Makes me want to play Black Jack right now! The race to
Makes me want to play Black Jack right now!
The race to conquer the Asian casino world is already heating up in the Philippines where Asian brokerage CLSA forecasts gambling revenue to grow from US$1.3 billion in 2011 to US$3 billion in 2015 once three new resorts are completed.
Galaxy and Melco, which both sit on prime real estate on Macau’s coveted casino strip, are also interested in investing in the Philippines, Cristino Naguiat, chairman of the state-owned Philippine Amusement & Gaming Corp, told Reuters in February.
Caesars does not operate a casino in Macau, but is itself expanding in Asia and is building a luxury resort in China’s southern tourist destination, Hainan, where gambling is illegal.
Genting Singapore, armed with a hefty cash reserve of some S$3.9 billion as of March 2012, has in the past two months raised around S$2.3 billion in debt, suggesting it is likely to push ahead with expansion plans and global acquisitions in the near term, analysts said.
The Asian expansion by U.S. operators has not been without controversy. Government officials in several potential Asian gambling jurisdictions considering which operators will be awarded a license are growing weary of the negative headline risk that Las Vegas operators bring with them, executives said.
U.S. operators committed to a future in Asia could make a bold move to leave Las Vegas by delisting and selling their U.S. properties, which could free them from various U.S. legal constraints.
U.S. operators are also on guard against Asian companies muscling in on their territory in the United States. Genting has been buying waterfront real estate in downtown Miami over the past year, including buying the Miami Herald building, in the hopes the state will legalise gambling.
As Asian firms look to dominate in Asia by relying on their local networks and knowledge, they are also tapping the intellectual resources of Las Vegas by hiring Las Vegas-based lawyers, architects, live entertainment producers and information technology companies.