Inside Asian Gaming

IAG MAY 2019年5月 亞博匯 68 JAPAN The project was temporarily put on hold for the election campaign, but Osaka wasted no time after that, announcing its public offering conditions on 24 April 2019. They will accept specific concepts from operators from 25 April until August. Procedures have already begun to establish an Operator Selection Committee, which will be responsible for this task. The Osaka IR Promotion Office has already received over 200 submissions and questions from operators regarding the conditions for IR business and development. At the “Integrated Resort Industry Expo” to be held on 15 and 16 May at Intex Osakawewill start to see some of the executives of major IR operators making an appearance in Osaka. There will also be no shortage of business opportunities at the Japan Gaming Congress in Tokyo on 16 and 17 May. MGM A FOREGONE CONCLUSION? The big question everyone is now asking is: What will be the decisive factor in determining the winning IR bids? It is by now well-known that overseas operators must form a consortium with local businesses to enter any bids. What the government is looking for in an IR is a “facility with enhanced appeal” and “the ability to pass customers off to local attractions.” Japan is using Singapore as a reference and in that case, these criteria were considered to be of greater significance than the scale of investment itself. Marina Bay Sands, operated by Las Vegas Sands, and Resorts World Sentosa, operated by Genting Singapore, made successful bids with a tourist facility and business contribution of 40 and 45 points respectively in their tender bids. The facility concept and design comprised 30 and 25 points, making up 70% of the total. It is natural that those involved in Japan’s IRs will assume this is where the victors will be determined The big players in this battle are MGM Resorts and their local partner Orix. In late March it was revealed that the two had formed a consortium, with MGM now widely considered to be a red hot favorite to win the Osaka bid. JAPANESE INTERVENTION But the real battle starts now. As one industry expert told IAG , “Genting beat out MGM in Singapore, so MGM certainly sees them as a threat. Genting is in a better financial position. This is not MGM’s victory yet – Melco and Galaxy won’t be silent bystanders either.” Las Vegas Sands also singled out Osaka as its location of choice during the company’s most recent earnings call. Likely domestic IR players in the future include Sega Sammy, Obayashi Corporation, Daiwa House and Keikyu, among others. Who will partner with who? In any case, the local government will conclude an agreement with an IR operator, who will be subject to background checks by the Casino Administration Committee. This will be the foundation of the process for gaining a license. Some operators may drop out along the way, but if all goes well, the first IR will open in 2024 – the same time, ironically, that Japan puts its recently revealed new currency design into circulation. Welcome to Japan's new era. The big players in this battle are MGM Resorts and their local partner Orix. In late March it was learned that the two had formed a consortium, with MGM now widely considered to be a red hot favorite to win the Osaka bid. MGM is considered to be the current favorite to win the Osaka IR bid 美高梅被視為現時贏得大阪綜合度假村營運權的大熱門