Thank you for the post. Any insight on key man risk ? Not sure if anyone else will be as passionate about the business as Mr Jaydev Mody. Plus the nature of the business calls for good political connection.
It will be interesting to see how Goa Government as well as local public see the option of land based casinos in this crisis situation. Same applies to Daman where grant of license will result in regular fee income and improve tourism.
Key man risk is quite high. As Jaydeb is instrumental in pushing the business. But that is true for many businesses.
Unknown for me is:
Plus Delta was weak even in Janurary as revenue growth was subdued.
Vacation and more so casino is lease essential and so will be the last of the sector to revive and that to post vaccine availablity.
These are not easy answers
Disclaimer - Educaitonal post. No position.
Delta Corp casually skipped doing their earnings call for year end at the point of maximum uncertainty for the business.
Will they skip publishing results for June since their casinos are shut the entire quarter? 
Here are my 2 cents on Delta corp
As we are in an unpredictable situation and donāt know when situation will situation will normalize. Casinos will be the last to open. Q1 will show the actual picture because that will be purely online revenues plus some hotel which are opened after 8th June.
Here is what I have been observing lately.
To promote online business,I have seen delta promoting adda52 on many platforms including flipkart. It is trying to attract customers,which ideally it should have done earlier.I was seeing many poker, rummy apps promoting themselves from long time but not adda52. Now it is shown everywhere as an add pop up. now delta is promoting too. Giving free real 100 chips to new users to play. It will addict more customers. Once situation normalizes(I donāt know when) and offline casinos open then delta will see higher revenues as compared to before covid even if nothing new development come. Investing in delta is also like a gamble. Anything can happen anytime. Daman, land policy comes and it sky rockets. On the other side, loss of Jalesh cruise business (which was mentioned as non-recoverable amount in q4 results). Plus regulatory business makes it vulnerable. Management is mediocre as per all the concalls I have heard in last 4 years. What if casinos not open for 3-4 more quarters. Will it be able to survive with the cash in hand and continuous expenses. Itās high cash is one big hope for me. I will sit on the sidelines watching every quarter results and offline casinos opening situation.
Disc: Not invested but watching keenly.
casinos require the same social distancing norms required for malls, multiplexes, hotels, trains, airplanes , so if govt starts opening all these slowly i dont think so that casinos will be sidelined for 3-4 quarters.
Also they can have tighter checks at entries which they normally have for casinos at entry points
Also need to find out what the international casinos doing, are they still shut or they are open and what safety norms they are following which can be replicated in india.
The positive thing is that it is debt free and no interest payments due.
Las Vegas has opened some casinos but they are not seeing the crowd as per latest update. They are sanitising it and following all safety norms but still very less crowd. If las - vegas is facing this situation, then Indian casinos will face more than them. Definition of casino in India is different than las-vegas. Itās a sin business here. Goa being a tourist place and Indian regulations will be a tough task for delta to prosper soon . It is at a very lucrative price but still I will wait for news of Casinos to open on Goa.
There are more than 100 casinos in Las Vegas compared to the 6 in Goa (proper ones). And there are only two premium ones in Goa. We will also have to see what kind of impact the shut down has on GoldenGlobe (Big Daddy) and Pride.
A few other possibilities:
What do you think?
Could be. We canāt say.
From the outside it looks as a great cash cow business which I would love to invest, but I keep getting these things.
Can these points be considered as corporate governance issues?
The pledge could have been made because the share price has fallen a lotā¦ and they would need to issue more collateral.
Dream11 winning the bid for IPL. Could have been a huge opportunity for HalaPlay/Adda52. But donāt see the management to be very aggressive. Thoughts?
HalaPlay not a major player in Cricket Games unlike Dream11 the largest in Cricket and has PE cash to throw around (of course IPLās is a good fit for them)
minor info related to fantasy gaming apps.
discl - invested in delta corp.
Sikkim also starting i think from Nov
Not sure how much AP is contributing to revenue but other states could follow.
I have invested with 1 year duration i.e. by next year tourism in goa could be at normal level.
Discl - invested.
Any one know more about this ? looks like first time this event is happening online and Adda52 got the contract.
