Resorts World Las Vegas, which opened earlier this week, could set the stage for operator Genting Berhad to pursue a US listing of its shares.
Bernstein analysts believe the newest integrated resort on the Strip is a sign the Malaysian parent wants to list in the US. But the research firm didn’t mention when that could happen, nor did it speculate as to whether the operator would bring a US version of its stock to the Nasdaq or New York Stock Exchange (NYSE).
With the opening of Resorts World Las Vegas and a strongly rebounding US gaming industry, and if Genting’s history is any guide, a Genting Americas US listing may be coming at some point in the future,” said the Bernstein analysts in a recent note.
It’s not a stretch to think the operator will seek a US-listed stock. Parent Genting Berhad is a sprawling conglomerate with multiple listed entities. Those include Genting Malaysia, which includes gaming operations in that country, and Genting Plantations, a producer of palm oil and a real estate developer. Genting Singapore, the operator of the Resorts World Sentosa integrated resort in that country and a leading contender to bring a gaming property to Japan, is also publicly traded.
Genting Americas Preview
The Bernstein note doesn’t explore the technicalities of the shape Genting Americas could take if it does, in fact, pursue a US equity.
It’s possible the holding company could be focused entirely on Resorts World Las Vegas. While most publicly traded gaming operators run multiple, in some cases dozens, of venues, it’s not unheard of for listed companies in this space to have small rosters. For example, Monarch Casino (NASDAQ:MCRI) owns just two gaming properties, while Okada Manila — a single property entity — wants to trade in the US through a merger with a special purpose acquisition company (SPAC).
However, Genting Americas could add heft to its publicly traded portfolio. The parent company owns Resorts World New York City (RWNY) in Queens, which is slated to become a traditional casino with live table game dealers and a sportsbook.
Genting previously had a publicly traded unit in the US — Empire Resorts. That operator, which traded on the Nasdaq under the symbol “NYNY,” operated Resorts World Catskills. Amid financial struggles, the business was taken private by Genting Malaysia in late 2019.
Prior to Resorts World Las Vegas opening, there was some talk Genting could list in the US. In 2019, analysts noted the company could combine the New York assets, Resorts World Bimini Resort and Marina in the Bahamas, and a 30-acre parcel of land in Miami the company wants to build a casino on into a publicly traded US entity.
Analysts estimated such a company could be worth $1.5 billion to $1.9 billion by 2025 — a figure not including the $4.3 billion Sin City venue.
Bernstein adds that if Genting is serious about a New York listing, it may need to develop an iGaming strategy, which it currently lacks. US-based operators with Asian footprints that are also players in the booming domestic internet casino space include MGM Resorts International and Wynn Resorts.
As for Las Vegas comparisons, Bernstein sees Resorts World competing with the Strip’s glitzier venues, including Aria, Bellagio, Cosmopolitan, the Venetian/Palazzo, and Wynn/Encore.
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