The Securities and Exchange Commission has approved an increase in the authorized capital stock of Suntrust Home Developers Inc, paving the way for the entry of Suncity Group Holdings into the company.
In October, Hong Kong-listed Suncity announced it had acquired a controlling stake in Suntrust, which is involved in developing and managing an upcoming five-star hotel and casino in Manila, known as Westside City Resorts World.
In a disclosure to the Philippine stock exchange on the weekend, Suntrust said it has increased its authorized capital stock to P23 billion from P3 billion.
Of the P20-billion net increase in the company’s capital stock, 25 percent or P5 billion will be subscribed by Suncity’s subsidiary Fortune Noble Ltd.
Following the transaction, Suncity will have a 51 percent stake in the company.
Consolidation of the bases and advancement in adversity was the thrust of Macau Chief Executive’s policy address for 2021, though it gave little away when it came to the current pillar of the economy - the gaming industry.
Gaming suppliers, like all areas of the industry, have felt the pinch from the Covid-19 crisis, though their growing digital businesses have proved a bright spot and helped offset the impact of the crisis.
While nowhere in the world has escaped the economic fallout from the Covid-19 crisis, Macau has been hit harder than most, with forecasts for gross domestic product to shrink more than 50 percent this year.