Saturday, July 6, 2013

news.casinolife

news.casinolife

Packer’s celebrity pull helps casino win

Posted: 05 Jul 2013 03:26 PM PDT

James Packer’s successful track record in attracting Asian high rollers and celebrities has played a part in his big win on the path to building Sydney’s second casino.

A bid by Mr Packer’s Crown to build a $1.5 billion luxury resort and VIP-only casino on the city’s harbourside has been favoured by the NSW government, ahead of a $1.1 bid from rival casino operator Echo Entertainment.

He does not yet have a licence, but is now able to move to the final stage of the development approval process. A government appointed panel found Crown’s proposal would contribute $442 million a year to the state’s gross domestic product through taxes and fees licence, more than Echo’s plan.

IG market strategist Stan Shamu said Crown’s Barangaroo bid was compelling with its luxury appeal, harbour views, and the fact it would be looking to bring in celebrities and Asian high rollers. “Crown’s casino in Melbourne is a mini-village that is enormously successful,” he told AAP. Mr Packer, Australia’s third-richest man with wealth estimated at $6 billion, said he wanted a building that was instantly recognisable around the world that would feature on postcards and memorabilia.

“Sydney is one of the world’s great cities; it deserves one of the world’s great hotels,” he said in a statement.

In contrast, Echo is now unable to proceed with its own planned $1.1 billion expansion of The Star, and from 2019 is likely to face stiff competition from Crown for the VIP market, the most lucrative part of a casino’s business.

Kimber Capital wealth management’s head of research Greg Fraser told AAP Echo’s disastrous $30 million impairment hit last year would have counted against it, which related to a collapsed Chinese VIP junket operator SilkStar.

While Mr Packer was also exposed to that market, he would have been able to demonstrate a better ability to manage it, he said. Echo said it was disappointed with the NSW government’s decision, but was determined to press on in growing and realising value from The Star.

The Star still holds an 80 year licence term, including another six years of exclusivity in Sydney, Echo chairman John O’Neill said in a statement. “The Star is Echo’s flagship property and we are here for at least another 80 years,” he said. Echo also had a bad day on the market, with its shares trading for nearly 20 minutes after it was reported that it had lost the bid, despite the company’s request for a halt in trading.

Its shares dropped 13 cents, or 4.3 per cent, to $2.91.

Crown’s shares were placed in halt nearly 20 minutes earlier, up 26 cents, or 2.2 per cent, at $12.21.

© 2013 AAP

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Bally give major backing to new look EiG

Posted: 05 Jul 2013 03:41 AM PDT

 

 

 

LONDON, UK (July 5th) – EiG, which is being held across the 8th, 9th and 10th October in Barcelona, has won the backing of industry leader Bally Interactive which has confirmed a major sponsorship agreement at European iGaming's definitive business event. The business sponsorship will see Bally Interactive adopt a strongly branded presence across all areas of EiG to complement its high level presence as an exhibitor on the show floor.

John Connelly VP Business Development

Expanding on Bally Technologies' impressive backing for EiG, John Connelly, Vice President of Business Development said: "We've been very encouraged by all of the new features that are being introduced for 2013 as well as the new opportunities that have been created for learning, networking and of course meeting the people and the companies shaping the future of iGaming. It's a fact that EiG provides Bally a global audience, by which we can demonstrate our latest product and technological innovations. We are committed to this event and plan to support EiG for years to come."

Welcoming the support, Kate Chambers, Portfolio Director responsible for EiG said: "It's fantastic news to have a major blue chip name such as Bally on board for what promises to be a landmark edition of EiG. With new features including 11 specialist Workshops and Networking Groups, The EiG Tutorials, Breakfast With…, The EiG Power Talks and The Pitch, I believe that EiG will set new standards in the delivery of knowledge, innovation and premium networking opportunities for which it has become renowned."

The official EiG 2013 programme can now be downloaded at eigexpo.com

 

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