Melco Resorts & Entertainment is gearing up to enter Thailand as the country moves toward legalizing casinos.
With the potential to become a premier gaming and entertainment hub in Southeast Asia, Thailand presents a significant opportunity for the company.
CEO Lawrence Ho confirmed in January the company’s ambition to secure a license to operate an integrated resort in Thailand once the regulatory framework allows for it.
To support this effort, Melco has already established a Thai subsidiary dedicated to studying the feasibility of such an endeavor.
“We see Thailand as a generational opportunity that probably happens once every century,” Ho remarked in a recent earnings call with analysts.
“We’ve conducted extensive studies, made multiple visits, and even opened an office in Thailand. While it is still early days, we remain vigilant and flexible in our approach, including potential partnerships and structural adjustments,” he added.
Having gained experience from previous bidding processes, such as in Japan, Melco is taking a measured stance in Thailand, noting that the group is still in the “very early innings in Thailand.”
However, Ho said that the gaming operator will “keep a very close eye to it.”
Meanwhile, chief financial officer Geoff Davis also highlighted Melco’s strategic outlook on intellectual property (IP) fees, emphasizing that the company has taken industry trends into account while setting its pricing model at a competitive level.
Thailand’s revised draft of the entertainment complex bill outlines strict conditions for the implementation of casinos, with local punters being required to have at least THB50 million (USD1.5 million) in fixed deposits for at least six months to be able to enter casinos.
The requirements also include an entry fee capped at THB5,000 (USD 150).
Expanding investments Melco is ramping up investments across its properties, with a strong focus on enhancing customer experience and expanding technological capabilities.
Ho announced in the call that the company remains committed to its Macau operations, where efforts are underway to improve visibility and accessibility.
“Our primary objective is to attract and retain high-quality, high-value customers,” Ho stated.
At Studio City, renovations to the high-limit area are nearing completion, while at City of Dreams, enhancements around the main casino entrance aim to boost foot traffic.
Additionally, all baccarat tables in Macau will feature smart technology by the end of March, optimizing marketing and player reinvestment strategies.
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