• Subscribe
  • Magazines
  • About
  • Contact
  • Advertise
Tuesday 22 July 2025
  • zh-hant 中文
  • ja 日本語
  • en English
IAG
Advertisement
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
    • Africa
    • Australia
    • Cambodia
    • China
    • CNMI
    • Europe
    • Hong Kong
    • India
    • Japan
    • Laos
    • Latin America
    • Malaysia
    • Macau
    • Nepal
    • New Zealand
    • North America
    • North Korea
    • Philippines
    • Russia
    • Singapore
    • South Korea
    • Sri Lanka
    • Thailand
    • UAE
    • Vietnam
  • Events
  • Contributors
  • SUBSCRIBE FREE
No Result
View All Result
IAG
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
    • Africa
    • Australia
    • Cambodia
    • China
    • CNMI
    • Europe
    • Hong Kong
    • India
    • Japan
    • Laos
    • Latin America
    • Malaysia
    • Macau
    • Nepal
    • New Zealand
    • North America
    • North Korea
    • Philippines
    • Russia
    • Singapore
    • South Korea
    • Sri Lanka
    • Thailand
    • UAE
    • Vietnam
  • Events
  • Contributors
  • SUBSCRIBE FREE
No Result
View All Result
IAG
No Result
View All Result

Weekend enforcement actions likely to negatively impact Suncity’s listed arm: Bernstein

Ben Blaschke by Ben Blaschke
Mon 29 Nov 2021 at 15:55
Summit Ascent reveals strong 2H20 recovery at Tigre de Cristal, says Phase 1 upgrade now complete

A VIP gaming room at Tigre de Cristal in Vladivostok, Russia

30
SHARES
741
VIEWS
Print Friendly, PDF & Email

The weekend arrest of a suspect identified by authorities as a 47-year-old businessman surnamed Chau and very widely reported to be Suncity Group CEO Alvin Chau will not only affect Suncity’s junket business but also negatively impact its listed arm, according to brokerage Bernstein.

In a Monday note outlining the possible fallout from the enforcement action, which saw a Mr Chau named as one of 11 people arrested over the weekend for alleged criminal association, illegal gambling and money laundering, Bernstein analysts suggested Suncity’s expansion into overseas casino operations was one of the key reasons authorities have moved against the company.

The arrest of the suspect came less than 48 hours after the Wenzhou Public Security Bureau in China’s Zhejiang province had issued a statement revealing it had been granted approval by the People’s Procuratorate of Wenzhou to issue an arrest warrant for Alvin Chau.

The Bureau accused Chau of “opening casinos in China” via the operation of cross-border gambling operations on behalf of Suncity Gaming Promotion Company Limited, alleging he had “set up an asset management company in Mainland China to provide services for gamblers to exchange assets for gambling chips, helped to collect gambling debts, assisted clients in cross-border capital exchange, and used underground banks to provide gamblers with funds settlement services.”

Bernstein’s Vitaly Umansky, Louis Li and Kelsey Zhu said in Monday’s note that the action against Suncity is likely not so much about the group’s Macau operations but its overseas casino and junket business, as well as alleged online gaming activities.

“The big sin that Chau committed was branching out into gambling activities overseas, much more so than activities in Macau casinos,” it said.

“The proliferation of overseas, lightly regulated, casinos in places like Vietnam, Philippines and Russia, among others, and the intense expansion of online gambling, targeting mainland Chinese customers, was the culprit.”

The brokerage said this could prove problematic for Suncity’s Hong Kong-listed entity, 1383, which leads the joint venture partnership that owns and operates Hoiana in Vietnam, is building a US$1 billion casino hotel project in Manila and holds a majority stake in Russia’s Tigre de Cristal via a controlling interest in Summit Ascent Holdings. Both Suncity Group and Summit Ascent were placed in a Trading Halt early Monday before trading resumed in the evening.

“Suncity’s publicly traded arm, Suncity Group Holdings Limited, does not house any junket business. However, it is actively involved in overseas casino operations in Russia, Vietnam and the Philippines,” Bernstein said.

“The future of this business has been questionable to us in light of China’s ongoing 2-year campaign against overseas gambling. We expect negative impact on the listed company as well.”

The analysts remain bullish on Macau’s prospects, however, pointing to the increasingly small contribution by the VIP segment to the EBITDA of concessionaires.

“As junkets shrink, some players may well shift to premium mass, which will help drive that segment,” they said.

“There is some concern that Suncity’s situation will cripple liquidity in Macau. This may be the case for junket business over the next few months … there may be some temporary impact on premium mass. However, we expect mass and premium mass to be largely unaffected in the long run by these junket problems.

“The key for Macau will be travel recovery and Chinese authorities allowing money movement into Macau in a reasonable manner to provide liquidity for mass.”

RelatedPosts

Sega Sammy Creation launches “Prosperity Peaks” dice game into Macau

Sega Sammy Creation launches “Prosperity Peaks” dice game into Macau

Tue 22 Jul 2025 at 15:47
Morgan Stanley: Macau’s peninsula IRs could claim some GGR share from closure of SJM’s satellites

Seaport raises Macau GGR forecast for second half of 2025, increases target price for almost all Macau-linked stocks

Tue 22 Jul 2025 at 06:49
Galaxy unveils Capella at Galaxy Macau as newest hotel brand, to open mid-2025

Citi: Galaxy now Macau’s premium mass leader, Sands China close behind on new baccarat progressive jackpot

Mon 21 Jul 2025 at 09:39
DICJ keeps Macau casinos open during Typhoon Wipha for fear of guests going outside, border checkpoints shut down

DICJ keeps Macau casinos open during Typhoon Wipha for fear of guests going outside, border checkpoints shut down

Sun 20 Jul 2025 at 13:20
Load More
Tags: Alvin ChauHoianaHong KongjunketMacauSuncity GroupTigre de CristalVIP
Share12Share2
Ben Blaschke

Ben Blaschke

A former sports journalist in Sydney, Australia, Ben has been Managing Editor of Inside Asian Gaming since early 2016. He played a leading role in developing and launching IAG Breakfast Briefing in April 2017 and oversees as well as being a key contributor to all of IAG’s editorial pursuits.

Current Issue

Editorial – An inconvenient truth

Editorial – An inconvenient truth

by Ben Blaschke
Fri 27 Jun 2025 at 15:21

It’s understandable that political observers, academics and members of the public in greenfield jurisdictions would express caution around the legalization...

Light & Wonder’s Siobhan Lane

Light & Wonder’s Siobhan Lane

by Ben Blaschke
Fri 27 Jun 2025 at 15:19

Siobhan Lane, Light & Wonder’s highly experienced CEO of Gaming, speaks to Inside Asian Gaming about the company’s ongoing transformation...

Honesty is the best policy

Honesty is the best policy

by Ben Blaschke
Fri 27 Jun 2025 at 14:13

The Thailand Entertainment Complex Roundtable brought industry stakeholders, politicians and supporters of the government’s Entertainment Complex Bill face to face...

Sri Lanka’s casino industry

Sri Lanka’s casino industry

by Shaun McCamley
Fri 27 Jun 2025 at 13:36

Industry veteran Shaun McCamley delves into the complex history of Sri Lanka’s casino industry at a time when the country...

Evolution Asia
Your browser does not support HTML5 video.
Aristocrat
GLI
Nustar
SABA
Mindslot
Solaire
Hann
Tecnet
NWR
Jumbo
568Win

Related Posts

Sega Sammy Creation launches “Prosperity Peaks” dice game into Macau

Sega Sammy Creation launches “Prosperity Peaks” dice game into Macau

by Newsdesk
Tue 22 Jul 2025 at 15:47

Japan’s Sega Sammy Creation (SSC) has announced the first Macau installation of “Prosperity Peaks”, the latest addition to its successful series of Dice games. According to information from the company, “Prosperity Peaks” is designed for Asian players – retaining the...

Morgan Stanley: Macau’s peninsula IRs could claim some GGR share from closure of SJM’s satellites

Seaport raises Macau GGR forecast for second half of 2025, increases target price for almost all Macau-linked stocks

by Ben Blaschke
Tue 22 Jul 2025 at 06:49

Investment research firm Seaport Research Partners has upped its 2025 Macau GGR forecast and increased its price targets for almost all stocks on improved sentiment following a recent surge in gaming revenues in the world’s largest casino hub. In a...

Genting presents New York casino proposal to Community Advisory Committee, described as state’s largest IR

Genting presents New York casino proposal to Community Advisory Committee, described as state’s largest IR

by Ben Blaschke
Tue 22 Jul 2025 at 05:21

Genting Malaysia’s US subsidiary, Genting New York LLC, said Monday it had completed a key step in its pursuit of a full New York casino license after presenting its expansion plan for Resorts World New York City (RWNYC) to the...

PAGCOR’s Alejandro Tengco

Inside Asian Gaming launches new dedicated website for IAG EXPO at iagexpo.com

by Newsdesk
Mon 21 Jul 2025 at 16:11

Inside Asian Gaming, Asia’s premier B2B gaming industry media and events company, is pleased to announce the launch of brand-new dedicated website for the upcoming IAG EXPO, to be found at iagexpo.com. The IAG EXPO will take place at Manila’s Newport...



IAG

© 2005-2024
Inside Asian Gaming.
All rights reserved.

  • SUBSCRIBE FREE
  • NEWSFEED
  • MAG ARTICLES
  • VIDEO
  • OPINION
  • TAGS
  • REGIONAL
  • EVENTS
  • CONSULTING
  • CONTRIBUTORS
  • MAGAZINES
  • ABOUT
  • CONTACT
  • ADVERTISE

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Subscribe
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
  • Events
  • Contributors
  • Magazines
  • Advertise
  • Contact
  • About
  • Home for G2E Asia

© 2005-2024
Inside Asian Gaming.
All rights reserved.

  • English