International Entertainment (01009) announced that on September 27, 2023, MSPI, NCLI and PAGCOR entered into a temporary license agreement, according to which PAGCOR granted temporary licenses to licensees (MSPI and NCLI, the company's indirect wholly-owned subsidiaries in the Philippines) to establish and operate casinos and develop integrated resorts in Manila, Philippines. PAGCOR must issue an official casino gaming license after the completion of the project and PAGCOR approves that the licensee complies with the implementation plan for the actual total project cost. The validity period of the temporary license and official casino gaming license is consistent with the PAGCOR franchise, starting from the date of the provisional license agreement and ending on July 11, 2033. An official casino gaming license may be renewed under the same terms and conditions as a temporary license.
Under the provisional licence agreement, the licensee has agreed to undertake a total investment of not less than US$1 billion and no more than US$1.2 billion in the project. Within 15 banking days from the signing of the provisional licence agreement, the licensee is required to transfer US$100 million to the escrow account. Within 30 days from PAGCOR's approval of the implementation plan, the licensee must submit a performance guarantee in the amount of 100 million pesos as a guarantee of performance to complete the project. Within 7 days prior to the commencement of casino operations, the licensee must issue a guaranteed bond of 100 million pesos with PAGCOR as the beneficiary to ensure timely repayment of all PAGCOR license fees in accordance with the temporary license and/or official casino gaming license licensee (as the case may be).
As a necessary condition for PAGCOR to grant a temporary license to the licensee to establish and operate the casino under this project, the licensee must pay PAGCOR a monthly license fee from the date the casino commences operation.