Macau casino operator MGM China has shored up its balance sheet with a new revolving credit facility of HK$2.34 billion (US$302 million) with an option to increase it to HK$3.9 billion ($503 million) if necessary.
The loans, which mature in 2024 and bear interest in the range of 1.625-2.75 percent, are earmarked for ongoing working capital needs and general corporate purposes, the company said in a filing with the Hong Kong Stock Exchange.
Macau’s world-leading casino revenues have taken a dramatic hit since visitation from mainland China was largely shut down after the Covid pandemic appeared back in January.
MGM China has been no exception.
The Hong Kong-listed operator, which is majority owned by Las Vegas-based MGM Resorts International, reported an EBITDAR loss of US$22 million in the first-quarter on revenues that were down 63 percent year on year at its two casino hotels.
