Posted on 09:35 PM, December 14, 2009 [ BusinessWorld Online ]
BY JESSICA ANNE D. HERMOSA, Reporter
The state agency in charge of the Clark free port in Pampanga is seeking counterproposals to a Korean consortium’s bid to manage the Mimosa Leisure Estate, a casino resort.
The unsolicited bid of the Korean consortium Hanwool I&D -- a joint venture among a resort developer, a leading pharmaceutical firm, and a venture capitalist -- has been accepted, the Clark Development Corp. (CDC) said on its Web site.
The 215-hectare property has long been on the auction block after three failed attempts to sell it since 2003. Last year, CDC voided a contract with bid winner Waterfront Philippines, Inc. when the firm, unable to secure a casino operation license, did not pay on time.
CDC Assistant Vice-President Bernardo F. Angeles, Jr. said several firms have expressed interest in participating in the “Swiss Challenge,” wherein the original proponent will win the contract if challengers fail to improve on its proposal.
“The first stage -- the determination of the original proponent is finished. There are interested parties [to challenge]. Awarding is likely by March or April,” Mr. Angeles said in a telephone interview late last week.
Mr. Angeles declined to name the interested challengers and the floor price.
The Korean group is composed of Kangwon Land, Inc., Daewoong Pharmaceutical Co. Ltd., and I&D Venture Investment Co. Ltd.
Failed bidder Waterfront Philippines would have paid P1.5 billion for the property according to its 2008 contract.
Challengers will have until Jan. 21 to submit eligibility papers, a CDC document showed. These include proof that the company has owned, operated or managed all of the following: at least a 3-star accommodation with no less than 150 rooms, a casino, and a golf course with 18 or more holes.
Interested bidders must also be prequalified by the Philippine Amusement and Gaming Corp. to run a casino and must prove financial capability.
Mr. Angeles also said negotiations with Mimosa resort workers were concluded last week.
The state agency settled with more than 700 workers on how much gratuity pay they would get, Mr. Angeles said without elaborating. The two parties also agreed that the workers would be endorsed to the winning bidder. The new management, however, will still have the option of terminating their services.
____________________________________________________________________________________
