Maybank Investment Bank Bhd says it is “positively surprised” that global casino operator Genting Malaysia Bhd plans to sell the non-gaming assets of its loss-making unit Empire Resorts Inc, in the United States, in order to cut the latter’s debt and costs. The bank noted the move could add 24 percent to the parent’s 2026 earnings.
“We are positively surprised that Empire has proposed to sell its non-gaming assets, buy land, cut debt and reduce expenses,” said analyst Samuel Yin Shao Yang in a Monday note.
That was after Genting Malaysia had over a period of time, “poured US$765.4 million” into Empire, stated the analyst.
“Our calculations indicate that this proposal could boost Genting Malaysia’s full-year 2026 earnings by 24 percent.”
Genting Malaysia runs Malaysia’s only casino complex Resorts World Genting, as well as casinos in the United Kingdom, Egypt and the Bahamas.
Empire Resorts operates the upstate casino complex Resorts World Catskills; Resorts World Hudson, a casino offering video lottery terminals; and mobile sports betting operation Resorts World Bet.
A Friday filing by Genting Malaysia said Empire Resorts was to become “debt-free” via the deal that will see non-gaming assets sold off for US$525.0-million in cash.
The money raised will enable Empire – an entity since May 31 wholly owned by Genting Malaysia – to pay off US$300-million in 7.75-percent senior unsecured notes that had been due on November 1, 2026.
From the balance of funds raised by disposal of non-gaming assets, Empire will buy 1,554.6 acres (629.1 hectares ) of land parcels from EPR Properties, a Missouri-based real estate investment trust, for US$201.3-million cash.
Maybank noted of the deal: “Empire will cease lease payments to EPR which we estimate at circa US$10 million per annum, and extinguish the interest expense on the senior unsecured notes, of US$23.3-million per annum.”
The institution added: “These two will boost Genting Malaysia’s earnings by US$33.2-million or 24 percent of financial-year 2026 earnings.”
The Genting group has submitted a proposal for a downstate casino licence in New York that has been described as a US$5.5-billion project.
