Asian casino operator Donaco International has cut its ties with junket operator Heng Sheng Group less than six months after the companies started working together.
Donaco released its fiscal H1 earnings report on Wednesday, which included the revelation that the company had terminated its agreement with Heng Sheng in January. Donaco said arrangements for the international VIP gaming room at its flagship Star Vegas Resort & Club in Poipet, Cambodia were “currently being restructured.”
Donaco and Heng Sheng struck a deal last August to steer VIPs to Star Vegas and Heng Sheng’s VIP room officially launched last September. Donaco now says that Heng Sheng’s exclusivity for certain countries and territories prevented Donaco from working with other junkets, so the decision was made to restructure.
Donaco says negotiations with international junkets are “well advanced” and “significant numbers of new players” would be visiting Star Vegas in the coming months. Donaco said that its costs associated with the launch of the VIP room have been fully recovered.