Show Money: $1Billion

Wow. Pagcor Chairman Efraim Genuino is talking big. Excerpts from ABS-CBN:

State-owned gaming operator Pagcor said on Thursday it was expecting to receive proposals next week from prospective investors for the right to develop the first phase of the government’s 800-hectare gaming project in the capital.

The project, called Bagong Nayon Pilipino Entertainment City, is envisioned to be a total entertainment complex, complete with casinos, resorts, restaurants and a theme park.

“Seven (groups) have expressed interest already. They may give their letters of intent by next week,” company chairman Efraim Genuino told ABS-CBN on the sidelines of an international gaming conference in Manila. . . .

Genuino said the minimum investment requirement is a $1 billion from every investor. A potential bidder must deposit $100 million in an escrow account to prove their financial capability. If the investment did not push through, the group may get the money back. Pagcor is hoping to complete the first phase of the project covering 42 hectares in the next two to three years.

Here’s the thing to remember. Even if just one of these billion-dollar projects comes to fruition, what percentage of the joint-venture can Pagcor, which generated about $520 million of revenue in 2006, afford to take? Is it 50%, 30%, 20%, or 10%? We’ll let you do the math on this one.