Even though the decree on sports betting has continued to be delayed, South Korean firm G.O. Max I&D still shows its determination in developing the horse racecourse in the northern province of Vinh Phuc by signing a Memorandum of Understanding with the provincial leadership.
The signing ceremony was organised on December 27 with the participation of representatives of G.O. Max I&D and the Vinh Phuc People’s Committee.
In 2005, G.O. Max proposed the project to Vinh Phuc authorities with the total investment capital of $570 million, but due to a lacking legal framework for betting in Vietnam it fell through. It was assumed that G.O. Max would give up, however, recent information suggests that the government is considering the decree again so G.O. Max is back.
On their return, the company will expand the scale of the project by increasing the investment capital to $1.5 billion.
The horse racing course will have an area of 200 hectares and will hold three races per week. In addition, G.O. Max will build 70 betting points outside the course in 54 cities and provinces nationwide, as well as an online betting system and horse rearing and training areas.
Along with the horse racing course, the project is going to include a 72-hole golf course, a sports and entertainment area, a horse riding and polo club, residences, and villas, with a total area of 750 hectares.
85 per cent of the capital will be mobilised from partners and financial investors. The project is set to begin operation 36 months after the start of construction. It expects a revenue of $972 million per year in the first five years and plans to contribute $100 million per year to the state budget.
G.O. Max is the biggest horse racecourse ever proposed in Vietnam-larger than the one planned for Hanoi by the joint venture between South Korean Global Consultant Network and Hanoi Tourist, with the total investment capital of $500 million.