Weekend Conversation Corner – February, 28
Welcome to the newest version of our Focus Gaming News Weekend Conversation Corner, where we delve into the week’s top headlines that have captured global interest. As we break down the flurry of events into a concise summary, we will highlight the key stories that have influenced policies, shaped the narrative, and sparked conversations. Join us as we cut through the clutter and present a condensed recap of the week’s important developments, keeping you informed on what truly counts in today’s fast-paced world.
Stay updated, stay motivated, and keep on gaming. Wishing you a fantastic weekend ahead!
Fernando Saffores – Founder and CEO at Focus Gaming News
The Star Entertainment Group halts trading amid financial uncertainity
The Star Entertainment Group has announced a trading halt to address financial speculation and explore liquidity solutions. The company is expecting proposals by February 28 to improve its liquidity position before releasing its financial results for the second half of 2024. Failure to meet the deadline will result in trading suspension until compliance. Recent debt financing proposals were rejected, indicating the board’s focus on value. Q2 revenue for The Star Sydney and The Star Gold Coast saw declines, with negative EBITDA figures compared to previous quarters. The company’s financial stability hinges on the outcome of the proposed solutions.
Philippine GGR to reach up to US$8.3bn in 2025, PAGCOR chairman says
Alejandro Tengco, chairman and CEO of the Philippine Amusement and Gaming Corporation (PAGCOR), predicts that the country’s gross gaming revenue will reach a new high of between PHP450bn (US$7.77bn) and PHP480bn (US$8.3bn) this year. This growth is expected to come mainly from the electronic games sector, with e-games projected to generate PHP160bn (US$2.76bn) in revenue. In 2024, the land-based segment contributed the most to GGR at 49%, followed by e-games at 38%. PAGCOR also reported record revenue in 2024, with net operating income and net income after contributions to nation-building seeing significant increases. To further boost the legal market, PAGCOR reduced fees for e-games operators, providing them with more resources for marketing and promoting growth in the sector.
Tomakomai’s new mayor revives plans for casino in Hokkaido
Suguru Kanazawa, the new mayor of Tomakomai in Hokkaido, announced plans to revive the city’s bid for an integrated resort with a casino. The city is restructuring its initiatives to attract private investment around New Chitose Airport. Despite Hokkaido’s decision not to participate in Japan’s initial IR application phase in 2019, Tomakomai remains interested in hosting a resort. The only approved IR project in Japan is the MGM Osaka on Yumeshima island, set to open in 2030. The project is a joint venture between the Orix Group, MGM Resorts International, and Japanese investors, with Phase I construction starting in April. The IR is expected to cost JPY1.27tn and generate significant revenue, primarily from the casino, with plans for additional amenities in Phase II.
Hong Kong considers legalising sports betting on basketball
The chairman of Hong Kong’s Legislative Council’s Finance Committee, Chan Chun-ying, has proposed legalizing basketball betting to increase revenue. He argues that with existing illegal betting operations for basketball, a ban is unrealistic. Integrating basketball betting into regulated offerings, such as those by the Hong Kong Jockey Club, could generate over US$30.5 million in annual gambling tax revenue. The HKJC has expressed interest in incorporating NBA betting into its offerings if allowed by the government, potentially redirecting illegal bettors towards legal avenues. Illegal gambling activities in 2023 involved approximately 560,000 people, with estimated losses of US$1.9 billion. The HKJC has proposed expanding its betting operations to tackle illegal betting, estimating illegal sports betting in Hong Kong to be worth US$45 billion annually, with basketball accounting for 15%. An investment of US$191.7 million to US$319.6 million in infrastructure would be required for this expansion.
Philippines removed from FATF grey list
The Financial Action Task Force (FATF) has removed the Philippines from its grey list of countries after significant progress in improving its AML/CFT regime. The Philippines addressed all 18 deficiencies identified in its AML/CFT controls, leading to its removal from the list. The FATF commended the Philippines for completing its Action Plan to resolve strategic deficiencies and encouraged continued collaboration with the Asia/Pacific Group on Money Laundering. Alejandro Tengco, CEO of PAGCOR, expressed commitment to sustaining efforts against money laundering and terrorist financing in the gaming industry. PAGCOR’s AML efforts are overseen by the PASED and ACD units to ensure compliance and prevent relisting.
Government agencies urged to speed up deportation of former offshore gaming workers
Senator Sherwin Gatchalian is advocating for a change in policy regarding the deportation of foreign nationals working for offshore gaming operators in the Philippines. Currently, the Bureau of Immigration (BI) and the National Bureau of Investigation (NBI) require deportees’ passports for the process, causing delays as many workers had their passports confiscated by employers. The Presidential Anti-Organized Crime Commission (PAOCC) supports this policy change and suggests alternative methods for identity verification, such as using fingerprint records. Additionally, the PAOCC is considering legal action against Pasay City officials for allowing illegal offshore gaming operations to continue. The BI reports that over 11,000 foreign offshore gaming workers are still in the country despite orders to leave, mainly from Vietnam, China, Indonesia, and Myanmar. These workers face deportation and blacklisting.
