It’s the beginning of the end of the satellite casino industry in Macau. This week, Melco Resorts & Entertainment, Galaxy Entertainment Group and SJM Holdings announced that the 11 satellites operating under their licenses will close by the end of 2025.
Melco will close its Grand Dragon Casino and three slot lounges operating under the Mocha Club brand. In a news release, it said the closures are in line with “the company’s overall development strategy and in accordance with Macau law.”
Galaxy announced it will close the Waldo Casino “due to commercial considerations.”
SJM will shut down nine satellites this year in support of its “long-term objectives [and] overall competitiveness.”
All three pledged to offer new job opportunities to the estimated 6,000 employees affected by the change.
In 2022, the Macau government amended its gaming laws, giving satellites three years to shift from a profit-sharing model to a structure in which they are directly owned by licensees. SJM plans to acquire and continue to operate two of the properties, Ponte 16 and L’Arc Macau, shifting them to the directly managed model.
The Macau Labor Affairs Bureau has promised to “closely monitor the situation” to ensure operators make good on their pledge to reassign employees.
