Bid process for Mimosa Estate declared a failure

By George Trillo

CLARK FREEPORT — The board of directors of Clark Development Corp. did not grant a request of Waterfront Philippines Inc. to extend the period of a memorandum of understanding (MoU) on the bidding of the multi-million-peso Mimosa Leisure Estate here.

CDC President Benigno N. Ricafort said the board during its Oct. 17 meeting declared the bidding process a failure and decided not to extend the MOU period because the Philippine Amusement and Gaming Corp. imposed an additional condition for the issuance of a casino license to the winning bidder.

On July 14, CDC and WPI signed a MOU, which is valid for 90 calendar days. WPI committed to pay the initial sum of P930 million within the 90-day period of the MOU on or before Oct. 11.

But WPI requested for a 60-day extension of the deadline "or until such time that a legal and binding solution can be worked out with all affected parties," particularly on the matter of a gaming license from Pagcor.

Ricafort said that the conditions Pagcor had imposed on WPI "have materially affected the original terms and conditions imposed by CDC on any prospective bidder."

He said that WPI, in its Sept. 30 letter to CDC, stated that "the heart of the estate’s operations lies in the gaming industry, and without clear right to obtain a license that has equal footing on a level playing field with other licenses, the financial viability of the whole project is greatly imperiled."