Sumary of Macau casino stocks tumble as city proposes gambling industry crackdown:
- Macau casino stocks collapsed on Wednesday, as officials unveiled plans for a crackdown on the gambling industry in the city known as China’s Las Vegas.
- Hong Kong-listed operators Sands China and Wynn Macau both suffered over 24 percent drops, while Melco Entertainment, SJM Holdings, MGM China and Galaxy Entertainment fell between 13 percent to 17 percent.
- The Macau government is looking to put its representatives in licensed casino operators’ boards to oversee their operations and criminalise underground banking in the industry.
- The companies that could face tighter restrictions as a result of the proposals own the six licenses permitted to run casinos in Macau — the only place in China where gambling is allowed.
- As the only place in China where gambling is allowed, Macau’s casinos account for about 80 percent of government revenue, and over 55 percent of the city’s GDP.