Paradise Segasami Successfully Completes 725 Billion KRW Refinancing Deal

Paradise Segasami, a integrated resort company, announced on the 1st that it has successfully refinanced borrowings amounting to 725 billion KRW. Refinancing refers to the process of raising funds again to repay previously procured funds.

Paradise Segasami is facing the maturity of 725 billion KRW in borrowings this December, but after successfully refinancing in June, it has proceeded with early repayment. In particular, through cooperation with Segasami Holdings, it executed a capital increase of 100 billion KRW and secured 125 billion KRW by strengthening cash flow management, reducing the borrowing amount from 725 billion KRW to 500 billion KRW. The company explained that despite unfavorable market conditions such as the expansion of uncertainty in the global financial market and an increase in domestic project financing (PF) loan delinquency rates, it successfully completed the funding.

The company stated, “We minimized interest rate hikes in preparation for the uncertain financial environment and converted the existing PF-type refinancing project into a general corporate loan project through a lending consortium composed entirely of first-tier financial institutions.”

Meanwhile, Paradise Segasami has been recording favorable performance since the second half of last year. Since the easing of COVID-19 entry restrictions in the second half of last year, the sales of Paradise’s four casinos have increased steadily due to the solid growth of Japanese VIP customers. The expected sales for the first half of the year are 352.4 billion KRW, a 249% increase compared to the same period last year. Second-quarter sales are expected to set a record high since the COVID-19 pandemic.

A representative of Paradise Segasami said, “Through our cooperative relationship with Segasami Holdings, we are focusing on the core Japanese market and continuing strong performance,” adding, “If the effects of China’s reopening are reflected in the future, sales are expected to grow even more significantly.”