AWC set to scoop jackpot from Thailand’s casino legalisation

[webfact]

 

Tisco Securities indicated that Asset World Corporation (AWC), a luxury hotel and retail centre operator, stands to gain significantly from the government’s plan to legitimise casinos within entertainment complexes. This move is part of the government’s strategy to attract high-spending tourists and curb revenue losses from illicit gambling.

 

The government is contemplating the establishment of the first entertainment-casino complex in Hat Yai, intended to bolster tourism. Initially, only foreign visitors will be permitted entry to these facilities.

 

Tisco Securities’ research department highlighted that operators of luxury hotels and retail centres in the vicinity of these potential developments, such as AWC, would likely reap notable benefits. AWC has several mixed-use projects lined up for the next five years which could be suitable for the development of a casino or a luxury tourist hotspot.

In a research note, Tisco cited AWC as a recommended stock.

“The hotel operator has the potential to increase revenue per room, which is still slowly increasing, and steadily penetrate the tourism market in Thailand.”

 

The company’s assets are strategically located near major airports, a factor that may contribute to its success given the government’s plans, Tisco noted.

 

“Any casino would be established near a major airport. According to a preliminary government study, casino-type entertainment venues may be located within 100 kilometres of three major airports – Suvarnabhumi, Don Mueang, U-Tapao — or the Eastern Economic Corridor and Southern Economic Corridor.”

 

AWC’s three large mixed-use projects are all within these parameters. However, the recovery of the company’s Meetings, Incentives, Conventions, and Exhibitions (MICE) business has been sluggish in terms of occupancy rates.

 

Tisco anticipates that AWC’s plans for large-scale entertainment venues, in line with the government’s casino licensing plans, may come to fruition sooner than expected, with a shorter time required to reach the break-even point. Tisco continues to recommend a buy for AWC, with an appropriate share price of 5.80 baht.

 

by Alex Morgan

Picture courtesy of REm Magazine

 

Source: The Thaiger 2024-04-05

 

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[champers]

AWC are the property arm of Chang and they own huge tracts of vacant land on Pattaya 2nd Rd between Klang and Central Marina mall.

Their proposed development there includes 2 Marriott hotels, retail space, a zoo, a Legoland and facilities for MICE visitors including "convention centres".

Soi 6 is very close by for good measure.

Edited April 5 by champers

[ChrisY1]

A done deal it seems.....no tenders, no concepts...just give to our mates at AWC, a big developer and doubtless a friend of the PM...a share price of only 4thb...and only 39million in share value...obviously not so keen on the SEC...but a pretty good portfolio of past projects...and as mentioned, part of the Chang group.

 

Edited April 5 by ChrisY1

[rexpotter]

No Thai's allowed? Why? The whole point it to make it legal so that the Thai's don't do it illegally. Won't solve anything. It will increase the xenophobia to new levels. Dam, are they not angry  enough at foreigners these days?

[PoorSucker]

1 hour ago, rexpotter said:

No Thai's allowed? Why? The whole point it to make it legal so that the Thai's don't do it illegally. Won't solve anything. It will increase the xenophobia to new levels. Dam, are they not angry  enough at foreigners these days?

Hat Yai, Malaysian tourists.

[Purdey]

Thais will continue to gamble at illegal casinos if not allowed into the "foreigner casinos" . Expect them to be disgruntled. 

[TheFishman1]

So the big beer company owns it who would’ve figured that those brown envelopes are getting heavy and now they’re saying they won’t let any local Thai people gamble, so the illegal gambling will increase three folds makes no sense but TIT

[RandolphGB]

Nothing but a shameless ploy to attract Chinese tourists. And pocket a few baht for themselves by receiving backhanders to issue licenses. 

 

Thais will continue gambling in their own venues, like they always have done. The local mafia won't be affected. 

 

 

[Funkymover]

all to please the chinese.. as they sell thailand to china . would not be surprised if they now have chinese in the thai government 

[Hakuna Matata]

Well, it is no secret that PM is a co-owner of many luxury hotels in Phuket.

 

Thaksin is a big player as well. But he likes to have his lunch at McDonalds.

[mran66]

16 minutes ago, Purdey said:

Thais will continue to gamble at illegal casinos if not allowed into the "foreigner casinos" . Expect them to be disgruntled. 

 

 

I believe the new licenced casinos will only be for foreigners, possibly for wealthy thai for limit so big that ordinary gamblers just don't have it.  Reason is simply that too many people in govt and RTP are dependent on the ordinary people's illegal gambling, thus they keep that as is and just try to get the cash from foreigners by going Macau/Vegas style in these new ones. 

 

 

Edited April 5 by mran66

[hotchilli]

2 hours ago, webfact said:

The government is contemplating the establishment of the first entertainment-casino complex in Hat Yai, intended to bolster tourism. Initially, only foreign visitors will be permitted entry to these facilities.

 

That will change before the doors open.

[newnative]

44 minutes ago, TheFishman1 said:

So the big beer company owns it who would’ve figured that those brown envelopes are getting heavy and now they’re saying they won’t let any local Thai people gamble, so the illegal gambling will increase three folds makes no sense but TIT

    What makes no sense is your statement that 'illegal gambling will increase three folds'.  Why would Thais suddenly start gambling three times as much as they do now just because they can't get into one of the new casinos, should they ever be approved?  

[CanadaSam]

This whole article seems to be publicity ploy from the AWC company to increase their share price!  Wonder how much they paid to get it on here as "news".

[liddelljohn]

There are 2 Casinos in Pattaya  , One has  been operating for over 30 years the successful one is located in the ambassador hotel but only top elite Thais , Police, Army, politicians  and super rich  etc are allowed in .Has never been busted or closed operates 24/7 

 

The other was opened as The failed Batman Disco  in soi Batman   but was designed and  built to be easily modified as a casino as it was thought that the rules were going to be changed at the time ,, the place is derelict

Edited April 5 by liddelljohn

[Cabradelmar]

Thailand has had gambling problems with its own people for decades... Thais have no self restraint. And will gamble until everything is lost. This gambling rush is going to be the curse no one paid attention to. Mark my words. But hey, at least the hi-so Thai developers will get rich 🙄

[PETERTHEEATER]

2 hours ago, Hakuna Matata said:

Well, it is no secret that PM is a co-owner of many luxury hotels in Phuket.

 

Thaksin is a big player as well. But he likes to have his lunch at McDonalds.

That's because of his facial likeness to the slice in every cheese burger.....

[mberbae]

Let's see....Casinos YES  - Cannabis No. 

Makes total sense , doesn't it ? !!

[Zack61]

Someone is going to get rich from this and it ain’t gonna be the punters. I see a lot of pain and grief ahead for a lot of families. 

[champers]

2 hours ago, Hakuna Matata said:

Well, it is no secret that PM is a co-owner of many luxury hotels in Phuket.

 

Thaksin is a big player as well. But he likes to have his lunch at McDonalds.

In Pattaya the PM's company built The Edge and The Base condos, Thaksin's firm built the Centric Sea condo. All 3 are on 2nd Rd and are close to the proposed development. Coincidence perhaps? 

[sammieuk1]

Hurry up and legalize it the police and army want to go legit, plus there will be an even more lucrative market in sharking when everyone losses their shirt  🤔

[ChrisKC]

 

Just more unnecessary opportunities for Thai people (to increase their problems of debt) as well as tourists, to line government and big Business coffers.

 

And of course, there will still be illegal gambling carrying on as normal.

[Thumbs]

Will be same as weed legalization, wait for people to invest then change their mind when new government comes to power

[Gknrd]

Makes perfect sense to me. Thai's have a gambling problem so legalize it for foreigners and build huge gambling dens.. hahaha.   That should put a bad light on gambling for the Thai's..

[wombat]

Why Hat Yai?

[AustinRacing]

It will be delayed for as long as possible or will not happen at all. The number of high ranking officials who have a hand in illegal casinos will throw everything they have to stop it. Look at what’s happening with the GLO. Despite numerous attempts to modernize it, those who benefit from the status quo have halted any progress. The best they could do was to hand a minuscule number of tickets for online purchase for 80thb. 

[biggles45]

8 hours ago, webfact said:

Initially, only foreign visitors will be permitted entry to these facilities

Hardly likely to deter illegal gambling then! Also, high end casinos will not be affordable to a great many lower income thais 

[USNret]

The number one new business here will be import of Chinese and Russian mafia. That always follows the introduction of casinos.

[mikebell]

20 hours ago, webfact said:

According to a preliminary government study, casino-type entertainment venues may be located within 100 kilometres of three major airports – Suvarnabhumi, Don Mueang, U-Tapao

The Ambassador Hotel Na-Jomtien is 20 clicks from U-Tapao.  Watch this space.

13 hours ago, wombat said:

Why Hat Yai?

Its population increases by 300% at weekend as Malay men cross the border for Thai Oats.

[aussienam]

The main business in casinos is washing dirty money.  The rest is just show offs and punters. Casinos are just handy money laundering facilities and make a ton of profits.  Governments get nice taxes.  Will attract the usual criminal entities.  Oh well.  Add it to the list.