James Packer (right) with Robert De Niro at the opening of the new Nobu Hotel in Manila, Philippines.
James Packer, the Australian billionaire and casino mogul, has admitted that Macau’s economic downturn is ‘more serious’ than any of the gambling hub’s operators could have foreseen.
Packer’s Crown Resorts derives 50 percent of its revenue from a 34 percent stake in Melco Crown, which owns properties on the Cotai Strip, including the lavish City of Dreams resort.
Just over a 12 months ago, Macau was announced by Forbes to be one of many world’s fastest-growing economies, and the spot’s casinos had been enjoying revenues that are bi-monthly compared to that of Vegas’ annual haul.
But an unprecedented crackdown on corruption and money laundering by President Xi Jinping’s government in the mainland has halted the success tale and delivered profits tumbling.
The financial crackdown is part of an ongoing anti-corruption drive that has scared from the high rollers plus the junket businesses that once accounted for some 60 % of Macau’s revenue.
Tub thumping from Beijing has delivered shares into the regions casino companies tumbling. And also this, along with a smoking that is new, increased monetary restrictions imposed on tourists, and a generally speaking weak Asian economy has hit the region difficult.
In April gaming that is gross fell 39 percent, year-on-year, to 19.2 billion pa Continue reading “Casino Magnate James Packer Says Macau Downturn Worse Than Anybody Imagined”