Lippo-Caesars South Korea Casino Venture Clouded by ‘Uncertainties’
Hong Kong-based estate that is real Lippo Ltd. said previously this week that its joint project with United States gaming giant Caesars Entertainment Corp. for the construction of a built-in resort in Incheon, South Korea might not be materialized due to ‘a amount of uncertainties.’
Late in 2014, the consortium of Lippo and Caesars Entertainment subsidiaries reached a deal that is conditional the purchase of a 90,000-square-meter part of land for the planned hotel and casino resort from vendor MIDAN City developing Co. Ltd. Lippo holds a 55% stake in the second company.
Earlier in the day this week, nonetheless, it became clear that the parties that are involved not agreed on all the necessary conditions about the sale associated with the said portion of land. Here it is important to observe that the purchase contract is set to expire on December 31, 2015. Lippo said in a filing towards the Hong Kong Stock market that they may never be in a position to continue aided by the casino project due to ‘a range uncertainties.’
The real-estate developer explained that the said ‘uncertainties’ are pertaining to whether the conditional land deal would fundamentally be finalized and whether the consortium member would agree with various investment terms.
LOCZ Korea Corp., once the consortium is named, comprises Lippo Worldwide, a wholly owned subsidiary of Lippo, OUE Overseas, a company partly owned by the Hong Kong-based real estate designer, and Caesars Entertainment’s Caesars Korea. Continue reading