Philippines: Bloomberry adds P20B to existing loan facility

Bloomberry Resorts and Hotels, Inc. (BRHI) as borrower, mortgagor, and grantor and Sureste Properties, Inc. (SPI) as mortgagor, pledgor, grantor and surety, signed with a syndicate of banks an amendment to the P73.5 billion Omnibus Loan and Security Agreement for an additional facility in the principal amount of P20 billion.

BRHI and SPI are subsidiaries of Bloomberry Resorts Corporation. The facility was oversubscribed.

The additional facility will be available for two years from the signing of the amendment agreement and can be drawn as needed to save on interest payments. Any amount borrowed will be payable within five years from the date of the first drawdown.

The additional funding, if drawn, will be used to support the cash flow requirements of Solaire Resort and Casino (Solaire), partially finance capital expenditures for the improvement and refurbishment of existing facilities at Solaire, and partially finance BRHI’s working capital requirements and other general corporate purposes. Interest payments on the loan will be based on a floating rate, calculated on a quarterly basis.

The syndicate of banks participating in the additional facility is composed of BDO Unibank, Inc., China Banking Corporation, Philippine National Bank, Robinsons Bank Corporation, and United Coconut Planters Bank, all of whom are part of the original syndicate of banks that participated in the P73.5 billion loan facility.

BDO Capital and Investment Corporation served as lead arranger and sole bookrunner while BDO Unibank, Inc. – Trust and Investments Group was assigned as security trustee, facility agent, and paying agent.

BRHI’s and SPI’s lenders also granted the deferment of financial covenant testing on the existing term loan facilities for the quarterly periods covering September 30, 2020 to June 30, 2023. – BusinessNewsAsia.com