A deal has been completed with the Iao Kun Group Holding Co Ltd that will allow the firm to develop its casino junket operations at Crown Melbourne Casino and Crown Perth Casino in Australia.

In a press release on Friday, Iao Kun announced that it had completed the attainment of all the profit interest of a one of the officers of their company who had entered into junket agreements with Crown Perth and Crown Melbourne.

Iao Kun is a medium sized investor in Macau junket operations, which cater to VIP players. The operations benefit from several VIP rooms and the economic movement of  various Macau casino resorts. One resort is the City of Dreams Macau. This casino is managed and owned by Melco Crown Entertainment Ltd. One of their controlling shareholders of City of Dreams Macau is Crown Resorts with a stake of 33.8%.

VIP gaming revenue is extremely important to a casino operation’s bottom line. The Iao Kun company recently underwent a restructuring before announcing that their business in Macau was suffering. Casino revenues have dropped precipitously there as have rolling chip or VIP earnings. Iao Kun posted a year on year plunge for April of 71% in rolling chip revenue.

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