James Packer (right) with Robert De Niro at the opening of the new Nobu Hotel in Manila, Philippines.
James Packer, the billionaire that is australian casino mogul, has admitted that Macau’s economic downturn happens to be ‘more serious’ than any of the gambling hub’s operators could have foreseen.
Packer’s Crown Resorts derives 50 percent of its income from the 34 percent stake in Melco Crown, which owns properties on the Cotai Strip, including the City that is lavish of resort.
Just more than a 12 months ago, Macau had been declared by Forbes to be among the globe’s fastest-growing economies, and the spot’s casinos were enjoying revenues that are bi-monthly to that of Las Vegas’ annual haul.
But a crackdown that is unprecedented corruption and cash laundering by President Xi Jinping’s government in the mainland has halted the success story and sent profits tumbling.
The economic crackdown is part of an ongoing anti-corruption drive that has frightened off the high rollers therefore the junket businesses that once accounted for some 60 percent of Macau’s revenue.
Tub thumping from Beijing has delivered shares in the regions casino companies tumbling. And also this, plus a new cigarette smoking ban, increased financial restrictions imposed on tourists, and a generally weak Asian economy has struck the region difficult.
In April gross video gaming revenue fell 39 %, year-on-year, read more →