Galaxy Ent 0027 / Lui Chee Woo

[winston]

not vested

DJ MARKET TALK: Galaxy Entertainment JPM's Top Macau Casino Pick

1525 [Dow Jones] Galaxy Entertainment's (0027.HK) is now JPMorgan's new top pick among Macau casino operators; it raises Galaxy target to HK$24.40 from HK$23.80 and keeps the stock Overweight.

Looking into 2012, JPM believes the continued ramp up and opening of new facilities of Galaxy Macau, street earnings upgrades and multiple expansion (Galaxy is now trading at an undemanding 13X FY12 P/E) will be share price drivers.

"We think current levels offer a good opportunity to accumulate," the house says. Galaxy zooms 6.8% higher to HK$20.15.


Source: Dow Jones Newswire

[winston]

not vested

DJ MARKET TALK: Galaxy's Small Discount Tips Strong Macau Appetite

1447 [Dow Jones] That Galaxy Entertainment's (0027.HK) HK$1.09 billion share sale by a shareholder is done at a rather modest discount of 4.0% reflects investors' current strong appetite for Macau casino operators, which is one of the best-performing sector, if not the best-performing, in Hong Kong market so far in 2012, especially for Galaxy, Sands China (1928.HK) and Melco Crown (6883.HK)--all with Cotai exposure and with a focus on mass market.

Nomura says Macau names were up 45% on average year-to-date, outperforming the market at large by more than 30% (the HSI rose 14% YTD).

"Valuations have risen but remain attractive relative to China consumer names (18% premium) and they have yield support."

Galaxy is down 1.5% at HK$22.35, staying above HK$21.80, at which the shareholder sells 50 million shares.

Source: Dow Jones Newswire

[winston]

Galaxy bets big with next phase of complex

Galaxy Entertainment (0027) is spending HK$16 billion on building the second phase of Galaxy Macau, which will double the size of the casino-resort complex on Cotai strip.

The company, controlled by Hong Kong property tycoon Lui Che-woo, said it has sufficient cash and debt resources to pay for the new development - expected to finish by mid-2015.

Galaxy has no intention of launching any equity financing, it said.

The second phase will add 450,000 square meters of gross floor area, taking the total to one million sq m and allowing about 500 more gaming tables and 1,000 slot machines to be installed. But Galaxy vice president Francis Lui Yiu-wa, who is also Lui's son, said it has yet to get permission for any addition from the Macau government.

Macau's gaming revenue in the first quarter grew at a slower pace than previous years, but Lui Che-woo is still looking on the bright side. "Macau will develop its entertainment business alongside gaming," he said.

The annex will house two luxury hotels - a 1,100-room JW Marriott and Ritz-Carlton, which will manage 250 suites.

Galaxy shares rose 3.7 percent to HK$23.75 yesterday.


http://www.thestandard.com.hk/news_deta ... 20427&fc=8

[winston]

not vested

DJ MARKET TALK: Galaxy +1.7% Pre-Open; DB's Top Macau Pick

0910 [Dow Jones] At pre-open Galaxy Entertainment (0027.HK) is indicated to rise 1.7% to HK$24.15, only a tad below its all-time high of HK$24.35 set on Apr. 18; the stock already rose 2.7% Thursday on its plan to invest HK$16 billion to double the size of its flagship casino resort in Macau by 2015.

Deutsche Bank thinks Galaxy Macau Phase 2 "adds a visible growth pipeline" for Galaxy beyond 2013; for the near term, it expects Galaxy Macau's margins to steadily improve from 16% in 4Q11 to 20% by 4Q12 given its focus on the premium mass segment, and forecasts Galaxy's FY12 EBITDA to jump 56% on-year, offering the highest growth in the sector.

DB says Galaxy "is our top pick in Macau," and has a Buy call with HK$26.10 target.


Source: Dow Jones Newswire

[winston]

not vested

GALAXY ENT (00027) target lifted to $27 as Galaxy II may add $3.7 to valuation

Morgan Stanley said that amid the Macau gaming market slowdown, GALAXY ENT still maintained growth in the VIP and the mass market. The opening of the Macau Galaxy II in 2015 is expected to add HK$3.7 per share to the valuation.

The Bank raised the EPS forecast by 36% this year, mainly reflecting the Company will render a better-than-expected performance.

The second-quarter EBITDA is estimated to rise 16% quarterly, or 1.25 times yearly, to $2.493 billion. Therefore, the Company is the top pick in the industry, the Bank said, and the target is lifted to $27 with Overweight rating.


Source: AAStocks Financial News

[winston]

not vested

Casino operator Galaxy's H1 net profit jumps to HK$3.45 bln

HONG KONG Aug 27 (Reuters) - Macau casino operator Galaxy Entertainment, posted a forecast-beating HK$3.45 billion ($445 million) in half-year net profit, boosted by a new casino and a steady flow of Chinese visitors, keen to try their luck in the world's largest gambling destination.

That was up from HK$378.3 million in the same period a year ago and above an average forecast of HK$2.8 billion from 5 analysts polled by Reuters.

Galaxy is controlled by Hong Kong property and construction tycoon Lui Che Woo and 13 percent owned by European private equity firm Permira.

Source: Reuters

[winston]

not vested

GALAXY ENT (00027.HK)'s 3Q EBITDA surges 46% to $2.6B

GALAXY ENT (00027.HK) released its unaudited results for the third quarter ended September 30, 2012.

Adjusted EBITDA amounted to HK$2.6 billion, up 46% year-on-year and and rising for the 16th consecutive quarter.

The group's income rose 6% to HK$14 billion while income for the 12 months ended September 30 soared 76% to HK$56.7 billion with adjusted EBITDA up 23% to HK$9.5 billion.

Adjusted EBITDA of Galaxy Macau amounted to HK$1.8 billion, up 81% year-on-year and 12% sequentially, reflecting increase in mass revenue. Revenue increased year-on-year by 30% to HK$8.3 billion as mass revenue grew 79% year-on-year and 10% sequentially.

Achieved annualised return on Investment equaled 42% while hotel occupancy climbed to 97%.

Adjusted EBITDA of StarWorld amounted to HK$843 million, up 8% year-on-year and down 7% sequentially; mass revenue increased year-on-year by 43% and 13% sequentially with achieved ROI being 99%.

As at September 30, cash in hand equaled HK$12.6 billion, of which HK$2 billion is restricted cash. Net cash equaled HK$1.5 billion.


Source: AAStocks Financial News

[winston]

not vested

GALAXY ENT (00027.HK) reiterated Buy with TP held at $32 by Citi

GALAXY ENT (00027.HK)'s overall income for the third quarter amounted to $14.1 billion with adjusted EBITDA reaching $2.6 billion, said Citigroup, which pointed out the adjusted EBITDA margin of Galaxy Macau of 21% topped the broker's estimate of 18%.

As to StarWorld, its business performance was within Citigroup's expectations.

Citigroup foresees Galaxy Macau to lure more customers from the mass market and thus push up its profit margin further.

GALAXY ENT was reiterated at Buy with target held at $32.


Source: AAStocks Financial News

[winston]

not vested

DJ MARKET TALK: Galaxy Down 3.5% Pre-Open; Permira Cashes Out

0923 [Dow Jones] Galaxy Entertainment (0027.HK) is quoted 3.5% lower at HK$27.60 at the pre-open, after the company says in an exchange announcement that Permira sold all its holdings (249.6 million shares or a 5.94% stake) through a placement Wednesday.

UOB KayHian says Permira invested US$850 million for a 20% stake in Galaxy about five years ago, and including the US$900 million in proceeds from the final sale, Permira made a 152% return.

With the placement shares equal to around 17 days of Galaxy's average daily volume, the house believes Galaxy shares are likely to be pressured near term.

Still, it adds "given that we see Galaxy Macau's performance continue to ramp up and there will be no more placement pressure afterwards, we believe any price pressure caused by the placement creates a good entry opportunity for long-term investors who believe in the Cotai development story."


Source: Dow Jones & Company, Inc.

[winston]

vested

DJ Permira Seeks Around $870 Million From Remaining Galaxy Stake - Source

HONG KONG--Private equity firm Permira is selling its remaining 5.94% stake in Galaxy Entertainment Group Ltd. (0027.HK) through a private placement, the Macau casino operator said in a statement Thursday.

Permira hopes to raise around $870 million from the 249.6 million shares, which it is offering at a 4% to 5% discount to Wednesday's closing price of 28.60 Hong Kong dollars (US$3.70) per share, said a person familiar with the matter.

UBS is handling the deal, said people familiar with the sale.


Source: Dow Jones & Company, Inc.