MGM Resorts International closed a new branding agreement with MGM China Holdings yesterday. The deal covers naming rights for MGM China’s Macau properties through the end of 2032.
MGM Resorts owns 55.95% of MGM China. Pansy Ho Chiu King holds another 22.49% as the second-largest shareholder. The licensing arrangement runs through MGM Branding, a British Virgin Islands entity they jointly control.
MGM China operates two integrated resorts in Macau. MGM Macau sits on the peninsula while MGM Cotai opened more recently.
Why This Agreement Changes the Game
The new terms double MGM China’s monthly licensing fee from 1.75% to 3.5% of adjusted net revenues. That’s a significant jump. MGM Resorts will receive roughly 66.6% of those payments.
But MGM China’s market performance explains why they’re willing to pay more. The company’s market share has nearly doubled since before Covid-19, jumping from around 9% to roughly 16% through September 2025.
The deal also removes a major headache. Previously, both parties had to renegotiate branding terms every three years. Now they’ve locked in terms through the entire gaming concession period. MGM China called the brand its most important intangible asset after the gaming concession itself.
What the Agreement Includes
The new deal kicks in January 1, 2026. It grants MGM China rights to use the MGM name, the MGM Grand designation, and the MGM lion logo. Domain names and other MGM-related trademarks are included too.
Fees stay subject to an annual cap based on business volumes. This meets Hong Kong Stock Exchange requirements, and there’s a built-in extension clause. If MGM China gets a new gaming concession after 2032, the branding agreement automatically extends through December 31, 2045.
How This Reshapes Macau Operations
MGM China now has brand security through at least 2032, matching its current gaming concession timeline. The company won that 10-year concession in November 2022.
The higher licensing fee reflects MGM China’s stronger market position. Revenue growth has easily outpaced the doubling of brand payments.
Removing the three-year renegotiation cycle gives both sides planning certainty. That’s valuable when you’re running billion-dollar resort operations.
MGM China also just appointed Kenneth Xiaofeng Feng as its new CEO. Feng previously served as president. The timing aligns with this major brand agreement and the company’s push to maintain its market share gains.
The deal replaces the original 2011 branding agreement, which expires at year-end.
