Genting Bhd is eyeing a full takeover bid for the casino and hospitality arm of Genting Malaysia, in a deal that could be worth up to 6.74bn ringgit ($1.6bn).
At the heart of the deal is the ability to fuel the firm’s New York expansion – streamlining the funding process for the group as it strengthens its application for one of three commercial casino licenses available in the Empire State.
Genting already has a strong footprint in New York, through its Resorts World brand, which is the largest slots only venue in the state. Expansion through a new license in the state would enable Resorts World to offer the full casino experience, including table games.
The group has a VLT Parlor based in Queens, which is located within the Aqueduct Racetrack, given this presence, the firm is widely backed to achieve success in its bid for expansion and a full casino license in the state.
Currently, it operates over 5,800 video terminals, with the proposed expansion set to be worth around $5.5bn.
The location is seen as one well-positioned for success, given its proximity to JFK Airport and its ability to serve a densely populated area of the Big Apple.
Genting Malaysia also operates several sought-after Genting establishments in the UK and boasts a strong output for the operator, achieving a profit of 251.2m ringgit ($59.5m) in 2024.
Should the deal be accepted, it is expected to be completed by the end of 2025, which would align with the decision in New York, where the state’s Gaming Facility Location Board has until 1 December to make official recommendations to the New York State Gaming Commission.
Subsequently, the commission will then have until the end of December to issue up to three licenses to expand brick-and-mortar casino gaming in the Empire State.
There’s optimism around the prospects for the Resorts World license in New York, after the selection process saw the shortlist whittled down to four potential candidates last month.
Resorts World remains in contention for one of the three licenses, alongside Bally’s $4bn plan for a casino at Ferry Point in the Bronx, the Hard Rock Casino Citi Field project in Queens led by New York Mets owner Steve Cohen and the MGM Empire City establishment in Yonkers.
MGM and Genting are believed to have the advantage in the race for licenses, given that they already have a brick and mortar footprint in New York.
Operational efficiency has been a central focus for Genting in recent times, with the sale of its non-gaming assets in New York being projected to boost revenue for Genting Malaysia by around 24% for 2026.
Genting has outlined that the capital gained from the sale is set to be reinvested in high-profit elements of its business, such as gaming machines.
Furthermore, the potential takeover also holds significant consequences for the Asian gambling landscape, with Genting Malaysia as the sole integrated resort that holds a full casino license.
It is regarded as an operational powerhouse for Genting Bhd. Therefore, the impact of full privatisation on the firm’s expansion could be crucial.
