Investors folded on Macau casino shares after Suncity Group, the region’s VIP junket company that is biggest, reportedly warned its workers to take extra care when moving money to your Chinese enclave where gaming is permitted.
Billionaire Steve Wynn had been one of many casino magnates whom destroyed money on Monday, as Macau casino stocks dipped on continued uncertainty about the future of VIP junket operators. (Image: Vincent Yu/Associated Press)
Wynn Macau, traded on the Hong Kong Stock Exchange, destroyed almost five percent of its share cost regarding the news. Galaxy Entertainment was down more than three percent, and MGM China, Sands Asia, and SJM Holdings all saw their valuations dip by at least two %.
According to Barron’s, a financial newspaper, investors are fleeing on issues that China’s anti-corruption campaign is quickly to target VIP junket operations, for years a vital element of drawing high-stakes players to various Chinese casinos. President Xi Jinping has been trying to stop the flow of money from the mainland to Macau, a previous Portuguese territory that is today a tax haven where casinos regularly focus on the elite that is asian.
‘Investors are worried that the Suncity warning could preclude another crackdown on the industry,’ Barron’s columnist Daniel Shane wrote.
Suncity Group warned employees recently to just take extra precautions whenever money that is moving an […]