A powerful alliance in the world of luxury entertainment has been solidified. MGM Resorts International and MGM China Holdings have forged a new, long-term branding agreement, signaling a deepened commitment to the vibrant Macau market and a future built on mutual success.
This isn’t a short-term arrangement; the deal takes effect January 1, 2026, and is intrinsically linked to Macau’s gaming concessions, currently set to run through 2032. Should Macau extend those concessions – a likely scenario – this agreement automatically extends alongside them, providing stability through 2045.
The renewed partnership comes with adjusted financial terms. MGM China will increase its monthly license fee to 3.5% of its adjusted consolidated net monthly revenue, a significant jump from the previous 1.75%. This fee, carefully calibrated and capped in accordance with Hong Kong Stock Exchange regulations, will largely benefit MGM Resorts, receiving approximately two-thirds of the total.
One of the most impactful changes is the elimination of periodic renegotiations. Previously, the branding agreement required revisiting every three years. Now, MGM China gains long-term brand consistency, while MGM Resorts secures a predictable stream of revenue for its invaluable brand recognition.
The value of that brand is demonstrably clear. MGM China has experienced remarkable growth, surging from a roughly 9% market share before the pandemic to an impressive 16% as of September 30th. This expansion underscores the power of the MGM name in attracting a discerning clientele.
The announcement follows a strong third-quarter performance for MGM Resorts, reporting $4.3 billion in consolidated net revenue – a 2% increase year-over-year. Much of this success can be directly attributed to the exceptional results coming from its Macau operations.
MGM China itself achieved record third-quarter adjusted EBITDAR and captured a 15.5% market share, demonstrating sustained momentum within the competitive Macau landscape. This positive trajectory highlights the effectiveness of the partnership and the growing appeal of its offerings.
While consolidated adjusted EBITDA for MGM Resorts experienced a slight dip to $506 million compared to $574 million the previous year, the overall picture remains optimistic, fueled by the robust performance of MGM China. Leadership emphasized the benefits of operational scale and diversity in driving continued growth.
Further bolstering its financial foundation, MGM China completed a $3 billion refinancing in July, establishing a new rolling credit facility for its Macau operations. This strategic move reinforces the company’s stability and positions it for continued investment and expansion.
