The takeover followed Mohegan’s default on the project’s $275 million loan.
The Mohegan Tribal Gaming Authority, which operates Mohegan Sun in Uncasville, disclosed in its 2025 financial report that Boston-based investment firm Bain Capital seized control of its South Korea casino resort last year.
The takeover of Mohegan INSPIRE, a $1.6 billion entertainment resort near Seoul's Incheon International Airport, occurred on Feb. 13, 2025, according to the gaming authority’s report.
Affiliates of Bain Capital, which served as the principal lenders on the South Korea casino project, accelerated the loan and appropriated shares of the company that owned the resort, the casino operator disclosed.
The takeover followed Mohegan's default on the project’s $275 million loan after visitation came in far below projections, according to Kim Noland, an analyst with Gimme Credit.
Despite losing ownership of the resort, Mohegan remains liable for certain financial guarantees related to the property. The company recognized a $143 million liability as of Sept. 30, 2025, for estimated obligations under various support agreements connected to Mohegan INSPIRE’s senior debt, according to the annual report.
“Discussions with Bain Capital are ongoing with respect to resolution of the Company’s and its subsidiaries’ ongoing connections to Mohegan INSPIRE,” the report states.
Former Mohegan CEO Ray Pineault, who resigned effective Dec. 28,
addressed the South Korea situation during the company's fourth-quarter earnings call in December.
“Inspire Korea did not achieve our expectations,” Pineault said. “We made the deliberate decision not to deploy further capital, and as a result, we are not currently an equity holder in the project. That said, certain linkages remain, and we are actively working to resolve those in the most advantageous way for Mohegan and all stakeholders.”
Mohegan INSPIRE opened its entertainment resort phase in November 2023, with the gaming phase following in February 2024. The resort features hotel rooms, restaurants, entertainment venues and a foreigner-only casino, as Korean citizens are generally prohibited from gambling at casinos in South Korea.
The loss of the South Korea property resulted in Mohegan recording an $80.6 million loss from discontinued operations for fiscal 2025, which ended Sept. 30.
Mohegan announced workforce reductions in December expected to generate about $9 million in annual savings, according to CFO Ari Glazer, who said the cuts were designed to align staffing with the company’s strategic priorities.
As of Sept. 30, 2025, Mohegan reported total debt of $1.8 billion.
Last year, Mohegan also disclosed it was
exploring the sale of its WNBA franchise, the Connecticut Sun.
