Fitch Ratings said it gave Resorts World Las Vegas LLC a long-term issuer default rating and senior unsecured rating of “A-” with a stable outlook.
On Thursday, Fitch announced that it had given an “A-(EXP)” expected rating on its proposed senior secured revolver and project promoter, term lending facilities, and an “A-(EXP) expected rating on senior unsecured bonds to be issued by the company and its wholly owned subsidiary, RWLV Capital Inc.
Fitch described Resort World Las Vegas LLC as a fully owned indirect subsidiary of Malaysia’s Genting Bhd and a developer of Las Vegas Stripes, described as a $4 billion casino resort (artist’s rendering photo).
Fitch’s credit rating for its Genting Bhd parent is also A-, with a stable outlook. Genting Group operates casinos in Malaysia, Singapore, the UK, Egypt, the US and the Bahamas. The group also has some interest in palm oil plantations, fossil fuels, power and real estate.
Fitch said Resorts World Las Vegas LLC plans to use proceeds from its proposed revolver and term loan facilities and unsecured bonds to pay for part of the construction and operation of a Las Vegas casino resort project called Resorts World Las Vegas.
“We equalled RWLV’s [LLC] rating with Genting [Bhd] rating based on strong operational and strategic ties between the companies.
“We evaluate that RWLV’s standalone credit profile falls into the ‘B’ category based on geographic concentration, limited market share and brand awareness, increased risk from competitive pressures in mature markets such as Las Vegas, and weak financial ratios in the early years before earnings before interest, taxes, depreciation and amortization stabilized.
“The ramp-up risk relates to the fact that the resort is a greenfield project and difficulties in identifying a stabilized EBITDA beyond the construction period,” Fitch said, referring to the resort’s final earnings before interest, taxation, depreciation and amortization.
The Las Vegas Review-Journal newspaper reported on March 19 that firefighters had rescued an injured construction worker from the resort’s World Las Vegas project site the previous day and taken him to a hospital. There, employees described his condition as stable.
In January, Genting Group, the parent company of Macau casino operator Wynn Macau, and U.S. casino operator Wynn Resorts announced they had settled a dispute over the emergence of the resort’s World Las Vegas casino resort tower, which threatened to halt work on the project.
BY: 릴게임사이트