Hoiana project owner lost more than 1,000 billion VND from casino business

The owner of the Hoiana resort complex project has accumulated losses of about VND 1,015 billion by the end of June 2023 from casino business activities.

This information has just been announced by the People's Committee of Quang Nam province in the periodic inspection report of casino business activities in 2023 at Nam Hoi An Development Company Limited. This is the unit developing the Hoiana resort project with a total investment of 4 billion USD including hotels, resorts, golf courses and casinos in Duy Xuyen and Thang Binh districts (Quang Nam).

According to the company’s figures provided to the Quang Nam provincial inspection team, in the first half of last year, the total revenue from the casino sector at this project was about VND824 billion. After deducting expenses of more than VND620 billion, Nam Hoi An earned VND204 billion from casino operations.

However, by June 30, 2023, the business operations of this unit still had an accumulated loss of more than VND 1,015 billion. In the first 6 months of last year, Nam Hoi An paid VND 264 billion to the budget. Hoiana resort complex has over 2,600 employees, of which about 1,000 work at the casino.

Previously, the Ministry of Finance allowed Nam Hoi An to operate a casino with 1,000 gaming machines and 140 gaming tables on the ground floor and first floor of the Hoiana Hotel & Suites, connected to Sky Casino on the 16th and 17th floors of the same hotel. Up to now, the company has only used an area of over 9,200 square meters on the ground floor and part of the first floor as a casino, while the 16th and 17th floors have not been put into operation.

By the end of the third quarter of 2023, this project had disbursed about VND 30,800 billion, equivalent to 1.3 billion USD. Of which, the capital contributed by investors was about 274 million USD. The rest was mobilized from banks and other organizations. Of which, Vietinbank provided more than 500 million USD in credit, Advanced Union Global Limited lent 663 million USD, and Hoi An South Investments lent 271.5 million USD.

The Nam Hoi An project was first granted an investment registration certificate in December 2010 and changed for the third time at the end of 2020. Initially, the investor of this project was the VinaCapital - Genting joint venture. However, in September 2012, Genting withdrew from the joint venture.

The investor of Nam Hoi An was then Hoi An South Investments Pte, registered in Singapore. The implementing unit was Nam Hoi An Development Company Limited. By the middle of last year, control of the project was transferred to the third richest family in Hong Kong, the Cheng family.

Mr. Tu

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