Some of the biggest firms that operate in ‘Asia’s Las Vegas’, the Chinese enclave of Macau, saw their share prices slide as authorities begin overhauling the gambling rules that govern the territory.
Companies such as Sands China, Melco Entertainment and Wynn Macau all experienced a drop in share prices on the stock markets. The BBC reported that some of the biggest gambling firms on the Hong Kong market lost around $18 billion in value.
There are genuine fears for the Macau gambling market, considering that casino licenses are due to be put up for rebidding next year.
Share prices began plummeting after an announcement by Lei Wai Nong, Macau’s secretary for economy and finance, who said that the gambling industry would be undergoing a 45-day consultation period.
He said that the consultation would examine nine different areas, including the number of licenses offered to operators, employee welfare and improved regulation. He also said that the idea of government officials supervising day to day casino operations would be properly considered.
The Macau government has been on a steady path to increase its control on local casinos in the enclave, and recently the number of gaming inspectors was doubled.
Macau was badly hit by the coronavirus, and visitors have only now started to slowly return to the casinos.
