Galaxy Entertainment Group (GEG) and Wynn Resorts, Limited announced that GEG has agreed to purchase 5.30 million primary shares of Wynn Resorts at a price of USD175 (MOP1,400) a share, resulting in USD927.50 million (MOP7.42 billion) of gross proceeds to Wynn Resorts. The joint announcements represent a huge shift in the global gaming industry and came just a day after GEG was granted a provisional license for another expansion opportunity of USD500 million (MOP4.0 billion) integrated resort in Boracay in the Philippines. GEG – a company that opened its first casino in Macau SAR just 14 years ago – places itself on the world stage as a truly international global player with a serious chance of acquiring an integrated resort in gaming’s holy grail – Japan.
Mr Francis Lui, Vice Chairman of GEG, said that was a unique opportunity to acquire an investment in a globally recognized entertainment corporation with exceptionally high quality assets and a significant development pipeline. And Mr Matt Maddox, Wynn Resorts CEO, said it was an honour to have such a distinguished company as GEG as a shareholder which shares many of the same core operating philosophies and values.
In addition, two long-term institutional investors, both of whom are currently investors in Wynn Resorts, have agreed to purchase the remaining eight million shares held by founder and former Wynn Resorts CEO Steve Wynn. The two sales, combined with previous sales by Steve Wynn, effectively eliminate his ownership in Wynn Resorts.
GEG is one of the world’s leading resorts, hospitality and gaming companies. It primarily develops and operates a large portfolio of integrated resort, retail, dining, hotel and gaming facilities in Macau. Also GEG operates three flagship destinations in Macau: on Cotai, Galaxy Macau™, Broadway Macau™ and StarWorld Macau. GEG has the largest undeveloped landbank of any concessionaire in Macau SAR. Furthermore, GEG is also planning to develop a world class leisure and recreation destination resort on a 2.7 square kilometer land parcel on Hengqin adjacent to Macau.
Wynn Macau is a luxury hotel and casino resort located in the Macau SAR with two luxury hotel towers. Wynn Palace is a luxury integrated resort in Macau Cotai.