KUALA LUMPUR; Genting Malaysia Bhd (GENM) is closely monitoring developments in Thailand's gaming market while maintaining its pursuit of one of the New York downstate casino licenses.
CGS International said that GENM's strategic focus on these key markets positions the company to capitalise on growth opportunities while improving operational efficiency and long-term profitability.
The firm highlighted GENM's interest in Thailand's gaming market, though details such as the number of licenses, investment requirements, and license durations are yet to be disclosed.
Thailand's cabinet has approved a draft law to legalise gambling and casinos as part of an initiative to boost tourism, create jobs, and attract investment, Prime Minister Paetongtarn Shinawatra announced on Monday.
If passed by parliament, gambling will be permitted within large-scale entertainment complexes.
While most gambling remains illegal in Thailand, except for state-controlled horse racing and lotteries, illegal betting is widespread. The government argues that legalising casinos would capture lost revenue and help unlock Thailand's tourism potential.
Reuters reported that neighbouring countries like Cambodia, Singapore, the Philippines, Laos, and Myanmar have already reaped significant benefits from large casino complexes, signaling an opportunity for Thailand to follow suit.
Genting Bhd president and chief operating officer Tan Kong Han said at the group's annual general meeting in June 2024 that the group is exploring opportunities for integrated resort developments in emerging markets such as Thailand and the United Arab Emirates (UAE).
According to Sin Chew Daily, Tan highlighted the Genting group's proven capability to operate across multiple jurisdictions, having successfully secured licenses in the US and UK.
The group's casino portfolio in the US includes the US$5 billion Resorts World Las Vegas, along with Resorts World New York City, Resorts World Catskills, and Resorts World Hudson Valley in New York. In the UK, Genting operates casinos in London and more than 30 provincial locations nationwide.
Meanwhile, CGS said that in New York, Empire Resorts remains a crucial asset for GENM.
CGS noted that if GENM secures a downstate casino license, its existing infrastructure at Resorts World New York City—comprising land, a hotel, trained staff, and allocated space—would give it a competitive edge, allowing operations to commence within one to two years compared to three to five years for greenfield developments.
To bolster Empire Resorts' performance, GENM plans to optimise its game mix, operating hours, and manpower costs.
The company has committed up to US$100 million to Empire Resorts through its subsidiary, Genting ER II LLC (GERL), as outlined in a Bursa Malaysia filing.
GENM will subscribe to US$100 million worth of Series M Preferred Stock issued by Empire Resorts. The funds will support working capital needs and repay a US$58 million bank facility held by GERL, providing greater financial flexibility to Empire Resorts.