Macau published the regulations governing its gaming concession public tender in the Official Gazette on Tuesday 5 July 2022, with the framework coming into force the following day, Wednesday 6 July1. The rules set out who may bid, how bids will be assessed and how suitability will be checked, ahead of a tender expected to advance in August1.
Under the newly approved Macau SAR gaming law, no more than six gaming concessions will be awarded1. The regulations state that in a restricted tender with prior qualification, at least two more selected bidders must be admitted to the consultation phase based on the number of concessions put out to tender, unless the Chief Executive decides otherwise1. The publication reported that the tender may require at least eight bidders if the government chooses that restricted format instead of a simple, non-restricted tender1.
"The future gaming concession public tender may require at least eight bidders should the Government decide to move on with a restricted tender with prior qualification instead of a simple (non-restricted) tender"
Only public limited companies incorporated in Macau whose corporate purpose includes exploiting games of chance in casinos will be admitted1. The government may, exceptionally, admit "commercial entrepreneurs of recognized reputation" who do not meet those requirements, provided they constitute a public limited company in the SAR on terms and deadlines set in a Chief Executive order1.
Bidders must prove adequate financial capacity through investment or banking guarantees, with costs borne by applicants and deducted from the deposit for admission to the tender1. They must also propose the minimum number of gaming tables and gaming machines they plan to operate during the concession period1.
| Tender element | Requirement |
|---|---|
| Concessions available | No more than six1 |
| Who may bid | Public limited companies incorporated in Macau with casino gaming of chance in their corporate purpose1 |
| Restricted tender | At least two more selected bidders admitted to consultation than concessions offered, unless the Chief Executive decides otherwise1 |
| Financial proof | Investment or banking guarantees1 |
| Suitability review | Bidders, shareholders with 5 percent or more of share capital, directors and main casino employees1 |
The opening of the tender is made by a Chief Executive dispatch defining pre-qualifications, tender procedures including the date for receipt of proposals, the deposit amount, the concessions framework and admission requirements1. Suitability verification is instructed by the Gaming Inspection and Coordination Bureau and ends with reports prepared by its director1. Forms for disclosing data on competitors, concessionaires, shareholders and directors for the suitability review were also published on 5 July1.
Factors to be evaluated in selecting bidders and appraising proposals include the proposed premium variable amount, plans to expand customer markets in foreign countries, experience operating games of chance in a casino or related areas, investments in gaming and non-gaming projects, a casino management plan, a proposal to inspect and prevent illegal activities in casinos, and social responsibilities the bidder intends to assume1.
What it means for players
The tender decides which companies may run casinos in Macau, so the rules shape the operators that locals, expats and visitors find on the floor. The regulations do not change gambling rules for customers, betting limits, game types or taxes paid by players; they govern who can hold a concession and on what terms. The requirement that bidders set out plans to expand customer markets in foreign countries points to a continued focus on non-mainland visitors, while the cap of no more than six concessions means the number of licensed operators stays limited. For background on how licensing works across the region, see Gambling Regulators and Licenses in Asia: Who Licenses What and How to Check, and for the market itself, Can I Gamble in Macau?. Numbers games marketed under Macau names are a separate matter, covered in Toto Macau and New Macau Mark Six: Are They Official?.
What happens next
The framework comes into force on Wednesday 6 July 20221. The tender is expected to advance in August, according to TDM Radio as cited by Macau Business1. The date for receipt of proposals, the deposit amount and the pre-qualification terms are to be set by Chief Executive dispatch, and those details have not been reported1.
