Suncity Group Announces New $ 30 Million Loan To Vietnam Developer IR Hoiana
Suncity Group has announced that it will provide part of a new $ 60 million loan to the Hoiana Integrated Resort operating unit near Hoi An, Vietnam.
The loan, 50% of which will be provided by Suncity’s wholly owned subsidiary Star Admiral Limited and the other 50% by Alpha Era Investment Ltd, will be paid directly to Gold Yield Enterprises (GYE) for the ongoing development of Hoiana, which has an exclusive preview opening the first phase on June 28th. The grand opening of phase 1 is planned for next year.
Star Admiral and Alpha Era are equal partners in GYE, which in turn owns 66.6% of the developer of Hoiana, Hoi An South Development Ltd (HASD). The remaining 33.3% HASD shares belong to the Vietnamese company VinaCapital Corporate Finance Ltd.
According to a filing filed on Monday, Suncity’s most recent $ 30 million loan contribution – which GYE is on-lending to HASD for development purposes – will be funded by a majority shareholder facility granted by Suncity Chairman Alvin Chau. Suncity and Chau previously loaned GYE approximately $ 99 million to develop Hoiana.
“Given the increasing demand for tourism businesses in the Southeast Asia region, the board is positive about the project and it is expected that the group will benefit from the future success of GYE and the project,” the company said.
“For GYE and the project it is necessary to have sufficient funds for its future business development and to cover its capital requirements for the development.”