The 13 Macau Future in Limbo, Casino Operations Postponed
The 13 in Macau Coloane Village announced that the gaming operations are postponed once again. The $1.6 billion property located on the border of Cotai and Coloane has paused the operation of the casino as they face financial issues. The casino’s remote location struggled to entice high rollers to the venue.
The parent company, South Shore Holdings Limited did confirm that its two largest shareholders – ITC Properties and Paul Y Engineering Group (PYE) renewed their business services contract for three more years which will take effect from April 1, 2019.
The 13 Macau Future is Unknown
The decadent 201-suite boutique which was envisioned by the flashy Hong Kong entrepreneur Stephen Hung, fascinated a wave of investors. Hung had believed he could tempt Cotai’s richest visitors to head south through one of the 30 custom Rolls-Royce Phantom cars he custom-built to serve as guest transports.
Macau, though, saw the gross gaming income fall from $45 billion in 2013 to less than $28 billion. The slump was the consequence of China crack down on trip travel groups transporting VIPs to Macau, in what Grassroots Republic Xi Jinping supposed was an ingenious way to move money out from under the Communist Party’s deeply taxed control. Paul Y Engineering Group, which built the 13, has control of 51.76 percent of South Shore. Hong Kong real estate developer and investment group, ITC, has acquired a 45.76 percent stake. Shares of South Share Holdings have closed at HK$0.33.
The Casino Funds
South Shore says in its current financial report that The 13 losses about $10 million monthly. In February, the firm revealed that it needs more money to open a casino floor, which is about $44.8 million. The 13 to join a casino, the resort will need to partner up with one of the reserve’s six licensed operatives, then be permitted by the Macau Gaming Inspection and Coordination Bureau. Without any gaming, it is believed that The 13 cannot survive.
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