Government's silence on Macau gaming licenses causes concern

Government's silence on Macau gaming licenses causes concern

Telsey Advisory Group LLC, US brokerage company expressed concern that the Macau government has not yet reported what will happen to the six licenses of local casino operators, which will expire in the coming years.

Thus, the casino licenses of SJM Holdings Ltd and MGM China Holdings Ltd are valid until 2020.

In his latest message, Fernando Chui (Macau Chief Executive) noted that mid-2018 is the right time to consider this issue. Moreover, last year, the Macau government ordered two studies to update gaming licenses. Both of them were planned to be completed by the third quarter of 2018,” - representatives of the Telsey Advisory Group said.

The Macao government commissioned two studies on the possible development of the gaming sector in the city between 2020 and 2030.

Before the expiration of the licenses in 2022, we will launch a tender process. There is still time until 2020. We will provide all information on this issue in an open, clear and accessible way,” - Chui said.

The Telsey Advisory Group also reported that the gross gambling revenue (GGR) of Macau casinos in November of this year will be 3-4% higher compared to the same period of the previous year. As for the first 10 months of 2018, during this period the growth of GGR was 14.3%.

According to experts, the GGR of Macau this month was influenced by the Grand Prix event, which was held in Macau from 15 to 18 November.

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