Orix Corporation, MGM Resorts International’s principal Japanese partner in the Osaka integrated resort project, has positioned the development as a physical asset supported by long-term demand and capable of generating stable cash flows.
The two companies are jointly developing the casino resort on Yumeshima island in Osaka. Orix includes the project within its Infrastructure Business Unit, alongside environment and energy, aircraft and ships, real estate and public infrastructure.
Although the businesses operate in different sectors, they share a focus on identifying investment opportunities, enhancing asset value and improving profitability through operations, Infrastructure Business Unit Chief Operating Officer Shuji Irie said in official material published on September 4th.
Irie said the unit was established to combine the knowledge, personnel and investment expertise developed across the businesses, creating a unified infrastructure platform to support growth.
Orix is also seeking to expand its asset management operations by drawing on external investor capital instead of relying solely on its own balance sheet.
Under the approach, Orix would originate projects, attract outside capital and seek to increase their value through operations and other initiatives. Irie said this would allow the group to pursue more investment opportunities and accelerate business expansion.
The company does not intend to expand indiscriminately into unfamiliar sectors. Instead, it plans to target adjacent areas where it can apply its existing capabilities.
Irie identified the Osaka IR as ‘one such example,’ saying Orix was combining its experience in physical-asset investment, business operations and collaboration with partners to create new long-term value.
