Hong Kong-based Success Universe Ltd (Group) proclaims that it will offer financial aid in the form of loan facilities to Pier 16 – Property Development to help finance the operation of Ponte 16 Resort.
Success Universe, which owns a 49% interest of Pier 16 – Property Development Limited which operates Ponte 16 Resort, announced the plan via a statement published on June 18.
According to the statement, the group is set to ink the “Amended and Restated Facility Agreement” with the lender, the Industrial and Commercial Bank of China (Macau) to help Pier 16 – Property Development weather financial hardship which has arisen from the Covid-19 pandemic.
In doing so, the group will play the role of guarantor on these revised loan facilities, which will be “in the aggregate amounts of HKD500 million and MOP273 million” to be made available to Pier 16 – Property Development.
The loans are intended to help Pier 16 – Property Development refinance its existing loans, provide it with general working capital, and finance its land premium payment, the release states.
The existing loan payments are due on June 29, 2022, whilst the maturity date for these revised loan facilities will be scheduled for 24 months after the new agreement is inked.
Across 2020, the group’s shared loss for the associates relating to Ponte 16 Resort stood at around HKD145.7 million, when compared to a profit of HKD116.8 million in the preceding year.
The huge loss was ascribed to the impacts of the Covid-19 pandemic, according to the group’s annual result published in March this year.
“As Pier 16 – Property Development is a 49% owned associate of the group, the directors consider that the provision of the 2021 Financial Assistance, which will facilitate the development and operation of Ponte 16, will be beneficial to the group,” the statement said.
The remaining 51% shareholding in Pier 16 – Property Development Ltd is held by SJM Holdings Ltd.
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