Nevada Licensing Authorities Award Five-Year Unrestricted Permit to Aruze Gaming
Aruze Gaming Global Granted Limited Gaming License by Nevada Gaming Commission
Aruze Gaming Global, a manufacturer of slot machines and related gaming equipment, has been granted a five-year gaming license by the Nevada Gaming Commission. This decision comes after a heated discussion among the Commission members, who were concerned about the company's financial status and ongoing legal issues.
The vote for the license was 4-1, with Commission member Rosa Solis-Rainey voting against the license due to questions about the separation of the companies and issues raised in a lawsuit. Commission member Abbi Silver, on the other hand, expressed a desire to see the federal lawsuit play out in court to understand financing from Aruze's brother-in-law.
The license, which is scheduled to expire in July 2030, comes with a five-year restriction on the licenses of Aruze President Linyi (Frank) Feng and Director Tiehui Qiu. Feng, who is also the owner of Aruze, has expressed a willingness to sell his real estate holdings and put those funds into the business.
Empire, a subsidiary of Aruze, is licensed in more than 150 jurisdictions and has placed over 500 units in more than 50 casinos in Nevada. The company, responsible for 2,400 units in Nevada alone, including those previously placed by Aruze Gaming America, employs about 350 people globally.
Aruze has been struggling financially, incurring millions in losses since 2022. However, the company is optimistic about its future, expecting a 50% increase in revenue this year. In 2024, Aruze achieved $50 million in revenue in its first year of operation, a significant leap from the $16 million to $18 million revenues it reported two years ago.
However, the Commission's decision to limit the license duration to five years was influenced by concerns about Aruze's funding history and ties to Hong Kong-based Paradise Entertainment Limited. Paradise Entertainment Limited, in a lawsuit, initially contended that it owned Empire, but later dropped this claim. There are also allegations that Feng allegedly took employees and trade secrets from his brother-in-law to set up Empire, concerns that Commission member Silver has expressed.
Aruze is seeking to raise $30 million for daily operations and future research and development, with a goal to finalize this by the end of the year. The company's ambitions are clear, and they will be closely watched by the Nevada Gaming Commission over the next five years.
The five-year gaming license granted to Aruze Gaming Global allows them to operate in Nevada's casino-and-gambling industry, a sector that Empire, a subsidiary of Aruze, is already prominently involved in, with over 500 units in more than 50 casinos across the state. Despite financial struggles and legal issues, Aruze aspires to increase its revenue by 50% this year and raise $30 million for daily operations and future projects, an ambition that will be under close scrutiny by the Nevada Gaming Commission given their concerns about Aruze's funding history and ties to Paradise Entertainment Limited.
