UFC owners in talks with government
Frank and Lorenzo Fertitta, U.S.-based casino owners of Red Rock Resorts and also the owners of the mixed martial arts company known as the Ultimate Fighting Championship, are reportedly in talks with the Brazilian government to turn an Olympic sports venue into a casino resort once the summer games are over.
According to Casino News Today, the Fertittas say repurposing the Barra Olympic Park will provide a way to monetize the government-built venue. The Barra Park is the main stage of the athletic contest, and will hosting 16 Olympic activities and nine Paralympic competitions.
Brazil is contemplating a legalization of casino gaming in response to a devastating economic crisis. This year, the country saw its worst economic growth performance in a quarter century, causing Moody’s Investment Services to downgrade its investment grade to junk status. The economy is expected to contract 3.8 percent this year, a repeat of 2015, the Wall Street Journal has reported. Based on a 30 percent tax rate, analysts say, the industry could generate up to $3.7 billion for the government.
Last December, a special economic development committee of the Federal Senate approved a proposal to legalize online and land-based casino and bingo games, including the allotment of 35 casino licenses—one for every state in the land, for a total of 655,000 gaming machines.
