Universal Entertainment announced plans to issue new notes to raise funds for refinancing its existing notes, which have a principal amount of $760 million and are set to mature in December 2024.
The company’s board of directors has resolved to commence preparations for the issuance of new US dollar-denominated overseas private placement notes, Universal Entertainment stated in a Thursday announcement.
Universal Entertainment is the parent company of the Okada Manila casino resort in the Philippine capital.
The company stated that the purpose of the refinancing is to ‘improve its cash flow structure’ and ‘secure liquidity’ by completing an early redemption of the aggregate outstanding amount of the existing notes.
US-based CBRE Capital Advisors will serve as the sole placement agent for the new notes, the company announced.
‘The details of the terms and conditions of the issuance of the new notes will be announced as soon as they have been determined,’ added Universal Entertainment.
Previously, Fitch Ratings placed Universal Entertainment on ‘rating watch negative’ due to the company’s $760 million notes maturing in December.
Fitch noted that, although Universal Entertainment is in the advanced stages of executing a refinancing plan, legally binding commitments to refinance are not yet in place.
