Macao to give new licenses to casinos

The Macao Special Administrative Region government said on Saturday that its six incumbent casino operators would be given new licenses to operate in the world's biggest gambling hub from January, with Malaysian operator Genting missing out on a spot.

The Macao operators who have invested more than $50 billion in the city in the past 20 years are going to have stability and continuity as a result of the highly anticipated announcement.

At a news briefing, officials in Macao, the world's biggest casino hub, said the main considerations for granting licenses included ensuring local employment, developing overseas tourist markets and developing non-gaming projects.

If any incumbents lost, they would have to return the casino area to the government for free at the end of the year, making it financially unviable to operate the remaining facilities as gambling accounts for 80 percent to 90 percent of total revenue.

Sands China, Wynn Macau, Galaxy Entertainment, MGM China, Melco Resorts and SJM Holdings have operated in the SAR since 2002. Their concessions will expire at the end of the year.

Lawrence Ho, chairman and chief executive of Melco, said in a statement that they are committed to Macao and its development as Asia's premier tourist destination.