Extended hours and additional gaming tables for Kangwon Land Co Ltd in South Korea after a three month closure
Kangwon Land Co Ltd, the only casino in South Korea which allows locals to gamble has been granted permission by the government to extend its operating hours and to add more gaming tables as soon as mass gaming activities resume.
The property has been closed for nearly three months as a preventive measure against the pandemic, with expected losses of around KRW267.8 billion (US$218.6 million), based on revenues for the same period last year. Its VIP gaming floors were the only floors to reopen on 8th May.
Kangwon Land’s revenue for the first quarter of the year dropped 39% compared to last year.
A spokesperson for Kangwon Land said: “The operating plan due to the changed business hours and the increase in the number of general business tables will be discussed separately with the Ministry.”
The operating hours will be extended from 18 hours to 20 hours daily, and there will be additional gaming tables, from 160 to 180. This was confirmed by the country’s Ministry of Culture, Sports and Tourism.
JP Morgan analysts said: “In our view, this signals that the regulatory environment for Kangwon is turning more favourable, which is not totally surprising, but is still a meaningfully positive development. We also note that the license renewal came in earlier than the original schedule, which suggests that the urgency of normalising Kangwon’s business is well understood by the government. From what we understand, the increased capacity and operating hours will stick throughout the license term until the end of 2023, which will be a boon for this capacity-constrained casino for coming years.”
Grand Korea Leisure Co Ltd, a casino operator strictly for foreigners resumed operations on the 6th of May according to report from local media. The property had temporarily closed down on 24th March due to the pandemic.
This was after South Korea relaxed its preventive measures against Covid-19 following a decline in the number of cases in the country.
Confirmed cases to date for South Korea is at 11,122 with 10,135 released from quarantine and 723 remaining in isolation. Mass testing performed for the country is now at 788,684 while test concluded at 770, 595, with 1.4% positivity rate.
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