My previous post was to update the home page for both GCN and SSI
I repeat
" re: help - we need some top posts to add to the ho Posted 23/05/05 11:46 - 51 reads Posted by alecfra IP 218.214.xxx.xxx Post #108855 - in reply to msg. #108822 - splitview
You asked, so I have this entry..
SSI and GCN to capitalise in China strategy..
Both of these have been maligned by some hotcopperites as their emergence has been slow,but things have changed.....
For a small cap company, GCN has done what Packer and Murdoch would be most envious of, broken into the lwo largest markets of the world, China and India and with powerful partners. No doubt the uniqueness of its technologies and first mover advantage have given GCN the edge in firstly impressing its Chinese and Indian partners, and then enabling GCN to lock in its positions in these lucrative markets. GCN has partnered wih the largest media group in India, Times of India to promote its video services to its 30 to 40 mil customers.
In the business of gaming in China, GCN and its parent SSI are now the ONLY 2 listed stocks in the world that investors around the world can invest in to participate directly in the rapidly growing gaming industry of China, compounding at 33% p.a. The ASX has also beaten the Hong Kong and Singapore exchanges in securing the Chinese gaming stock listing but SSI has done even better in effectively BECOMING that Chinese gaming stock. By the sound of recent announcement last week, SSI appears to have secured a major market share in the Shanghai gaming market. If you care to check out the market cap of Macau gaming stocks, you will realise how BIG they now are, in billion dollars, yet they can only skirt around mainland China while SSI/GCN are right in the heart of China in Shanghai. There is a gold rush going on in Chinese gaming, Packer is in it, Steve Wynn is in it, The Sands Venetian group is in it. But they cannot get to the mother lode, to the heart of China. SSI/GCN are, however, sitting on that mother lode of Chinese gaming!!
Just to show how big the Chinese gaming dollars mean to operators, the first US casino to open in Macau, the Sands Casino, costing US$1.8b was projecting 5 years for cpital payback. They got it back in 5 months, and Macau's turnover is now bigger than Las Vegas. But what about the mainland home market, what sbout Shanghai, what about SSI and GCN's mobile gaming mobile8888 now licensed to China Entertainment Holdings soon to become part of SSI anyway.The Australian market is missing something big here simply because of SSI's history but without GCN's technologies, SSI maight not have done the wonderful deal in transforming itself. What then should GCN/SSI's ultimate enterprise value be, $10 to 20 mil or billions for a major share of the Chinese gaming market?
