Inside Asian Gaming

inside asian gaming september 2016 42 Joey Lim MANAGING DIRECTOR AND CEO Donaco International Power 653 Last 37 Score year Claims to Fame Transformational acquisition of Star Vegas in Cambodia exceeds EBITDA threshhold. Border casino in Cambodia targets Thai market and Vietnam targets China. Started company with his grandfather, Genting founder Lim Goh Tong Joey Lim rolled the dice on Star Vegas in Cambodia, and in 2016, he made his number. Australia listed Donaco paid an eye-popping US$360 million for Star Vegas casino in Poipet, on the border with Thailand. Donaco’s purchase, closed on 1 July 2015, dwarfed its existing casino hotel Aristo International on Vietnam’s border with China’s Yunnan Province, and the acquisition came with a three year guarantee of US$60 million in annual EBITDA. For its first year under Donaco, Star Vegas’ property EBITDA reached the target at US$63.3 million, growing 22% in the Thai baht terms, the main currency used at the complex with 139 tables, 1,566 machines, 385 guest rooms, a sports bar and book, plus restaurants and duty free shops. Donaco launched and reportedly canceled a deal with Macau junket Hengsheng Group to import VIPs but has a deal to expand its Thai VIP business. At Aristo, revenue grew 36% to AU$23.2 million (US$17.6 million). EBITDA increased by 62% in local currency terms to A$11.7 million. The property, upgraded two years ago to 40 tables 58 EGM positions and 400 hotel rooms, is moving away from volatile VIP play and increasing non-gaming revenue. Still, Star Vegas represents 84% of Donaco’s FY16 revenue and 85% of EBITDA. It’s precisely the kind of niche play Mr Lim and his late grandfather, Genting founder Lim Goh Tong, had in mind when they founded Donaco. Asian Gaming POWER 50 2 0 1 6 Clarence Chung CHAIRMAN AND PRESIDENT Melco Crown (Philippines) Resorts CHAIRMAN AND CEO Entertainment Gaming Asia Power 651 last 27 Score year Claims to fame Astute financier, a guiding force behind the growth of the Melco group Leader in the expansion and diversification of Entertainment Gaming Asia 39 38