Bill Hornbuckle, the chief executive officer (CEO) of MGM Resorts International, revealed the casino operator would loan $2 billion more than the $750 million it had already loaned to its Macau branch a few months earlier.
The Macau government has recently extended MGM China’s gaming concession and five other incumbent operators for another ten years. Despite the losses MGM suffered in the previous quarter, the new loan will enable it to carry on with operations in the area.
The CEO stated that the investment plan would allocate half of the funds for capital expenses and the other half for operations expenses at MGM China. The expansion of the company’s tourist and non-gaming facilities will account for almost 90% of operational costs.
In order to reach 750 gaming tables, the company is also considering adding 200 more gaming tables to its MGM Macau and MGM Cotai casinos. This will enable more players to play concurrently while decreasing waiting times and downtime.
In his remarks on the company’s accomplishments and objectives, The CEO expressed hope for the future while expressing his faith in the managing director of MGM China, Pansy Ho and the subsidiary as a whole.
The official statement said, “As Macau is entering a new milestone, we will continue to share our international network, experience and resources with the Macau team.”
Recently, MGM Cotai casino was also put under lockdown after a dealer tested positive for COVID-19. All the guests visiting the premises, along with employees, were instructed to remain inside the casino until further tests were completed.
While the lockdown was lifted after three days, MGM, along with other casinos in Macau, has already struggled to keep up with harsh COVID policies levied by the government. Recently these policies have been made lenient, but analysts still believe that it will take some time for casinos to fully recover all the losses.