Echo Entertainment, one of Australia’s biggest casino operators, has made an important decision that will affect its future growth. According to Nine News, the gambling operator has decided to sell Townsville Casino, a gaming venue which services one of the smaller cities in the country. As a result of the sale, Echo Entertainment can focus on the casinos that it hosts in larger cities, such as Brisbane, the Gold Coast and Sydney.
Although the news was just recently announced Echo Entertainment has received a great deal of interest in the sale of the Townsville Casino. Lasseters International Holdings, a Singapore-based company, has expressed interest in bidding while SkyCity also seems to be considering the purchase of the gambling venue. According to financial analysts, Townsville Casino is a valuable commodity.
As such, the highest bidder will likely be paying a hefty sum for the gambling venue. Seeing a 60% jump in gross revenue last year, Townsville will make its new owner quite happy. So, it is estimated that the sale price will be somewhere around $100 million. Echo Entertainment will likely use the funds to renovate its other casinos.
The gaming operator has already announced plans to spend more than $600 million refurbishing its locations in Brisbane and Sydney. This is all part of the company’s plans to attract high roller gamblers, following in the footsteps of Skycity.
As illustrated by the newly renovated gambling venue, there is great potential for growth in the high roller gambling market, earning millions of dollars in revenue from ‘whales’ (an industry nickname for millionaire players) this year. Crown Casinos is also making similar plans.
The company is currently in the process of a $560 million makeover of its casino in Perth, installing 500 new poker machines and renovating its hotel. By the end of the process, the casino will be a six-star venue, attracting high roller players from around the world.