The former Portuguese enclave Macau is home to many of the world’s most iconic land-based casino venues such as the Venetian Macau venue, The Plaza Macao, Casino Babylon Macau, and more. Due to the ongoing coronavirus pandemic which has directly caused many financial and social disruptions across the globe, the Macau casino industry has seen rather disappointing gross gaming revenues not only in May but also in March and April.

Travel restrictions that were implemented by the Chinese government to combat the spread of the highly-contagious coronavirus were largely to blame for disappointing gross gaming revenues of Macau casinos. As revealed by several local news outlets, Macau casinos recorded a massive 93.2% decrease in its net gross gaming revenues that hit only $220.9 million for the month of May.

According to reports released by Inside Asian Gaming and GGRAsia, official figures from the former Portuguese enclave’s gaming entity the Gaming Inspection and Coordination Bureau show that aggregated gross gaming revenues for May represent the second consecutive month in that Macau casinos had chalked up a comparable diminution of over 90%. Back in April, Macau casinos had chalked up a decline of 96.8% in gross gaming revenues which hit only $94 million.

Growing Daily Deficits

According to the same local sources, the most recent figure on the industry’s gross gaming revenues of Macau casinos showed that those thirty-nine casinos in the area have logged gross gaming revenues worth around $4.1 billion since the beginning of 2020. These rather disappointing figures represent a massive drop of 73.7% when compared to the industry’s aggregated gross gaming revenues of the same five-month period last year when the thirty-nine Macau casinos made around $15.7 billion.

What makes things even worse for the Macau casino gambling industry and its thirty-nine casinos active in the region is the industry’s growing daily deficits. According to Sanford C Bernstein Limited which is a prominent brokerage company, the industry’s comparable daily net gross gaming revenues for the month of May fell into another negative territory especially from the 18^th of May due to diminishing player bases and hold volatilities. The same brokerage institution also proclaimed that the most likely one-month-long median of around $7.1 million was around 126% lower when compared to those month-long medians of March and April.

Other Troubles for Casino Owners

The casino industry in Macau is also facing many other troubles that could not be avoided. As previously mentioned, the former Portuguese enclave is home to some of the most iconic casinos in the world such as the Casino Grand Lisboa venue. The city is also home to over 632,000 citizens. It has recorded its very first official infection with coronavirus back on the 22^nd of January.

With growing numbers of daily coronavirus infections, the government was forced to temporarily shutter all of those thirty-nine Macau casinos and the decision was made on the 4^th of February.  Even though all of the thirty-nine casinos in Macau partially re-opened on the 20^th of February after only forty-five coronavirus infections recorded, there are many travel restrictions still in place.

For instance, individuals who are traveling between Macau and Hong Kong or mainland China have to undergo fourteen days of quarantine. This means that the former Portuguese enclave was cut off from many of its regular gamblers who come from Hong Kong and mainland China back in March when the government decided to postpone its IVS or Individual Visit Scheme. This scheme allows tourists from forty-nine communities to come to Macau without being required to travel within a tour group.

Looking ahead, land-based casinos in Macau could easily recover from the negative consequences of the ongoing coronavirus pandemic once all travel restrictions are lifted. It was also reported that the very first department of Macau casinos to recover will most likely be its VIP Business.

As reported recently by several local news outlets, one of the most renowned Macau-based casino operators, the MGM China Holdings Limited company has announced some of its future plans following the recent mandatory shutdown of its casino venues due to the ongoing coronavirus pandemic. As reported, MGM China Holdings Limited has been granted a brand-new credit facility which the company will use to help its business operations survive the negative financial impact of the coronavirus pandemic-related shutdown.

According to reports released by GGRAsia and Inside Asian Gaming, MGM China Holdings Limited used one of his latest official press releases to share more details about its new credit facility. As revealed, the credit provision which the company has agreed with its lenders is worth over $301 million. Nonetheless, this value may go over $503 million under specific conditions if necessary, to help the company stay afloat and to help its business survive.

Details About MGM China Holdings Limited

The MGM China Holdings Limited firm is one of the most prominent hospitality companies in Asia. In fact, the company is one of the leading operators, owners, and developers of lodging and gaming resorts in China. Moreover, MGM China Holdings Limited is also the holding firm of MGM Grand Paradise which is one of the six operators that has been granted the necessary rights to own and operate casino gambling venues in the Asian capital city of gambling, Macau.

When it comes to the MGM Grand Paradise firm, it owns and manages one of the most iconic casino facilities in Macau, MGM Macau. The venue is the award-winning fully integrated casino gaming resort situated on the Macau Peninsula. The company also owns and operates MGM Cotai that is a fully integrated, luxury resort located in Cotai which opened its doors back in 2018.

The company’s MGM Macau offers around six hundred hotel rooms alongside many other luxury amenities including five-star hotel suits, the MGM Art Space as well as, conference and meeting areas, fine dining restaurants, and one of the biggest casino floors in Macau. MGM Cotai is no less impressive packed with one thousand and four hundred luxury hotel suites and rooms, a high-end spa, meeting space, food and beverage outlets, and much more for the ultimate gaming and entertainment experience.

Disappointing First-Quarter Revenues

Due to the ongoing coronavirus pandemic and related negative and even devastating financial impacts, the MGM China Holdings Limited company saw aggregated gross net revenues for its MGM Cotai and MGM Macau venues drop by around 63% on a yearly basis to reach around $270.91 million in the first four months of 2020. At the same time, the company’s associated earnings before amortization, depreciation, taxes, and interest hit a massive deficit of around $12.9 million.

One of the major reasons behind such disappointing first-quarter net revenues related to travel restrictions which were put in place by the government of Macau following mandatory casino lockdowns issued back in March. Travel restrictions alongside mandatory lockdowns have caused MGM Cotai and MGM Macau’s occupancy rate to drop to around 36%. Consequently, the company in charge burned around $1.5 million every single day.

Majority owned by the MGM Resorts International company which is an American casino operator, the MGM China Holdings Limited company also shared that it will probably access its new credit facility provision as soon as it provides the necessary evidence that all of its $1.25 billion senior credit facility has been exhausted. According to the company’s officials, its latest cash provision is also subject to fluctuating annual interest rates as grounded on the HIBOR or the Hong Kong Interbank Offered Rate alongside a 2.75% margin according to the company’s leverage ratio.

As reported by the government of the Japanese Wakayama Prefecture, only two companies submitted their official plans towards securing one of the trios of licenses to construct and operate a fully integrated gambling-friendly resort in the area. Wakayama Prefecture is located in the Kansai region and it has a population of almost 1 million individuals as estimated in October of 2017. Like several other Japanese prefectures, Wakayama Prefecture is also looking forward to being granted all of the necessary licenses to become home to a fully integrated casino resort.

However, only two runners have joined the race after submitting their official RFP or request for proposal schemes. According to one report released by GGRAsia, the two companies which have joined the Wakayama Prefecture casino licensing race are the Suncity Group Holdings Japan Company Limited firm and the Clairvest Neem Ventures firm. Suncity Group Holdings Japan Company Limited is the local subsidiary of the Hong Kong-based Suncity Group Holdings Limited company while the second runner is subordinate of the Clairvest Group Incorporated firm which is a private equity management business.

Several Companies Withdrawing from the Race

According to one report by GGRAsia released several days ago, the Wakayama Prefecture officials had been very hopeful that other respectable, prominent international and local operators would be joining the race including the French company Groupe Lucien Barriere and the Filipino company Bloomberry Resorts Corporation. Nonetheless, both of these casino operators have decided to fully withdraw from the Wakayama Prefecture casino licensing race which kicked off two months ago.

The two companies which have withdrawn from the race have presented their initial concepts via a symposium that was hosted back in August and it seemed that they will remain in the contest. All in all, Wakayama Prefecture has rather ambitious plans and it is looking forward to being given all of the necessary government-approved permissions to become home to a fully integrated casino resort which would be completed with many retail elements, exhibition facilities, multiple hotels and of course, a massive casino floor.

According to the prefecture’s already submitted plans for this integrated gambling-friendly resort, the venue is planned for a fifty-eight-acre plot of land which is located on the artificial island of Marina City. Nonetheless, the nation of almost one million residents is facing rather stiff competition as several other prefectures have also submitted their official plans for one of the nation’s trio of casino licenses and these include Yokohama, Sasebo and Osaka communities.

Examination of the Two Bids in the Following Weeks

According to Inside Asian Gaming, the officials of the prefecture will probably take the following several weeks to thoroughly examine the two submitted bids from the two casino operators who have joined the race. Moreover, the two runners have until August to officially present their business plans and the rest of their RFP bids. According to the prefecture’s officials, Wakayama Prefecture is rather hopeful of being able to choose a preferred casino operating business partner by November.

Before Wakayama Prefecture picks one casino operator as its business partners, it will submit its official, completed casino proposal to federal selectors before a definite deadline comes which is set for the 30^th of July, 2021. Wakayama Prefecture earlier shared that all successful casino licensing applicants have to implement a certain sports and wellness theme into their official proposals which will help with promoting tourism in the area. Moreover, the prefecture’s chosen casino operating partner will also have to follow measures that are crafted to help battling gambling issues. Lastly, the prefecture’s chosen business partner will also have to make sure that their finished casino resort can withstand earthquakes, tsunamis, and other natural disasters.

In the former Portuguese enclave, one of the most prominent casino operators not only in the area but globally, the Melco International Development Limited firm has announced that it has just started working on the second construction phase of its Studio City Macau facility. According to one report released by GGRAsia, this Hong Kong-listed casino operator used one of its official filings released on Monday to share more details about the second construction phase on its Studio City Macau.

As detailed, Melco International Development Limited plans to invest between $1.3 billion and $1.4 billion to expand the iconic property which now features one thousand and six hundred rooms. This Cotai Strip-located venue’s expansion project should be completed within twenty-four months from now according to the company’s officials.

Details About Studio City Macau

Formerly known as The Macao Electric Lightning Company Limited, Melco International Development Limited was founded in 1910 which means it has been around for over one hundred and ten years. It is one of the oldest companies in Hong Kong which today engages in property, technology, entertainment, gambling, and leisure businesses. Back in 2004, the company entered a joint business venture with Crown Limited to form Melco Crown Entertainment Limited. Then in 2011, the newly established business ventured acquired a majority stake in Studio City Macau.

The Studio City Macau facility opened its doors on the 27^th of October in 2015. This hotel and casino resort is located in Macau, China and it was one of the very first leisure resorts in Asia to integrate film and television production facilities alongside spacious gaming spaces and hotels. Studio City Macau was jointly developed by eSun Holdings Ltd, Oaktree Capital Management LLC, and Silver Point Capital LP. The entire project was worth over US$2 billion.

The facility features an interesting Art Deco style and it was designed by the Goddard Group company which is an entertainment design firm located in Los Angeles. The resort features two hotel towers connected by the Golden Reel. Among many different attractions, Studio City Macau features a flying theater named Barman Dark Flight, an amusement park, a food court Cosmos Food Station as well as a massive 40,000 square feet children’s playground named the Warner Brothers Fun Zone.

Expansion and New Accommodations

As previously mentioned, Melco International Development Limited opened the Studio City Macau venue in 2015 following the first construction phase being completed. Today, the company manages the venue via its subsidiary firms. When it comes to the second construction phase of Studio City Macau which has started several days ago, the iconic venue will be enriched with a pair of new hotel towers that will be packed with nine hundred additional rooms.

Moreover, the property will also include a cinema, as well as meeting and exhibition facilities alongside one of the biggest indoor water parks in the world. According to one report by GGRAsia, the company in charge has already invested around $80 million of its planned budget on designing the second construction phase of Studio City Macau which is managed by China State Construction International Holdings Limited firm. The deadline for the project is set for the 31^stof May, 2022 but the company may ask for an extension due to the ongoing coronavirus crisis and possibly not being able to finish all the required work on time.

One of the most prominent South Korean casino operators, the Paradise Company Limited has just recently announced that its four casino venues have been re-opened after several weeks of being closed due to the coronavirus pandemic. According to a GGRAsia report, this Seoul-based company is responsible for several casino venues in several cities of South Korea including Seoul, Jeju, and other locations.

The Paradise Company Limited is also responsible for the seven hundred and eleven-room Paradise City fully integrated casino resort which is located close to Incheon International Airport. The company is primarily engaged in the casino industry while it operates through three different segments. When it comes to its casino segment, it operates the Paradise Casino Incheon venue, Paradise Casino Walkerhill, Paradise Casino Busan, Paradise Casino Jeju Grand, Paradise Casino Jeju Lotte, and Paradise Safari Park Casino.

Paradise Company Limited Closing Its Properties for Almost a Month

Due to the growing concerns related to the ongoing coronavirus crisis, Paradise Company Limited closed its properties in South Korea for a period of two weeks starting from the 24^th of March. This temporary lockdown period was later on extended by twelve days following the growing struggles of South Korea to contain another coronavirus infections wave following the first strike.

According to one report by GGRAsia, the nation’s health officials confirmed that South Korea had recorded thirteen new cases of the potentially-deadly coronavirus strain on the 19^th of April. So far, the highly-contagious coronavirus strain killed two hundred and sixty-three locals while the nation’s infections tally went to 10,649 with around one thousand recorded cases being imported by foreigners.

Grand Korea Leisure Company Limited Casinos to Remain Closed

While Paradise Company Limited has announced that its casinos in South Korea will re-open the doors to the public, the company’s biggest competitor the Grand Korea Leisure Company Limited firm announced that it will not follow these steps. In one of its official press releases, officials at Grand Korea Leisure Company Limited announced that the company’s trio of iconic Seven Luck casinos will remain closed at least until the 6^th of May.

The company that is an enterprise of the South Korean Ministry of Culture, Sports and Tourism is responsible for foreigner-only casino facilities located in the cities of Busan and Seoul. According to the company’s officials, Grand Korea Leisure Company Limited will lose around $47 million as a direct result of closures caused by the ongoing coronavirus pandemic.

In addition to affecting Paradise Company Limited and its local rival Grand Korea Leisure Company Limited, the ongoing coronavirus crisis, and pandemic, other South Korean casino operators have been affected as well including the Kangwon Land Incorporated firm. This is one of the most prominent South Korea-based resort and casino companies that operate out of its Gangwon Province-headquartered office.

The company was founded back in 1998. Since its inception, it has been committed to the casino industry and today, it operates a massive number of slot machines and gaming tables for both international and domestic customers. According to the company’s officials, its iconic Kangwon Land Casino will remain closed at least until the 4^th of May. This casino is situated in Gangwon Province around ninety-three miles from the capital city. It offers almost one thousand slot machines alongside one hundred gaming tables.

As revealed several days ago by the government responsible for Nagasaki Prefecture in Japan, the prefecture’s officials are still intent on launching the RFP or request for the proposal stage of its already devised plan which revolves around securing one of coming Japanese trio of fully integrated casino resort licenses. This came to many as a surprise considering the ravaging coronavirus crisis which was especially prominent in Asia in the past two months.

According to recent reports by Inside Asian Gaming and GGRAsia, this revelation by the government for Nagasaki Prefecture means that this Japanese jurisdiction of over 1.3 million residents has not made any alterations or changes to its original plan and schedule despite the ongoing coronavirus pandemic. The nation’s plan to launch the request for proposal stage for its fully integrated casino resort plan licensing has not been affected by a Prime Minister’s decision to place all seven affected Japanese communities into emergency lockdowns for at least one month.

The Month-Long Lockdowns of Seven Communities

Even though Nagasaki Prefecture and its 1.3 million residents have not been included in those emergency lockdowns of seven Japanese communities affected by the coronavirus crisis, the decision made it significantly more difficult for Nagasaki Prefecture’s officials to travel across the country and to hold business meetings with operating partners and other interested clients. On the other hand, several big Japanese cities were included in the nation’s coronavirus-related emergency lockdowns and these include Hyogo, Kanagawa, Fukuoka, Saitama, Osaka, Chiba, and Tokyo.

As reported by GGRAsia, Nagasaki Prefecture is hoping to be given all necessary official permissions and licenses to construct and operate a Las Vegas-style gambling-friendly resort. According to the prefecture’s already devised plans, this fully integrated casino resort is planned for a seventy-acre parcel which is located near Huis Ten Bosch theme park near the city of Sasebo.

Nagasaki Prefecture launched its RFC or initial request for the concept of its fully integrated casino resort plan back in September. At the moment, the officials for Nagasaki Prefecture anticipate finally moving onto the following, a more formal request for proposal or RFP stage in the following months before the summer starts.

Nagasaki Prefecture Releasing an Updated Basic Concept Plan

As Nagasaki Prefecture’s officials wait for the next steps and as they prepare, they have released an updated variant of its fully integrated casino resort basic concept plan. The updated version of the plan was released a couple of days ago and this version more clearly lays out what the prefecture expects from interested foreign casino operators which are interested in constructing and potentially running the proposed fully integrated casino resort for Nagasaki Prefecture.

This revised basic concept plan features seventy-three pages and it pronounces that such a gambling-friendly development could bring a massive economic ripple effect for the whole community worth around $3.85 billion. The seventy-three-page document also pronounces that such a gambling facility could lead to great new working opportunities and full-time jobs for over 360,000 local residents.

Furthermore, the revised document also reveals that the planned fully integrated casino resort for Nagasaki Prefecture could open its doors to the public in 2025 and in the meantime provide around 840,000 temporary construction jobs. The updated version of the basic concept plan for the planned gambling-friendly venue also reveals that the entire project would cost around $3.2 and $4.2 billion with yearly customer numbers reaching 9.3 million.

One of the most prominent Asian junket companies Suncity Group had just recently finalized a brand-new business deal. This twenty-year business deal will see one of the company’s successful subsidiaries become the major casino operator of the gambling facility which is located within the coming Resorts World Westside City venue in the Philippines.

Suncity Group Holdings Limited is a firm that is listed on the Hong Kong Stock Exchange. It primarily engages in the development of commercial and residential properties. Suncity Group also provides integrated resort and casino management with a travel agency and consultancy services. When it comes to the company’s latest business ventures, this Hong Kong-listed firm just revealed that its subordinate Suntrust Home Developers Incorporated has agreed to invest around $200 million to run the Resorts World Westside City’s casino until the 19^th of August, 2039.

The company’s officials also told local news services including GGRAsia that this business contract can be automatically renewed for another twenty-five years. It was also revealed that the business contract comes with a provision that will see the company’s subsidiary Suntrust Home Developers Incorporated pay an annual rent of around $10.6 million to the coming Philippines Resorts World Westside City which is an arm of the Travellers International Hotel Group Incorporated company.

Travelers International Hotel Group Incorporated

As reported by GGRAsia, the Travellers International Hotel Group Incorporated firm is actually a joint business venture between Alliance Global Group Incorporated which is a Filipino conglomerate and Genting Malaysia Berhad which is an Asian casino behemoth. The two entities are building the Resorts World Westside City on a three hundred-acre land parcel which is located in the Entertainment City district of Manila.

The finished facility with all of its amenities is expected to open its doors to the public sometime in 2020. As revealed, it will feature a hotel space with four hundred rooms alongside a massive 1,959,031 square feet casino floor. The casino included in the facility will offer a great selection of games including over one thousand and two hundred slot games alongside four hundred mass-market and VIP gaming tables.

Suntrust Home Developers Incorporated as the Only Operator of the Casino

According to another reliable source, the business deal has also formalized another business arrangement which was concluded back in October. According to this deal, Suntrust Homer Developers Incorporated of Suncity Group has been granted the necessary rights to serve as the only as well as the exclusive manager and operators of the Resorts World Westside City’s main casino floor.

The same source also revealed that the coming facility will be a five-star venue that will feature a number of other amenities including a parking area with almost three thousand parking spaces, shopping malls, a theater, and others. The venue’s location is quite favorable as it is located very near to Manilla Ninoy Aquino International Airport.

When it comes to the Entertainment City district which sits on the 1,976-acre land parcel, it started welcoming its very first guests back in 2013. At the time, the Solaire Resort and Casino also opened its doors. Later on, Belle Corporation in partnership with Melco Resorts and Entertainment Limited debuted its City of Dreams Manila while in December of 2016, the Tiger Resort Leisure and Entertainment Incorporated of Universal Entertainment Corporation started welcoming visitors to its Okada Manila facility.