Lippo-Caesars South Korea Casino Project Clouded by ‘Uncertainties’
Hong Kong-based estate that is real Lippo Ltd. stated earlier in the day this week that its joint project with United States gaming giant Caesars Entertainment Corp. for the construction of an integrated resort in Incheon, South Korea might not be materialized due to ‘a amount of uncertainties.’
Later in 2014, the consortium of Lippo and Caesars Entertainment subsidiaries reached a conditional deal for the purchase of a 90,000-square-meter portion of land for the planned hotel and casino resort from vendor MIDAN City Development Co. Ltd. Lippo holds a 55% stake into the second company.
Earlier this week, but, it became clear that the involved parties have actually not decided on most of the necessary conditions regarding the purchase associated with the said portion of land. Here it is critical to note that the purchase agreement is set to expire on December 31, 2015. Lippo said in a filing towards the Hong Kong Stock Exchange they may not be in a position to continue with all the casino project due to ‘a quantity of uncertainties.’
The estate that is real explained that the said ‘uncertainties’ are linked to whether or not the conditional land deal would ultimately be finalized and whether the consortium user would acknowledge various investment terms.
LOCZ Korea Corp., since the consortium was named, comprises Lippo Worldwide, a wholly owned subsidiary of Lippo, OUE Overseas, a company partly owned by the Hong Kong-based estate that is real, and Caesars Entertainment’s Caesars Korea. […]