Fitch Ratings Incorporated warning for trio of Macau casino giants
Fitch Ratings Incorporated has assigned a trio of firms behind some of the largest casinos in Macau with a ‘ratings watch negative’ due to ongoing “regulatory uncertainty”. The assessment also reflects the fact that the three have yet to get their local gaming licenses renewed beyond a looming late-June cut-off.
Fitch Ratings Incorporated warns of financial problems for three Macau casino giants.JM Holdings Limited is responsible for 20 gambling-friendly venues in Macao. It is repaying existing bank loans of around $1.4 billion as of September 30, 2021.
Fitch Ratings Incorporated warned investors that Las Vegas Sands Corporation's financial profile may soon become ‘no longer consistent with an investment grade’ rating if it loses its gambling license for Macau. The company's current “BBB-” score is the lowest within the industry's ”investment grade bracket“.
MGM Resorts International is expected to keep its BBB- rating past June. The New York-listed company operates the 582-room MGM Macau and the even larger MGM Cotai properties.
Fitch Ratings Incorporated warned that the health of the trio of Macau casino giants will hinge on their financial performance.
