NagaCorp Limited is one of the most successful, renowned Asian leisure, gaming, and hotel companies. The company is present across several Asian countries including Cambodia where it owns and operates the country’s largest gaming and hotel resort, the NagaWorld facility. This Hong Kong-listed company also owns and operates the only Phnom Penh’s fully integrated hotel and casino complex.

It is worth mentioning that NagaCorp Limited holds a seventy-year casino license running until 2065 in Cambodia. Consequently, it also has a monopoly within a one-hundred-and-twenty-mile radius of Phnom Penh at least until 2045. The company’s Naga casinos opened back on the 1^st of May in 1995 in Phnom Penh. At the time, it was a riverboat casino before moving to land and its current location in 2003. Like every other company of this kind in the industry, NagaCrop Limited has been negatively affected by the ongoing coronavirus pandemic.

Released several days ago by the company’s officials, NagaCorp Limited is considering whether to offer a new share offering to combat the storms caused by the ongoing coronavirus pandemic. The company’s possible new share offering will also top up NagaCorp liquidity as well as give the company more resources so it can battle a massive slowdown in its business also caused by the coronavirus pandemic.

Consequences of the Coronavirus Pandemic

Also revealed by the company’s officials, the Hong Kong-listed firm responsible for the largest casino resort in Cambodia, the NagaWorld facility has enough cash to endure around eighteen months of highly reduced revenues. The revelation was made back on the 22^nd of June according to Inside Asian Gaming and other local news outlets.

Inside Asian Gaming also noted that the casino facility located within the iconic NagaWorld facility has been temporarily shuttered since the 1^st of April due to an initiative led by the country’s government to stop the spread of the coronavirus strain. The same source also revealed that the company’s flagship property located in Phnom Penh is only operating one hotel at significantly reduced capacity while its visitors are provided with only limited food and beverage services.

One of the major consequences of the ongoing coronavirus pandemic to local businesses and casino operators is seen in disappointing financial results for the first quarter of this year and NagaCorp is not an exception. The company’s officials revealed that its average expenditure for one month regarding its venue in Cambodia had been $18.4 million before the coronavirus-related lockdowns were set in place.

Before the lockdown, the company’s monthly expenditure for its venue in Cambodia encompassed around $13.9 in standard operational costs as well as $3.2 million in maintenance and capital costs. Nonetheless, this outflow has been significantly reduced to around $3.9 million while the company holds deposits and cash worth around $527.1 million.

NagaCorp Limited’s New Share Offering

When it comes to the company’s new share offering, the company’s officials revealed that NagaCorp Limited’s Chief Executive Officer as well as its majority shareholders Chen Lip Keong would be willing to invest around $45 million via ChenLipKeong Capital Limited to show his confidence and support.

In the meantime, the company is pushing ahead with its NagaWorld expansion worth $3.5 billion which will bring extra retail space, a spa, a massive amusement park as well as around five thousand more hotel rooms and extra restaurants to the luxurious resort. The company responsible for the venue is also considering expanding its casino floor to host two thousand and five hundred extra slot machines and around eight hundred extra gaming tables.

As reported by several Asian news outlets, around three thousand employees of the NagaWorld casino resort in Cambodia decided to leave their job duties and go to the streets of the country’s capital city in order to ask for higher wages alongside improved working conditions.

According to recent reports by Inside Asian Gaming as well as the Reuters service, the giant NagaWorld fully integrated casino resort operated by the NagaCorp Limited company was granted a ten-year extension license related to its exclusivity clause related to its gaming business in the country. Since the company was granted a ten-year extension of this kind, no other companies or operators are allowed to construct and run gaming establishments of any kind within a one hundred and twenty-four-mile radius of the country’s capital city at least for ten more years.

The NagaWorld Casino Resort Opened in 2003

The company which owns and operates the NagaWorld Casino, NagaCorp Limited is a Hong Kong-listed leisure, gaming, and hotel company. Its Cambodia-based fully integrated casino resort, the NagaWorld facility is the country’s biggest gaming resort and hotel. The company which owns the resort holds a seventy-year casino license in the country while as previously mentioned, it also has a monopoly within a massive one hundred and twenty-four radius of the capital. 7

The NagaWorld casino resort facility featuring sixteen stories was opened in 2003. Today, the resort offers a hotel space with seven hundred rooms alongside a number of other features including several conference rooms, a luxury spa as well as a massive casino floor packed with over one thousand and five hundred slot games alongside one hundred and sixty-nine table games.

This luxurious Cambodia-based property is also in the process of expansion which will see the NagaWorld venue become richer for around four thousand and seven hundred rooms across its 5.8 million square feet floor space which is located near the venue’s Naga3 building. The expansion project is worth over $3.5 billion and the company’s officials hope that the new building will open its doors in six years.

Significantly Rising Revenues and Employee Dissatisfaction

The company which operates the facility has reportedly experienced a massive 20% increase in its gross gaming revenues in the nine months of the previous year which equals to around $1.29 billion. It was also reported that the company’s net gross gaming revenue figures for September 2019 have significantly improved by around 29% to reach around $616 million.

However, this amazing success in terms of significantly growing revenues has not satisfied the company’s NagaWorld resort employees who according to several reports by Inside Asian Gaming earn just around $150 monthly. Employees are of course unhappy with this monthly salary and they will be protesting.

As reported, unhappy NagaWorld resort employees asked the hotel’s owner to increase hotel staff monthly salaries to at least $300. The employees also asked that casino floor workers are paid at least $500 monthly. According to the Reuters news outlet, the protestors also called for Chhim Sithar who is a former labor union leader and former NagaWorld employee to be reinstated after being fired back in September of 2019 for allegedly secretly organizing higher wager campaigns. To conclude, the protestors are asking for better working conditions and the NagaWorld venue will have to make some changes.