MANILA, Philippines - Trading of Enrique Razon's Bloomberry Resorts Corp. shares were suspended at the Philippine stock exchange on Thursday, after Global Gaming Asset Management (GGAM) sold its stake in the Solaire Resort and Casino operator.
In a disclosure to the stock exchange, Bloomberry said it requested for voluntary trading suspension because its former management services partner Global Gaming Philippines LLC (GGAM) had sold all its shares in the company. The trading halt will be lifted on January 24.
"We would like to request for a voluntary trading suspension of BLOOM shares starting on Thursday, 16 January 2014 up to Thursday, 23 January 2014 in light of the sale by GGAM of all its shares in BLOOM amounting to approximately 8.70% of the total outstanding shares of BLOOM. These GGAM Shares are the subject of the counterclaim of BRHI and Sureste against GGAM in the said arbitration proceeding," the company said.
FinanceAsia reported Global Gaming Asset Management (GGAM) has sold its 8.7% stake in Bloomberry via a block sale for P7.42 billion on Wednesday.
Bloomberry said it needs to clarify the impact of the current arbitration proceedings on the sale of GGAM shares and "confirm that the buyers of the GGAM Shares will not be affected by the arbitration claim."
Last September, Bloomberry terminated the management services agreement with GGAM over the latter's failure to manage Solaire.
GGAM said Bloomberry's allegations have no legal basis and has filed for arbitration in Singapore to resolve the dispute.