Some very interesting development in Delta’s Daman casino operations. They have passed a resolution in this AGM to provide 550cr worth of corporate guarantee to their Daman subsidiary which obviously doesn’t need so much funds. It is roughly cash positive so cash requirement is certainly not so high in absence of any big obligation etc. One theory which is going around for sometime that Daman admin which is controlled by the centre was reluctant to approve 1st onshore casino. Delta had claimed that its 5star property is offshore like Goa as it is situated on creek or some kind of water body which was unacceptable.
Now Goa has moved to approve onshore casinos and going ahead with forming rules, it will help Daman admin to move forward on this matter. Hence, Delta is readying to make payment for onetime license fee etc. I can’t confirm but this AGM resolution will raise hopes and speculation. As usual, they say they are ready to launch casino ops within a week post approval. This one approval will create another Goa like revenue potential overnight by roughly doubling casino table capacity with fertile catchment areas of Mumbai/Pune and Gujarat.
Would be interesting to hear from anyone who attended the AGM and heard anything else on this matter.
Disc: covered my shorts and had added more around 230 post Q1 results