tower having 15 floors, 500 rooms and an amazing view of Manila Bay and of the iconic dancing water fountain and light display within the property that will rival that of Dubai.

Apart from the two hotels, there will be a 30,000-square meter casino with 500 table games and 3,000 slot machines.

Universal Entertainment was granted a license in August 2008 to establish and operate a casino at the Entertainment City.

Solaire Resort and Casino of Bloomberry Resorts Corp. was the first to open in Entertainment City followed by City of Dreams Manila of Macau-based Melco Crown Entertainment Ltd.

Completing the four components of Entertainment City is another integrated resort casino project by Alliance Global Group Inc. of Andrew Tan and Genting Hong Kong Ltd.