Discovery World (IFC-37715)

Countries
  • Philippines
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Aug 4, 2017
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
DISCOVERY WORLD CORPORATION
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Industry and Trade
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Equity
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 13.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 65.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Feb 19, 2018

Disclosed by Bank Nov 22, 2017

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to IFC's website:

The proposed investment is to Discovery World Corporation (the “Company”), a company established in 1993, and listed in the Philippine Stock Exchange in 2013. The Company is primarily engaged in development and operations of hotel and resorts in the Philippines.

The Project involves the construction and development of two new hotel projects in two different sites, a 117 room hotel and 84-bed hostel, with commercial area and beach club in El Nido, Palawan and a hotel and commercial development in La Trinidad, Benguet with at least 127 rooms. The proceeds of the IFC investment will finance the construction, fit out and other costs related to the construction of these two hotel projects.

 

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The total project cost is estimated at US$65 million. IFC’s proposed investment to the Company consists of convertible preferred shares of up to US$13 million, to be disbursed in Philippine Pesos.

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

The project sponsor is the Tiu Family, through their holding company JTKC Equities Inc and hotel management company The Discovery Leisure Company, Inc., which own 48.32% and 24.82% of the Company, respectively. The Family has a long history in the construction and operations of apartment-hotels in the Central Business Districts of Metro Manila and have other business interests in the field of real estate, construction materials, mining and financial services. These are local companies owned and controlled by the Tiu Family. The two new hotel projects are housed under two companies Cay Islands Corp. (for El Nido) and Sonoran Corporation (for La Trinidad), both 100% owned by the Company.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - JTKC Equities Inc. Parent Company -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

Discovery World Corporation
Rupert C. Sykat
Vice-President for Project Development
(632) 519 5674 to 79
rupert.sykat@jtkc.com.ph
4/F JTKC Centre
www.discovery.com.ph

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/

How it works

How it works