$4 billion invested in casino in Vietnam
Chow Tai Fook Enterprises, a company based in Hong Kong, that specialises in the development of hotels and land-based casinos, plans to invest $4 billion in a gambling complex in central Vietnam.
The project has been supported for some time now by VinaCapital, a group for asset management based in the country, and the construction of the complex is expected to begin in mid-2015, with a scheduled opening for early 2017.
History of the project
It has now been several years that VinaCapital is trying to start a casino project in central Vietnam.
Nevertheless, the group had faced several delays, mainly because of a funding problem after the Genting group had left the project in 2012.
In December 2013, they received green light for developing an area of 1,555 hectares in the Chu Lai open economic zone in Quang Nam, but the area has since been reduced to only 1,000 hectares of land.
Capitalising on the Chinese middle class
Seeking to expand their investment in Vietnam, the Chow Tai Fook Enterprises group became interested in the project that could allow them to capitalise on the growing segment of the Chinese middle class.
The partners Echo Entertainment and Far East Consortium, who run a casino in Brisbane, Australia, and a complex worth $1 billion in Incheon in South Korea, are now planning to invest in the project VinaCapital as well.
Henry Cheng, the director, said that the business expansion of his company in Asia and Oceania will allow him to donate a portion of the profits to charities.
In fact, he is particularly interested in increasing the donations to his foundation, and to try to do more charity in the future.
Works will begin next year
Having already received green light from the People’s Committee of Quang Nam, the project can now move forward with a new investor on board.
Offering a huge budget of $4 billion, the complex will have a 5 star hotel, villas and a casino that is accessible only to foreigners – as it is currently required by the laws of the country.
Don Lam, the co-founder and CEO of VinaCapital, has announced that the construction of the complex is expected to begin in mid-2015, and it is scheduled to open in 2017.
