Oceanus Acquisition May Be SJM’s Last Satellite Casino

June 1, 2022 Macau Industry Updates

The courtship between Macau concessionaires and satellite casinos has most likely come to an end. The best example of that is SJM Holdings which, following its acquisition of Oceanus, will most likely not be looking to buy any additional satellite casinos moving forward, at least according to JP Morgan.

SJM Holdings Unlikely to Buy More Satellite Casinos
Company analysts commented on the current asset holdings by SJM and said that since the company owns both Grand Lisboa and Grans Lisboa Palace, along with the gaming floors there, it would be redundant to seek and add satellite casinos. SJM has also faced some liquidity shortages, which the company assures are nothing and Bernstein feels is correct.

Even in the worst-case scenario, the brokerage predicts that SJM can last three months, without breaking a sweat, but such a scenario is very unlikely. The question that JP Morgan asks is whether SJM would need to continue pursuing additional asset acquisitions. The answer is perhaps, but satellite casinos do not seem to be part of any immediate plans.