The under-construction Genting Highlands Malaysia outdoor theme park is likely to face cost overruns as the opening date gets set, according to a financial firm.
The Genting Malaysia 26-acre theme park is to be built near Resorts World Genting. That is a large casino resort close to Kuala Lumpur.
Genting Malaysia expects to incur more capex to complete the outdoor theme park, in addition to the capex to date of approximately MYR3 billion [US$717 million], but has not quantified how much yet,” analyst Samuel Yin Shao Yang said in the memo.
When complete, the theme park will employ about 1,100 workers. Some 40 percent of them are already hired.
As envisioned, much of the theme park will open during Q3 of 2020. Twenty of the 25 rides are likely to be operating and tested by then.
It is expected that the 20 rides themes will relate to films associated with 20th Century Fox. The five other rides may use themes affiliated with studios beyond Fox. It remains unknown which films or characters may be highlighted.
Because non-Fox themes will be used, the theme park will not keep its prior name, 20th Century Fox World, Yin explained.
Portions of Fox were recently acquired by the Walt Disney Company. Disney would like to use Fox-themed attractions for its own parks.
Also, Disney generally does not like to associate its theme parks with gambling. Disney owns such globally recognized theme parks as Walt Disney World Resort, Disneyland Resort, and Disneyland Paris.
In July, litigation between Genting and Fox/Disney was settled. Court disputes began in November, when Genting sued Fox and Disney in California federal court for breach of contract. The lawsuit was for more than $1 billion.
Fox allegedly backed away from allowing Genting to use Fox’s brands for the park’s rides and attractions. The change of mind by Fox executives was allegedly because of pressure from Disney.