Published
Land-BasedCasinoFinancialLegal & Regulatory

Macau casinos see share prices plummet ahead of regulatory review

Casino companies with operations in Macau saw their shares plummet in Wednesday morning trading.

MacauSkyline

Though some have rebounded slightly since dipping, share prices are still largely down from yesterday.

Las Vegas Sands Corp has taken a 9.75% hit, while its subsidiary Sands China Ltd has seen a 32.51% drop, taking their share prices to $38.71 and $2.16 respectively.

Likewise, Wynn Resorts’ share price has suffered a 10.85% drop to $92.25 with Wynn Macau taking a 28.97% hit, its share price currently standing at $0.82.  

This comes off the back of regulators looking to introduce big changes to the city’s gambling industry, as well as concerns about a resurgent Covid-19 outbreak.

Coronavirus cases are on the rise in China’s south-eastern Fujian province, sparking fears of a return to travel restrictions and lockdown, though tighter government regulations have investors more worried.

Their apprehensions are primarily related to licensing following the latest announcement from Macau’s Government.

On 15 September, city officials began a 45-day consultation period with one of the major points being the removal of sub-concessions.

The city’s Secretary for Economy and Finance, Lei Wai Nong, confirmed its review of the current legal framework.

Lei, while holding a press conference, stated that Macau is striving for the “healthy and sustainable development” of the casino industry which, according to analysts, will focus on improvements to regulatory systems.

Macau’s six big casino operators are set to see their licences expire in July 2022, and there is little chance of additional concessions, according to industry analysts.

Investment bank JPMorgan downgraded Macau's six major operators to sell or neutral ratings, citing a lack of clarity on how stricter regulations might affect casinos.

 

Asia News Sponsor
Premium+ Connections
Premium

Galaxsys

 
Premium

Imagine Live

 
Premium

Lynon

 
 
Premium

GammaStack

 
Premium

1xBet Partners

 
Premium

Digitain

 
Premium

Sport Generate

 
Premium

PIN-UP Partners

 
Premium

RISK

 
Premium

Revsharks

 
Premium Connections
Consultancy

SCCG Management

Executive Profiles
Zeal Network SE

Stefan Tweraser

VIP Play

Les Ottolenghi

Scientific Games

Keshav Pitani

Social & App

Spribe CEO exclusive: Simplicity is the foundation

Spribe CEO David Natroshvili speaks to Gambling Insider abou...

Redefining iGaming: A history of crash games

Crash games is a growing vertical that has taken gambling by...

A certain something: What makes crash games special?

Crash games. They’re simple, they’re easy to learn and,...

Smarter innovation to shape the future

Spribe CCO Giorgi Tsutskiridze discusses the past, present a...

Facing Facts: The corner of quarterly contemplation

With Q1 reports out across the industry, Gambling Insider co...

Taking Stock: A guide to key stock prices across the industry

Gambling Insider tracks prices from some of the industry’s...

15 years of Gambling Insider: From the Founders

Over the last 15 years, Gambling Insider magazine has interv...

15 years of Gambling Insider: The Awards over time

Global Gaming Awards Event Manager Mariya Savova gives us he...