SINGAPORE (Apr 8): The planned expansion of both Marina Bay Sands (MBS) and Resorts World Sentosa (RWS) has created a lot of buzz. Visitor arrivals are expected to grow and the multiplier effect will be more pronounced.

Neel Sinha, Singapore head of research at Maybank Kim Eng, calls the $9 billion expenditure by the two integrated resorts (IRs) “a material amount”. He sees a two-phase trickle-down effect. The first is during the construction, when construction companies stand to gain. The second phase, when the expansion is completed, will bring about a commensurate increase in visitor volume and spending.

Among the obvious potential beneficiaries are construction companies. Sinha recalls that some construction companies, such as Yongnam Holdings and Tat Hong Holdings (which has since been privatised), chalked up record earnings and share price gains around a decade ago when the two IRs were being built.

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