Wynn Resorts has priced $900 million in senior notes to refinance debt due in 2027. Fitch Ratings expects expansion spending in Macau and the UAE to keep the group’s debt high relative to earnings over the next few years.
Wynn Resorts Finance LLC and Wynn Resorts Capital Corp are issuing the 6.875 percent senior notes due in 2035 through a private offering. The transaction is expected to close on or about September 22nd, subject to customary closing conditions.
Wynn said the proceeds, together with cash on hand, will be provided to Wynn Las Vegas LLC. The funds will be used to redeem its outstanding 5.25 percent senior notes due in 2027 and cover fees and expenses associated with the transactions.
Fitch assigned the new notes a ‘BB-’ long-term rating and an ‘RR4’ recovery rating. The agency described the refinancing as ‘leverage neutral,’ meaning it replaces existing borrowing rather than directly funding new expansion.
However, Fitch expects the group’s debt relative to operating earnings to increase to 6.0 times in 2026 from 5.8 times in 2025. It attributed the increase to funding requirements for Wynn Al Marjan Island in the UAE and expansion work at Wynn Palace in Macau.
Fitch said Wynn’s ratings were supported by its ‘high-quality gaming portfolio,’ strong positions in Macau and Las Vegas, and ample liquidity. These strengths are balanced by limited diversification and sizable capital requirements that ‘could slow credit improvement,’ it added.
The agency expects Wynn’s debt pressure to remain near the upper end of its downgrade thresholds over the next few years before easing after the projects are completed.
For Macau, Fitch forecasts mid-single-digit EBITDA growth in 2026, followed by modest growth through 2029. It cited uncertainty surrounding the Chinese economy and continued promotional pressure in the market.
Wynn holds a 40 percent stake in the $5.7 billion Al Marjan project, which is scheduled to open in September 2027. Fitch expects the development to support the group’s credit profile after opening, although it also noted cost, timing and demand risks.
