On December 9th, PH Resorts (PHR), managed by Dennis Uy, formalized a memorandum of understanding (MoU) with EEI, a highly respected local construction company nearing its centennial. This collaboration is intended to expedite the completion of the Philippines’ Emerald Bay resort, which began construction in 2017 with an original opening target set for 2021.
According to the Philippines Business Mirror, the MoU opens the door to a potential partnership between EEI and PHR. The agreement is contingent upon the negotiation of definitive terms and the fulfillment of any necessary regulatory requirements.
If approved, EEI would provide the necessary financing to finalize the project through PHR or its subsidiaries, Lapulapu Leisure and Lapulapu Land. “PHR will issue the necessary disclosures when the terms of the deal are finalized,” the company stated.
### Is the Third Attempt for PHR the Key?
This marks Uy’s third attempt to bring the PHP17.5 billion (equivalent to £235.35 million/€285.9 million/$465 million) resort project in the Philippines to fruition. In May 2022, Bloomberry Resorts Corp, led by Enrique K. Razon Jr., considered investing in PHR or its units, but the deal collapsed by March 2023. Later, a potential partnership with Tiger Resort Leisure and Entertainment Inc., which operates Okada Manila, also fell apart in July of the following year.
The ongoing delays have taken a toll on PHR’s financial health. Last year, the company reported a net loss of PHP4.21 billion, a significant increase from the PHP1.13 billion loss in 2022. So far in 2024, the losses have narrowed to PHP392.48 million, a notable recovery from the PHP2.2 billion loss reported for the same period last year.
### Key Players and Connections
Dennis Uy, who owns PHR and its parent company Udenna Corporation, was ranked 19th among the Philippines’ wealthiest individuals in 2024 by Forbes, with a net worth valued at $920 million. EEI has joint ownership by the Yuchengco family, who rank 36th with $420 million, and Martin Romualdez, the Speaker of the House of Representatives and a cousin of President Ferdinand Marcos Jr.
In 2023, Romualdez acquired a 20% stake in EEI, lowering the Yuchengco family’s majority stake from 55.3% to 35.3%. The family’s House of Investments (HOI) sees Romualdez as a “strategic partner.”
Earlier this year, EEI CEO Henry Antonio expressed his support for the expansive PHP8.3 trillion infrastructure initiative spearheaded by President Marcos. He told the Philippines Daily Tribune, “We anticipate connectivity infrastructures that could underpin the nation’s economic growth and development. Infrastructure is vital to boosting the economy, tourism, and attracting foreign investment.”
### Emerald Bay to Join Cebu’s Resplendent Resorts
Emerald Bay is slated to be a luxurious beachfront resort featuring two hotel towers, four swimming pools, 18 dining venues, and conference facilities. The resort will also boast a gaming area with 700 electronic gaming machines and over 140 tables.
Upon completion, Emerald Bay will stand alongside the Nustar Resort and Casino, which is owned by Universal Hotels and Resorts and opened in 2022. Additionally, billionaire Kevin Tan is planning to develop Mactan World Resorts, an integrated resort (IR) expected to break ground in 2025.
Tourism figures highlight that Cebu is the second most visited destination for international travelers to the Philippines, only after Manila.