Some of the most popular pachinko companies have expressed their willingness to expand their business and become available on markets outside Japan. They are looking to reach agreements with Hong Kong-based companies in particular and their top priority is to compensate for the losses they experience on the markets in their native country.
According to the information released by reliable sources, four pachinko providers are eager to use the stock exchange in Hong Kong for generating higher revenues.
Shenyin Wanguo was hired by Niraku Corp. as Niraku’s managers believed this will help them raise around $75 million by December 2015.
Palazzo Tokyo Plaza Group, however, is now expected to achieve such an accomplishment by the end of the next year. It can eventually be listed in 2016 but company’s representative was reluctant to provide any additional information.
As far as Sega Sammy Holdings Inc. and Dynam Japan Holdings Co. are concerned, both of them are regarded as thriving companies that have already gained a wide recognition on the Japanese market. What is more, both pachinko companies have entered several foreign markets.
Dynam Japan Holdings Co. invested a considerable amount of money in Macau Legend Development two years ago. According to managers’ plan, Dynam is going to provide one of the Macau Legend’s casinos with pachinko machines as soon as their request is approved by the gaming regulators. In case they are given the green light to install their machines in Macau, that will be one of the few occasions when these “uniquely Japanese” machines are installed in China.
As for Sega Sammy Holdings, company has taken some actions towards expanding its business as well. One of Sega’s latest ventures is the establishment of an impressive casino resort in South Korea. Sega is going to work in collaboration with Paradise Co.
As a matter of fact, the number of pachinko operators eager to provide products and services on the foreign gambling markets is expected to increase. Everything depends on the interest generated by smaller companies like Niraku and Palazzo through the initial public offering.
Japanese pachinko operators have one more issue that is considered to be a serious setback for entering overseas markets. It is common knowledge that foreign operators have always been suspicious towards pachinko providers. They usually associate them with organized crimes.
The stock exchange even asked Dynam managers to provide paperwork that can serve as a convincing proof that the company is not linked to organized crimes in Japan. The deal was even delayed for a few weeks until officials acquainted themselves with the documents and figured out that Dynam has nothing to do with any crimes.
