Bain leaves door open for Mohegan in INSPIRE resort sale
Bain Capital has confirmed it has no issues with Mohegan participating in the sale process of South Korea’s INSPIRE Entertainment Resort, signalling a significant shift in tone between the two parties.
In an official statement to SiGMA News, a Bain Capital representative said, “Mohegan is invited to participate in the sales process on the same terms as all other interested parties. The Firm (Mohegan) has not challenged Bain’s enforcement of ownership.”
The declaration marks a notable reversal following months of strained relations between the Mohegan Tribal Gaming Authority and Bain Capital. Previously, Mohegan had criticised the private equity firm for rejecting proposed amendments to financial covenants linked to the INSPIRE resort.
Mohegan faces control stalemate
Mohegan claimed its proposals matched industry standards, but Bain Capital countered with early repayment terms for the loan that Mohegan found inequitable. This stalemate lasted for months.
The impasse peaked when Bain Capital seized control of the resort’s holding company, MGE Korea Limited, in February 2025, following a $275 million (€255 million) loan default. The loan, secured in 2021, used shares in the South Korean entity as collateral. With operational control assumed, Bain has now moved to list the INSPIRE resort for sale through an open market bidding process.
Despite taking control, Bain has yet to acquire full legal title of the resort and must undergo further legal procedures to finalise ownership. The sale is intended to establish a fair market valuation of the asset and legally conclude the transfer.
Struggles prompt INSPIRE sell-off
Opened in late 2023, INSPIRE is located near Incheon International Airport and is South Korea’s largest foreigner-only 바카라 complex. The development includes three five-star hotel towers with 1,275 rooms, a 15,000-seat indoor arena, a convention centre, and the country’s first glass-domed water park.
However, the resort struggled financially from the outset. In the fiscal year ending September 2024, INSPIRE reported an operating loss of KRW 156.4 billion (€104 million) against revenues of KRW 219 billion (€146 million). Performance fell short, particularly in attracting high-value tourists from key markets like China.
Bain also plans phased expansions, including a shopping mall, theme park, and golf course, plans previously opposed by Mohegan. However, it all hinges upon the sale of the INSPIRE resort. Bain has stated it is open to offers from third-party investors as well as potential reacquisition by Mohegan, which lost control due to debt burdens and unsustainable operational costs despite generating notable revenue.
