Why is it the largest casino company in the world? Why are you interested in investing in Thailand?

Why is it the largest casino company in the world? Why are you interested in investing in Thailand? /by Longtunman
Recently, Mr. Robert Goldstein, CEO of Las Vegas Sands, the world’s largest casino company, said that the company is definitely interested in doing business in Thailand.

This is happening After Thailand established a committee to draft the Comprehensive Entertainment Act, (Entertainment Complex) which consists of Casinos are legal

The question is, where did Las Vegas Sands come from? So why do you look at Thailand? Is it the next destination?
Longtunman will tell you about it.
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Las Vegas Sands is a company that operates hotels, casinos, and shopping malls. from the United States

The beginning of this story happened when Mr. Sheldon Adelson, a Jewish businessman American nationality bought the Sands Hotel and Casino to manage for 10,500 million baht.

Later, Mr. Adelson’s wife came up with the idea of ​​creating a luxury and romantic hotel. Same with the hotel where the two of them honeymooned in Venice, Italy.

Shortly thereafter, the Sands Hotel and Casino was demolished and rebuilt into The Venetian Resort Las Vegas, with the same Italian architecture.

The success of The Venetian Resort Las Vegas has led Las Vegas Sands to expand its hotel and casino business. go abroad

It began with the construction of the Sands Macao Hotel in the Macau Special Administrative Region. China comes up and launched along with the company’s IPO on the stock market

After the IPO, Las Vegas Sands continued to expand its portfolio of casinos and hotels. Both within the country and abroad, such as

– The Venetian Macao hotel, which has the same French architecture.

– Sands Casino Resort Bethlehem Hotel in the United States

– Marina Bay Sands Hotel that has become a landmark famous in Singapore

It can be seen that Las Vegas Sands’s business is primarily in the United States, China, and Singapore.

But what’s interesting is that Las Vegas Sands is now interested in expanding its business in Thailand. After a committee was established to draft Comprehensive Entertainment Act

So why is Las Vegas Sands interested in opening a casino in Thailand?

The answer is that Thailand is a city that attracts tourists from around the world well.

This can be seen from the number of tourists in 2019, before the world faced a pandemic crisis. At that time, Thailand There are 40 million tourists arriving, ranking number 1 in Southeast Asia.

In addition, tourists who come There is also a high level of spending.

Overall, if compared to neighbors like Singapore that have already opened casinos. Spending money of tourists coming to Thailand It’s still more than enough.

Total tourist spending in 2023
– Thailand generates 1.2 trillion baht in income from foreign tourists.
– Singapore generates 0.7 trillion baht in income from foreign tourists.

Simply put, Thailand earns income from foreign tourists. More than Singapore which is a neighbor that has a casino Went in and opened it and it was almost doubled.

which the value here It’s what entrepreneurs in this business are looking for. Because it tells how many possibilities that country has. that people will come to spend money on this

The next question is And if this actually happens, what benefits will Thailand receive?

The first party would be the government that would have more income. from license and tax auctions

Let’s start with The matter of license

In the draft law, it is specified that it must be a juristic person or registered as a company in Thailand. To be able to conduct business legally and must have a registered capital of not less than 10,000 million baht

License auction section May be divided into sizes according to investment from S, M, L to XL. The license will be valid for 20 years and can be extended for no more than 5 years at a time (in the beginning there will be only one size, XL, which must have investment value Minimum 100,000 million baht)

And if this happened The government will also have income from auctioning licenses of various sizes. Which if looking at the minimum investment It is considered to be quite a small amount of money..

Another thing is The government will have more income from taxation.

This tax is mainly collected in two parts:

– Casino tax is collected at a rate of 17% of gross income. from betting (comes from the bet amount minus the amount the player won and took)

– Corporate tax This section is a step-by-step collection. Divided by income at rates ranging from 20%, 25% and 30%

which the government had estimated that Opening a complete entertainment venue (Entertainment Complex) will be able to attract investment of over 300,000 million baht and collect taxes of over 20,000 million baht per year.

and the next party that will benefit from this It is inevitable that various related businesses such as airport-airline business, hotel business, department store business. restaurant business from being able to attract additional tourists

to other businesses that will benefit from increased tourist spending. In areas with casinos

Next, let’s take a look at Las Vegas Sands’ revenue and profits. How much each year?

Year 2021, revenue 156,900 million baht, loss 35,600 million baht
Year 2022, revenue 152,300 million baht, profit 67,900 million baht
Year 2023, revenue 384,400 million baht, profit 45,300 million baht

Read up to here. It can be seen that Thailand has a handicap Because it is an interesting tourist destination in the eyes of foreigners.

Moreover, we must admit that In fact Quite a few Thai people also play and are involved in gambling. It’s already the original capital.

which if this actually happened There will be both sides of the government. and domestic business that benefit from tourist spending

But I must emphasize that This matter is considered a big deal. that the government must proceed carefully and there is good supervision
Who will be able to use the service? And where are the boundaries?