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Razon raises P3.8b from sale of Bloomberry shares

Billionaire businessman Enrique Razon Jr. successfully raised P3.8 billion from the overnight placement of 350 million shares in leisure and gaming firm Bloomberry Resorts Corp. for P10.85 apiece.

Bloomberry said in a disclosure to the stock exchange Prime Metroline Holdings Inc., the holding company and controlling shareholder of Bloombeery, sold 350 million shares representing a 3.18-percent stake in the gaming firm that owns and operates Solaire Resort & Casino.

The shares were sold to international institutional investors at an eight percent discount to Bloomberry’s volume weighted average price on September 11.

Prime Metroline will remain the largest shareholder with 65.58 percent of the company’s outstanding shares after the transaction.

“I am very confident of the prospects for Bloomberry. I believe that the increased liquidity in the stock will be beneficial for investors and the company,’” Razon said.

Goldman Sachs (Singapore) Pte. was the sole placement agent for the transaction.

Share price of Bloomberry has risen significantly in the past few months on the strong performance of the company.

Bloomberry registered a net income of P4.1 billion in the first six months of 2017 from just P174 million year-on-year on all-time high gaming revenues.

Bloomberry’s net net income in the second quarter jumped 47 percent to P1.95 billion from P1.33 billion in the same quarter last year due to a 34-percent increase in the profitability of Philippine operations and lower losses from Korean under Jeju Hotel & Casino.

Gross gaming revenues rose 16 percent year-on-year and 14 percent quarter-on-quarter to P12.22 billion—the highest since opening Solaire in March 2013, on better relations between the Philippines and China.

Bloomberry achieved strong first half performance despite increased competition following the opening Okada Manila in December, the third integrated resort and casino operating within government sponsored Pagcor Entertainment City.

Aside from Solaire Resorts and Casino, Bloomberry is also set to develop by next year its second casino and leisure project in 1.56-hectare property within Vertis North in Quezon City.

Topics: Enrique Razon Jr , Bloomberry Resorts Corp , Solaire Resorts and Casino
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