So says no new ‘satellite casinos’ once Grand Lisboa Palace opens

2017-11-15 07:55     Comment:0

SJM Chairman of the Board of Directors Ambrose So Shu Fai said yesterday that the gaming company would not add more “satellite casinos” to its operation once its Grand Lisboa Palace in Cotai opens.

So made the remarks while speaking to reporters after attending the company’s press conference to present its Theodore Racing Team for the 64th Macau Grand Prix taking place between tomorrow and Sunday.

So also said the recent sale of Landmark Hotel would not affect the number of SJM’s satellite casinos but insisted that “we have no plans to increase the number of satellite casinos once we open in Cotai.”

SJM currently has a total of 16 third-party promoted “satellite casinos”, in addition to its flagship Casino Grand Lisboa, and three “self-promoted casinos” – Casino Lisboa, Casino Oceanus at Jai Alai (including the casino area in the JaiAlai building) and Casino Taipa.

According to its latest gaming revenue report, Casino Grand Lisboa recorded adjusted EBITDA of HK$1.265 billion in the first nine months of the year, while the 16 satellite casinos together recorded adjusted EBITDA of HK$463 million. 

So said that after the Cotai resort starts operating, SJM was set to raise its market share. Grand Lisboa Palace, construction of which So expects to be completed next year after a series of fires and the impact of Typhoon Hato, will mark SJM’s debut in Cotai.

According to So, the company has a 40 percent market share on the peninsula.

“We are basically based on the Macau peninsula, and in Cotai we’re setting up a new property, so we want to compete in both markets, one is in Cotai which is a different market than the peninsula,” So said.

So also said that thanks to the increase in October’s gross gaming revenue, he expected the gaming industry to be able to keep its
growth momentum at least until he end of the year so that 2017 would hopefully see a double-digit growth in gaming revenue.

According to the Gaming Inspection and Coordination Bureau (DICJ), Macau’s gross gaming revenue rose 22.1 percent year on year
to 26.6 percent last month.

So also said the government had yet to discuss with SJM the future of its gaming concession which expires in 2020.

Meanwhile, SJM Managing Director and Chief Administrative Officer Angela Leong On Kei said at the same event she was told the
government had signed all the necessary permits for the company’s Jai Alai complex to operate.

“Hopefully we’ll have some good news soon, we’re expecting it to be tomorrow [today], we hope,” Leong said, “We’re all set, it’s just a matter of getting the permits now.

The Jai Alai complex has been fully revamped and now consists of a hotel, restaurants, a casino and a shopping mall. The shopping centre and casino have already been in operation for several months.

SJM Chairman of the Board of Directors Ambrose So Shu Fai (left) and SJM Managing Director and Chief Administrative Officer Angela Leong On Kei meet reporters yesterday after attending a press conference at Grand Lisboa Hotel to present the SJM Theodore Racing Team for the Macau Grand Prix which begins with practice and qualifying races tomorrow. Photo: Monica Leong

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