Through its latest financial report, Sands China has revealed it has been asked to pay MOP47m (US$6m) for the six-month extension of its current concession.
Macau.- Sands China has revealed that Venetian Macau Ltd, the subsidiary that holds its Macau gaming rights, applied for an extension of its current casino concession on March 14. The company was asked to pay MOP47m (US$6m) and to provide a bank guarantee reaching up to MOP1.6bn to cover possible employee dismissals.
Macau casino licences were due to expire in June 2022, but a tender process for renewal has yet to be held due to delays in changes to Macau’s gaming legislation. As a result, Macau has decided to grant extensions on the current casino licences until December 31.
JPMorgan Securities has said it expects the open tender process to begin in the third quarter of this year, with licences to be issued in the fourth quarter in preparation for a new 10-year licence period from the beginning of 2023.
Sands China said: “The extension of VML’s subconcession is subject to approval by the Macau government as well as entering into a sub-concession amendment contract with Galaxy.”