Wynn Resorts is a leading developer and operator of premium hotels and casinos based in Las Vegas, Nevada. The group was founded 16 years ago in 2002 by the former chairman and CEO of Mirage Resorts, Steve Wynn. Since it’s inception, Wynn Resorts became a prominent figure in the hotel and casino industry and currently has five properties in its impressive portfolio, with a sixth on the way. This has led to interest from other parties, one being Galaxy Entertainment.
The Galaxy Entertainment Group are very similar to Wynn Resorts in how they operate. They too own and operate hotels and casinos but in Macau which is often described as the “Las Vegas of Asia.” Galaxy Entertainment are a group who have been longing to impress on the world stage, and now they are set to do so after they completed a deal to purchase 5.3 million shares in Wynn Resorts Limited.
One maybe forgiven for only focusing on the exciting developments in New Jersey, with the recent news that the NJ arm of PartyCasino.com being able to open its doors to US players who reside in New Jersey. But this relationship between Galaxy and Wynn is equally exciting, a they both look further afield to introduce their services whilst strengthening exciting positions.
Matt Maddox, the Wynn Resorts CEO, said: “It is an honour to have such a distinguished company as Galaxy Entertainment as a shareholder which shares many of the same core operating philosophies and values.” The move is set to be extremely beneficial for both parties going forward, especially due to the Macau connection.
Galaxy Entertainment will now use their acquisition to make their move into the Japanese integrated resort market. This sector in Japan is rapidly growing and has seen top casino developers from around the globe already take a keen interest as they look for new sites to build casino hotels. With Wynn Resorts behind them, Galaxy Entertainment are a much more powerful entity and are now well positioned to push into new markets.
It will also be beneficial that Wynn Resorts are already a big name in Asia too. Macau, the Las Vegas of Asia, plays home to three Wynn operated hotels and this market exposure could be used as a route into the growing Japanese market. You’d certainly expect to see some casino hotels being developed in Japan by Galaxy Entertainment and Wynn in the not too distant future.
There was further news to come out of Wynn Resorts too as former CEO, Steve Wynn, agreed to sell his remaining 8 million shares in Wynn Resorts to two long term institutional investors at $175 per share. Wynn Resorts, which bears Steve Wynn’s name, had announced just 24 hours prior to this deal that the former CEO who ran the business for over sixteen years had agreed to sell 4.1 million of his shares at a price of $716 million. With these deals combined it effectively brings to an end Steve Wynn’s involvement with the group.
