Alliance Global Group Inc. (AGI) is infusing P7.8 billion into Travellers International Hotel Group Inc. to augment the latter’s working capital.
This would allow AGI’s entertainment and hotel business to be current with its obligations and catch the window of business recovery with the easing of the new coronavirus disease 2019 restrictions, the company said.
This developed as AGI’s partner in Travellers, Genting HK, was reported to be planning to file for provisional insolvency with negotiations for funding of its German unit collapsed.
Genting was quoted in reports as saying that “cross defaults” may soon follow.
Market observers expect that should Genting go into insolvency, it will likely sell assets including its stake in Travellers which operates Resorts World Manila.
AGI in November reported that the delisted Travellers had a current interest-bearing loans of P2.5 billion.
