Part of the revamped VIP gaming area at Wynn Macau casino hotel has already opened, said Union Gaming Research Macau Ltd in a note on Tuesday.
The space has been taken by Guangdong Group, successor to the junket business founded by Hong Kong-listed Neptune Group Ltd, said the research house. Guangdong Group was said in a report by Daiwa Securities Group Inc last month to be Macau’s second biggest VIP operator measured by volume of gaming chip roll.
Suncity Group, said by Daiwa to be Macau’s largest VIP operator by chip roll, is expected to take the rest of the refurbished space in the west wing of Wynn Macau by the end of this week, said Union Gaming.
“While Guangdong is not new to Wynn Macau, Suncity is, and the Suncity space, along with newly refreshed premium mass space, will represent the property bringing back online about 40 gaming tables that had been offline for most of 2014,” stated the note from analysts Grant Govertsen and Felicity Chiang.
They said it represented in sequential terms a near 10 percent increase in the number of tables being operated at Wynn Macau. The property was developed and is operated by Wynn Macau Ltd.
“We believe that at least half of these tables will be allocated to premium mass, while the balance will be VIP. In our view, Wynn Macau remains the most aspirational product in Macau and generally punches above its weight,” said the research house.
It added: “In addition, the new Guangdong and Suncity VIP spaces are likely to be considered among the best. As such, we would look for the incremental gaming product to result in Wynn Macau being a share taker in both the VIP and mass segments during 2015 and beginning during the traditionally important Chinese New Year period.”
The management of Hong Kong-listed Wynn Macau’s parent firm Wynn Resorts Ltd had said during the group’s fourth quarter earnings call on February 3 that the average number of VIP tables at Wynn Macau had decreased to 244 units in the fourth quarter of 2014 from 273 units in the prior year’s fourth quarter “due in large part to a renovation on a portion of the casino floor”.
Company chairman Steve Wynn said on the call that Wynn Macau had dropped some of its “weaker” junkets to focus on those that were most conservative with issuing credit, and which offered the best quality players.
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Chief executive of privately-held VIP junket business Suncity Group