Asia
MGM targets Osaka for its Japanese IR initiation

MGM Resorts International is focusing on Osaka prefecture of opening a casino in Japan. The Japanese government, which is finalizing the details for the implementation of the landmark Integrated Resort (IR) bill, has not disclosed the location chosen for the IR facilities. Earlier, the government had made it clear that there would be three locations in the country.
Osaka is one of the top candidates to be selected. That’s perhaps why MGM Resorts International has decided to set potential development in the city as a key target for their business.
During the full-year earnings call last week, company Chairman and Chief Executive James Murren highlighted the importance of the Japanese market.
“We just recently opened up an office in Osaka. We’ve committed now to the mayor and to the governor of Osaka,” he told financial analysts and added: “MGM has adopted an Osaka-first strategy. We are focusing our considerable resources on Osaka.”
According to Mr. Murren, the company expects an operator to be picked by Osaka in 2020, just before going to the central government.
“We think Osaka will be one of the three concessions that will likely be granted, but we know the central government has to select Osaka and its operator. That probably happens maybe 12, 18 months after Osaka itself picks its operator,” Murren stated. “Osaka’s goal is to have an IR opened by 2025. That’s when the World Expo is in Osaka.”
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