MGM China is negotiating a $2 billion syndicated loan, according to sources cited by Bloomberg. The loan would be denominated in Hong Kong dollars and spread across a five-year term, with over a dozen banks reportedly involved.
Purpose: Refinancing, Not Expansion
Insiders say the loan will be used mainly to refinance existing debt, not to fund new projects. A senior analyst told AGB that this aligns with MGM China’s strategy to maintain financial flexibility rather than pursue aggressive expansion.
In 2023, the company had already extended the maturity of some notes to 2026, showing a continued focus on refinancing.
MGM China Sees Record Market Share
MGM China is one of Macau’s fastest-growing operators. Its market share rose to 15.8% in 2024, up from 15.2% in 2023 and just 9.5% in 2019, according to a February press release.
Focus on Diversification and Luxury
The company is also shifting away from junkets and high-rollers. In September 2023, MGM Macau converted junket areas into 28 luxury villas. At MGM Cotai, it transformed 200 hotel rooms into 88 suites, aiming to attract a broader customer base.
Strong Financial Performance in FY24
MGM China reported a 27.2% revenue increase in FY24, reaching HK$31.4 billion ($3.92 billion). Adjusted EBITDA rose 25.2% to HK$9.06 billion ($1.13 billion).
