SJM Resorts S.A. has revised payment limits and extended a lease contract with two satellite casinos, both under the majority ownership of co-chairperson Angela Leong.
The gaming operator has increased the annual maximum payment to Leong’s wholly owned L’Arc Entertainment for services and the utilization of hotel and casino facilities at its peninsula site, Macau Daily Times reported, citing the company’s recent filings.
The updated limits stand at HKD908.3 million ($116.25 million) for fiscal 2024 and HKD960 million ($122.86 million) for 2025, marking a notable increase from the previous caps of HKD351.7 million ($45 million) and HKD450.1 million ($57.59 million), respectively.
SJM justified these adjustments by pointing to a 44.7% rise in payments under the existing L’Arc agreement, totaling HKD157.4 million ($20 million) in the first quarter of 2024, attributing the expansion to anticipated growth in tourism.
In a separate disclosure, SJM has entered into a fresh three-year lease pact to manage Casino Oceanus at Jai Alai, wherein Leong holds a 97% stake, alongside other amenities. The monthly rental fee will incrementally climb from HKD3.5 million ($448,000) in the initial year to HKD4 million and HKD4.5 million ($512 million) in subsequent years.
The company emphasized the sustained growth at Casino Oceanus and anticipated high foot traffic in the coming years as drivers for continued robust demand for hotel accommodations, enabling SJM to operate there efficiently and seamlessly.
SJM’s performance has exhibited signs of recovery, with gross gaming revenue surging 77% year-on-year to HKD6.89 billion ($882 million) in the first quarter, according to the company’s latest financial report.
Original article: https://www.yogonet.com/international/noticias/2024/06/04/72495-sjm-resorts-boosts-payments-extends-lease-for-satellite-casinos-amidst-tourism-surge
