Shares in Malaysia’s gaming-to-plantations conglomerate Genting Bhd declined as much as 3.06 percent on the possibility of a hike in gaming taxes when the country's budget for the next year is

unveiled on Oct 25.

Shares in the group’s gaming unit, Genting Malaysia Bhd, fell as much as 6.19 percent. The two counters were the worst performers among the 30 stocks in the benchmark key index.

Shares in Genting were trading 2.66 percent lower at 0700GMT, while Genting Malaysia shares were down 4.82 percent. The benchmark key index was 0.22 percent lower.

The impact of a potential casino tax hike in Malaysia on Genting’s earnings would likely be muted given its relatively more diversified earnings, RHB Research said in a note dated Sept 17.

The research house reiterated its “neutral” recommendation on Malaysia's gaming sector, with potential earnings downgrades on all three gaming stocks under its coverage, should the

widely-speculated gaming tax hike materialise.

The three counters under its coverage are Genting, Genting Malaysia and number forecast operator Magnum Bhd.

- Reuters