Will many stalled casino ventures ever come back into play?
Monday 12th January 2009
Over the last few months we have seen a substantial and growing number of overseas casino operations either scaled back or cancelled. While the likes of Macau have been one of the major victims of the credit crunch and economic downturn other areas in the Far East such as Singapore and Malaysia have also had their difficulties. We have even seen a number of US-based projects either cancelled or "kicked into the long grass" with growing uncertainty as to whether they will actually appear again. So is this the end for many of the new breed of so-called super overseas casinos?
At this moment in time, with finance literally thin on the ground and visitor numbers under serious pressure, it is not the time to spend billions and billions of dollars on a new project. While many of the older projects which have been suspended may never actually reach completion, there is money out there and there are financial investors looking at areas such as casinos. Even though turnover is vital to the off-line casino industry (as well as the online casino industry) these businesses are highly cash generative and very attractive to some areas of the business community.
The casino sector will bounce back in due course and interest will return with credit!
Over the last few months we have seen a substantial and growing number of overseas casino operations either scaled back or cancelled. While the likes of Macau have been one of the major victims of the credit crunch and economic downturn other areas in the Far East such as Singapore and Malaysia have also had their difficulties. We have even seen a number of US-based projects either cancelled or "kicked into the long grass" with growing uncertainty as to whether they will actually appear again. So is this the end for many of the new breed of so-called super overseas casinos?