Effective this morning, the Phoenix International Club will cease all casino operations. The property is located in Vietnam in the area of Hanoi, operated by the Silver Heritage Group, an Australian-listed gaming company.
Revised Investment Certificate:
According to a filing with the Australian Securities Exchange, the Silver Heritage Group received a notice from the Phoenix general manager, stating that table games are not included in a revised investment certificate. Because of this, the games are not permitted to be operated on-site. The casino has closed for an indefinite time frame.
According to GGRAsia.com…
The filing also reported that the Phoenix casino portion involved 45% of the non-audited revenue of the Silver Heritage Group for the year ending on December 31st, 2018. The company’s board is now completing a review of when the notice was issued. Included in the review will be the rights and obligations of the company regarding an agreement for entertainment services involving the owner of the Phoenix and Silver Heritage.
Below Budget Expectations:
The Silver Heritage had flagged the property in Hanoi previously due to revenues from casino gaming being less than expected budget wise. Back in January, the firm told the exchange that the trading performance weakness of the Phoenix casino had continued to take place through the fourth quarter and was carrying over into the first month of the New Year.
At that time, Heritage reportedly renegotiated their agreement involved the Phoenix as well as made amendments, and expected the earnings to improve in the next few months.