Suncity Macau plans ambitious expansion in Asia

The operator’s expansion plans involve buying stakes in other gambling resorts and contract bids allowing it to manage other casinos.

The plans to deviate from the junket sector were announced by the Executive Director of Suncity Group Holdings, Andrew Lo, who explained that the junket operator would be able to attract more customers and maintain their interest if it runs its own casino resorts.

Presently Japan appears to be the most preferred market by casino operators, which can be explained with the recent steps it has taken towards regulating its gambling sector. The country is expected to introduce its gambling legislation by the end of 2017. Once this happens, the gambling operators will be allowed to offer their services legally in Japan, with forecasts indicating that revenue from landbased casino resorts may reach US$25 billion per year.

Suncity aims at obtaining a Japanese license for the construction of a US$10 billion casino resort, part of a consortium, despite the fact the first gambling venues in the country are expected to open doors no sooner than the 2020 Olympics that are to be held in Tokyo.

Lo revealed Suncity is interested in owning a smaller stake ranging between 10% and 20% and discussions on potential partnerships within the hotel and retails sectors have already commenced.

Japan is not the only Asian market Suncity is looking to expand into. The company announced it has teamed up with the Hong Kong-based firm Chow Tai Fook Enterprises and Vietnam’s VinaCapital Investment Management in order to build and open an integrated resort in Hoi An. The costs for the venture are estimated to be US$4 billion, with Suncity owning as much as 34% of the project.