Vietnam - MGM withdraws from $4 billion Ho Tram project

VietNamNet Bridge – The Asian Coast Development Limited (ACDL) has announced that the MGM Resorts International (MGM) will no longer operate the resort in the Ho Tram Strip tourism complex.

The reason is not disclosed but ACDL said that it is considering a new and suitable brand for operating the resort.

This project has the cooperation of many big investors, such as Harbinger Capital and Pinnacle Entertainment. ACDL confirmed that strategic shareholders had reaffirmed their long-term investment commitment to the project.

Lloyd Nathan, Chief Executive Officer of ACDL, said the first phase of construction of the first resort with 541 5-star rooms, 9 world-class restaurants, a bonus game center, a high-end shopping mall, bars, swimming pools has completed. ACDL is building the second hotel tower of the first resort, with 559 five-star rooms. Also, an 18-hole golf course designed by Greg Norman is under construction.

The total registered capital of this project is more than $4 billion, in 10 years, in which the first resort with nearly $500 million of investment will open in early 2013.

According to the plan, after completion in 2020, the project will have 9,000 five-star rooms, casinos with 180 tables, 2,000 game machines, golf courses and entertainment centers.

The Ho Tram Strip project is the largest tourism complex in Vietnam so far, with five 5-star hotels, two of which with casinos and golf courses.

In November 2008, ACDL signed an agreement with MGM, under which MGM will perform pre-opening services and run the first resort of the Ho Tram Strip complex.

S. Tung

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