MGM China announces postponement of opening of MGM Kotai due to Typhoon Hatoro
It leaves destruction in the aftermath. Buildings were destroyed or damaged, power outages were widespread and residents in the area needed water, food and shelter. Time will be needed for emotional and physical recovery. Several businesses, including casino gaming venues, were also affected by Typhoon Hato. MGM China recently announced that the opening date of its new resort, MGM Kotai, has been changed based on significant damage from the storm.
MGM China reportedly said in a filing with the Hong Kong Stock Exchange on Friday that the previous opening date would not be met and the company delayed the rollout until January 29 next year.
Typhoon Hato forced several casinos in Macau to close. Typhoon Hato was the strongest storm to hit the region in the past 50 years, killing 10 people, causing massive flooding and power outages.
MGM Cotai was not spared during the storm, with damage occurring and needing repairs. The damage will be delayed by government inspections. These inspections must be completed in order for the integrated resort to obtain an operating license. MGM believes the damage is covered by property insurance, but either necessary repairs will change the overall cost of the project, increasing the budget from HK$27 to HK$27, without taking land or capital interest into account.