Macau CE Candidate Supports “Healthy, Orderly” Gaming Growth
When Macau electors choose the next chief executive (CE) on Oct. 13, their choices will be limited to one: Sam Hou Fai, former president of Macau’s Court of Final Appeal. The presumptive CE will succeed outgoing chief Ho Iat-Seng, who will retire in December for medical reasons.
Sam once blasted the “negative impact” of gaming on the Chinese special administrative region (SAR), but has since softened his stance. At a Sept. 28 press conference, he acknowledged gaming’s contributions to the economy, but added that the industry must “develop healthily” for the city’s long-term health.
Sam said his administration “will protect and supervise the healthy and orderly development of the six concessionaires,” and also pursue the development of four additional pillar industries: finance, technology, health, and meetings and conventions.
The so-called “1+4” approach—or gaming-plus—will “promote the diversified development of the Macau economy,” said Sam, and position the city as an international tourism and leisure destination. In May, current CE Ho Iat-seng said gaming contributed less than 40 percent to gross domestic product in 2023, down from about 60 percent.
Thailand Rejects Government-Run Casinos
As Thailand gears up for a legal casino industry, MP Korrawee Prissanantakul has proposed that the government develop and operate its own gaming halls, instead of bringing in global operators. That way, he said, the kingdom would own the monopoly, and “all Thais would benefit from this policy, not only certain investors.”
But Deputy Finance Minister Julapun Amornvivat says the industry will be open to all qualified bidders: any limited or public company registered in Thailand with paid-up capital of no less than 10 billion baht (US$300 million). Applicants must pay a filing fee of 100,000 baht, an initial license fee of 5 billion baht, and an annual fee of 1 billion baht.
Many big names have already expressed interest, including the Las Vegas Sands Corp., Wynn Resorts, Caesars Entertainment, MGM Resorts, Galaxy Entertainment and Hard Rock. Genting and Melco may also be in the running for Thai gaming licenses, which will be valid for 30 years.
Philippines DOJ Warns Island Nation of POGOs
The Philippines are warning the island nation of Timor-Leste to steer clear of illicit offshore gaming operators. On Oct. 1, Justice Secretary Jesus Crispin Remulla visited the country, which recently staked its claim as a new center of iGaming that serves foreign gamblers. He shared the Philippines’ disastrous experience with Philippine Offshore Gaming Operators (POGOs), banned by President Ferdinand Marcos after reports of online scams, money laundering, kidnapping, torture and even murder.
In a statement, the Department of Justice (DOJ) said Timor-Leste is “one of the possible destinations where POGO operations could transfer.” Remulla advised officials there of “the potential socioeconomic and security challenges” that POGOs could bring, the DOJ added.
Hong Kong Pursues Charges against LET Chair
Hong Kong’s Securities and Futures Commission (SFC) has undertaken legal proceedings against the chairman and controlling shareholder of LET Group Holdings and Summit Ascent Holdings.
Andrew Lo did not seek shareholder approval when he tried to unload the group’s interest in its Russian casino resort, Tigre de Cristal. The alleged misconduct caused trading of shares in both companies to be suspended.
Proceeds from the sale—which ultimately fell through—would have helped fund the group’s US$1.1 billion casino hotel in Manila. Russia’s Primorye casino zone, home of Tigre de Cristal, has been struggling due to the war in Ukraine.
Wynn UAE Could Rival Las Vegas Ops
U.S.-based Wynn Resorts is looking at big returns from Wynn Al Marjan Island, a $4 billion beachfront resort now under development in Ras Al Khaimah, United Arab Emirates (UAE). The beachfront resort complex will include 1,500 hotel rooms, 60 townhouses and eight luxury suites, along with 60 restaurants, a meetings-and-convention space and an entertainment arena.
It will also include the Persian Gulf’s first legal casino. Al Marjan should be open to the public in 2027, and by 2030, could generate $1.8 billion in revenues and $500 million in EBITDA. By contrast, Wynn Las Vegas, which opened in 2005, reaped $2.5 billion in revenue and $945 million in EBITDA in 2023.
Though MGM Resorts has also applied for a casino license in the UAE, Wynn will likely have a lock on gaming in the region for three to five years. Morgan Stanley recently bumped Wynn Resorts to overweight or buy, based on the potential of the market.
