Border Curbs Hit Donaco’s Star Vegas Casino Traffic

Southeast Asian casino operator Donaco International Limited has reported a sharp decline in activity at its Star Vegas casino in Poipet, Cambodia, as a consequence of the latest border restrictions imposed by Thailand. 

The changes are the result of a brief military conflict on May 28, tied to longstanding territorial disputes between the two countries.

Non-Essential Travel, Banned

In response to the conflict, the Thai government decided to cut border crossing hours and ban Thai nationals from crossing the border for non-essential travel, with special emphasis on tourism and gambling trips to casinos like Star Vegas in border towns.

Since these restrictions have been in place for more than a week, Donaco revealed on Monday that Star Vegas has experienced a 62% drop in average daily visitors and a 42% fall in hotel occupancy. 

These declines are anticipated to negatively affect the casino’s profits for June.

Donaco spoke about the ongoing uncertainty, acknowledging the fact that both governments “have expressed a commitment to resolving the border tensions”. 

At the same time, the operator highlighted that the bilateral talks that were held on June 14 failed to “ultimately result in a resolution.”

The operator added that, despite the “relatively calm” situation, the “underlying disputes persist,” and the Thai government keeps imposing measures that impact cross-border movements.

The fresh disruption further showcases the large number of Thai gamblers who choose to cross into Cambodia to visit casinos, in the context of Thailand debating the legalization of casino gambling within its own borders.

Last month, MGM International’s president of global development, Ed Bowers, expressed his view that Thailand could become Asia’s top destination for integrated resort investments. 

Possible Long-Term Effects

Donaco, which also runs the Aristo International Hotel in northern Vietnam near the Chinese border, had previously reported an average headcount of 928 players during the March 2025 quarter. 

The latest figures mark a stark contrast and point to the immediate effect of geopolitical tensions on casino operations in the region.

The Asian leisure and hospitality company that runs casino and hotel operations across six countries will continue to monitor the developments that could bring potential long-term effects closely.

The Star Vegas casino, a key revenue driver for Donaco, is now navigating these challenges amidst the broader political backdrop. Donaco International Limited’s shares trade with a current market capitalization of A$50.6 million ($33.78 million), and despite recent setbacks, technical indicators still show a “Buy” sentiment.