Key points:
- Bain Capital has listed Mohegan’s Inspire Entertainment Resort up for sale
- This latest news comes after Bain took management control of the property in March
- The bidding process is now open to a third-party buyer, with Bain also having the chance to fully acquire the property
As reported in the Korea Times, the Bain Capital-operated Incheon Island casino resort – Inspire Entertainment – has been listed as up for sale to potential buyers.
The complex, which yields three five-star hotels and Korea’s largest foreigner-only land-based casino, opened a year ago and has now been advertised as a ‘rare opportunity’ investment for potential buyers to acquire a newly built casino development with an active wagering licence. This latest development comes following Bain Capitals management takeover of the resort in March following Mohegan’s failure to meet certain financial obligations.
Now, Bain Capital has specified that listing Inspire Entertainment Resort up for sale has been intended to complete the prior asset transfer between itself and Mohegan as, although it has assumed management control of the complex, Bain still does not yield full ownership of it. Indeed, following Bain’s takeover in March, it was specified in reports that ongoing negotiations between the pair would determine the long-term ownership of the development complex.
As such, this latest reported open market bidding process could also see Bain Capital secure full legal ownership of the resort via finalising its ownership transfer with Mohegan. Alternatively, Inspire Entertainment Resort could be acquired by a third party.
Good to know: Last month, Mohegan secured $1.2bn in note offerings as part of its newly initiated refinancing strategy
Evidently, this issue remains hotly contended and inherently uncertain in the long-term.
However, it has been confirmed by both involved parties that this process – regardless of its outcome – will not affect the legitimacy of Inspire’s active casino licence in any way. Indeed, Gambling insider predicted a similar outcome as part of its latest Asia Focus magazine edition.
