Frontier Capital forecasts doubling of profit by 2018

Frontier Capital Group Ltd. is expecting to see its profit double two years down the road, thanks to its recent Clark casino acquisition.

Last week, the Australian-listed company announced it is acquiring the Stotsenberg Hotel and Casablanca Casino in the Philippines’ Clark Freeport Zone for $26 million in shares, which will be transferred in three tranches.

Frontier Capital’s shareholders will still have to approve the deal, with a target date for completion in January 2016. Still, that hasn’t stopped the casino investor calculating the possible yield it will get in the next few years.

In a filing to the Australian Securities Exchange on Thursday, the company said it expects its profit to climb to $11.7 million by 2018—from $5 million in 2016—as a result of its “aggressive expansion plans” for the Clark casino.