Macau’s gaming industry revenue will increase 20 percent in the current year according to a revised estimate by Morgan Stanley. Analysts Praveen K. Choudhary and Katherine Sun reported the 5 percent increase from their original estimate was due to recent growth in both the VIP and mass market sectors. The two still have a preference towards firms on the Cotai strip, namely Melco Crown Entertainment, Galaxy Entertainment Group and Sands China. They also joined the former in projecting they have the most to gain from the opening of Sands Cotai Central, adding that Melco Crown will “benefit most” from the new venue and competitors will “lose market share” as a result. In addition they expect the VIP market to rebound, stating: “We are at the inflection point as we do not expect negative growth rate for VIP rolling chips seen in 2009.”
Pansy Ho-backed Shun Tak Holdings is in talks to build a luxury hotel on the Cotai strip. South China Morning Post quotes Ho as stating an “ultra luxury hotel” will be built on the strip of land in Macau. It coincided with the conglomerate announcing a 10 percent drop in net income. Decreases in revenue from the company’s real estate arm were blamed for the HK$780.6 million (US$100.5 million) figure.
A leading Macau casino business CEO believes the industry should have a seat on the enclave’s legislative assembly. SJM Holdings CEO Ambrose So Shu Fai argued the gaming industry gives a “very important” contribution to the enclave’s economy and “should have a voice in the legislative assembly” as a result. It came after Stanley Au Chong Kit suggested an indirectly elected seat for the gaming industry.
The law has caught up with a casino junket accused of stealing MOP400,000 from a gambler. The 50-year-old was detained when trying to re-enter Macau and borrowed the money from a casino under another junket’s name. It was then loaned to a gambler and the crime only became known when the casino that used the junket requested the money be repaid. The suspect admitted to a “breach of trust” and is unable to pay the amount owed.
