Daewoo Co. assigns 69.65M shares in LaoLao Resort
Daewoo Engineering & Construction Co. Ltd., a subcontractor in the construction of the LaoLao Bay Golf Resort in Kagman, has assigned its 69.65 million shares of Saipan Laulau Development Inc. in the resort, to Laulau Holdings Star Co. Ltd.
Public Lands Secretary Teresita A. Santos approved the assignment of lease agreement on July 26, 2023.
DPL assessed $2,500 in fee for processing the agreement.
Daewoo Engineering chief executive officer Jung Wan Baek and Laulau Holdings Star CEO Chan Young Park signed the agreement last month.
According to the agreement, Daewoo Engineering, a Korean corporation, assigned its shares to Laulau Holdings Star, also a Korean corporation, in exchange for $1 and “other good and valuable consideration.”
Daewoo Engineering warrants that it has clear title to the stock standing in its name on the books of Saipan Laulau Development Inc., a corporation organized and operating in the CNMI.
Laulau Holdings Star acknowledges that its purchase of the shares constitutes an “assignment” pursuant to the lease agreement by and between DPL and SLDI, executed on Dec. 6, 2007.
Laulau Holdings Star agrees that the provisions of the 2007 lease agreement shall bind the corporation, and assumes due performance of the obligation of SDLI, as lessee of public land in Kagman.
The documents did not indicate the reason for entering into the assignment agreement.
The original lease for the Kagman property was given to S.C. Properties (Saipan) Inc. in October 1989. The lease on 200 hectares of public lands was then assigned to SLDI in August 1993.
In 2000, lawmakers voted unanimously to grant up to 40 years lease (or a 15-year extension to the original lease agreement) on the public lands being occupied by Laolao Bay Golf Resort, to pave the way for its expansion plans.
Citing a loss of about $50 million, SLDI then sold the company to United Micronesian Development Association.
In 2007, Kumho Asiana Group, the mother company of Asiana Airlines, acquired the resort from UMDA. Kumho Asiana Group then reportedly acquired Daewoo Engineering.
Laolao Bay and Golf Resort
