Malaysian gaming supplier RGB International is looking to expand its gaming machine concession business overseas, despite putting its capital-raising plan on hold, local media reports.
The company had earlier planned to spin off its gaming machine leasing unit in Hong Kong.
“We need to wait for a conducive environment to implement our initial public offering plans in Hong Kong,” said group managing director Datuk Chuah Kim Seah in an interview with StarBiz.
Despite the setback, the company has reportedly allocated US$20 million to secure new machines for its concession programme this year. In 2018, the budget was US$25 million.
The company said it is planning to install additional 1,770 gaming machines across Asia, most of which will go to the Philippines market.
So far, around 600 gaming machines have already been installed in the Philippines, with the rest to be installed by the end of July.
In Cambodia, RGB is set to install another 280 machines, and another 100 is set for Timor Leste, said Chuah.
The group is also expanding its business in Vietnam.
“In Hanoi, we have just been awarded a management contract for five years starting May 2019 to provide management of an existing club with 130 machines that would generate a profit of US$1.5mil a year for the next five years,” Chuah said.
RGB is also known for its sales, services, and marketing (SSM) division.
Chuah said he expects the group to sell 1,600 new slot machines this year, targeted at the ASEAN region.
The group is also eyeing opportunities in Myanmar, with the government now looking at ways to legalize foreigner-only casinos in the country.
“We are studying the market now, as we have already received inquiries from potential casino operators in Myanmar,” Chuah said.