Hong Kong-listed International Entertainment Corp (IEC) says it has fully repaid and redeemed HK$489 million (US$63 million) in promissory notes and paid back another HK$392 million (US$50 million) in outstanding bank loans after recently issuing the first tranche of Subscription Notes in the amount of HK$800 million (US$102.5 million) to Philippines gaming giant DigiPlus Interactive Corp.
The Subscription Notes, totalling HK$1.6 billion (US$205 million) and to be issued in two tranches, form part of a Subscription agreement inked between the two companies in November for DigiPlus to assume a controlling stake in IEC and its primary asset – the recently rebranded LaVie Resort & Casino, home of New Coast Hotel Manila. Upon issue of the entire HK$1.6 billion (US$205 million) in Subscription Notes and full conversion, DigiPlus will hold a 53.89% stake in IEC.
The move is seen by IEC as an opportunity to boost its liquidity and financial position, while DigiPlus is looking to strengthen its entertainment ecosystem by adding a strategic land-based platform that connects with its digital network.
IEC is in the process of transforming its New Coast Hotel Manila hotel and casino into a fully-fledged integrated resort as per a provisional license issued by PAGCOR in 2023. The company has pledged to spend at least US$1 billion to do so, having last year taken over full operational control of its previously PAGCOR-run casino from the regulator.
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