Categorized | National News

Baha Mar Developer Declines Sale Process

BMD Holdings Ltd. –the developer of Baha Mar – said it would keep its offer for Baha Mar open for now but will not participate in Deloitte’s sale process.

Last month, developer Sarkis Izmirlian made an offer to China Exim Bank to get the resort up and running, which he said would enable Baha Mar to be opened as soon as possible; payment to be made to unsecured creditors; and spare China Exim Bank a discount.

However, Mr. Izmirlian was told that he like other interested parties would have to go through a bidding process by Deloitte & Touche.

In the letter sent to the media yesterday, BMD Holdings said, “It has determined that it makes no sense for it or its affiliates to enter the second party Deloitte sales process because there is no clarity how any bids made under that process would be evaluated.

“Furthermore, there is no certainty that, even if there are actual bids in that process, a buyer will be chosen which is in the best interests of The Bahamas and the future of Baha Mar.” the letter continued.

However, BMD said it will continue to extend its offer made directly to China Exim Bank.

The letter went on to say that BMD has exhibited much clarity not only to China Exim Bank, but to the Bahamian Government and the people of The Bahamas, displaying its willingness and commitment to undertake a transaction that can be economically attractive to all parties and which can jumpstart Baha Mar to successful completion.

“Baha Mar is our vision, and every initiative and action we have undertaken has had the singular purpose of making Baha Mar a reality for The Bahamas. We understand that along the way, different parties have disagreed with how we have proceeded at points, but no party can question our desire to make Baha Mar a success and our priority for the wellbeing of The Bahamas,” the letter said.

“We do not know if the same can be said for the process the Receivers are undertaking or, for that matter, for the parties who may participate in it,” said BMD holdings.

Mr. Izmirlian added that he is not willing to risk being used as a “stalking horse”.

“Indeed the receivers have already been quoted in the media asserting that any party which can equal our offer will be in a favorable position. That may be their agenda but it is not ours. We have made our proposal to China Exim Bank. We are prepared to proceed with it if the bank is China Exim Bank and we do not need to wait until the end of the year for our offer to be fulfilled. With that said, we want to make very clear to all parties that our willingness to proceed with our offer also has its limits. We will not be, as we have said on other occasions, ‘one hand clapping.’ Time is of the essence for both our offer and for Baha Mar,” said Mr. Izmirlian.




Written by Jones Bahamas

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