NagaCorp eyes Macau-Cambodia air links

Hong Kong-listed NagaCorp Ltd wants to fly gamblers from Macau and mainland China to its gaming resort in Phnom Penh, Cambodia’s capital.
The company’s chairman, Timothy McNally, confirmed the reports to Business Daily yesterday. In a phone interview, Mr McNally said the company already has one aircraft and is the process of purchasing an additional three. Two of these are Airbus A320s.
Before flights commence, there are many processes that need to be completed, Mr McNally said, adding that the company wants to establish cooperation with travel agencies both in Macau and mainland China. Gamblers will be encouraged to visit Cambodia, not just for gambling, but also to visit heritage sites such as Angkor Wat and other temples. “There will be a different focus for different markets [VIP and mass market],” Mr McNally said.
“One of our strategies is to increase our relationship with junket operators, not only in Macau but in Singapore and the Philippines… to increase our market share,” the chairman added. The aim is not only to target gamblers but families from mainland China as well as tour groups for its mass-market business.
“We won’t be competing with Macau. What we are doing is enhancing and increasing the numbers [of travellers],” Mr McNally said.
Hong Kong media quoted NagaCorp chief financial officer, Philip Lee Wai Tuck, as saying the company is also going to invest around US$45 million (359 million patacas) in airport facilities in Phnom Penh.
According to the reports, Mr Lee said an aircraft that is 10 or 15 years old can around US$10 million to purchase outright. Mr Tuck was also quoted saying that the company has the capital needed and needs no financing through share placement.
Currently, the company is working on getting approvals with the respective authorities in both Macau and Cambodia Mr McNally told us.
As for expected turnover amounts of the players NagaCorp is targeting to recruit, Mr McNally said the company is growing double digits and is optimistic. “We’re looking for steady growth on junket [operations],” he added.
Earlier this month it was announced that NagaCorp had set up a marketing office in Macau to bolster its relationships with junket operators here.
In December it was announced that Mark A. Brown – president of The Venetian Macao and also of Sands Macao from April 2006 to April 2009 – had been appointed chief operating officer of NagaWorld Ltd, the Phnom Penh resort.
NagaCorp’s planned casino development in Primorye – near Vladivostok in the Russian Far East – is targeted to open in 2018. NagaCorp is also interested in opening casinos in Thailand and Myanmar if local laws allow it said Mr McNally earlier this month.

http://macaubusinessdaily.com/Gaming/NagaCorp-eyes-Macau-Cambodia-air-links