Genting already owns 20 per cent of Stanley Leisure, but is thought to have made an improved offer for the company, which boasts an estate of 45 casinos.
Stanley operates Castle Casino on Queens Promenade, Blackpool, and another at the Island seafront complex in St Annes.
Shares in Stanley soared by almost a fifth on Monday to value the firm at £570m after it said it had received "a proposal concerning a possible offer which the board is currently evaluating".
The stock rose another three per cent yesterday when news of the possible Genting interest broke.
Genting also owns 29.7 per cent of London Clubs International (LCI), which last week agreed to a takeover by Las Vegas-based gaming group Harrah's Entertainment – one of the companies vying to open a super casino in Blackpool.
Stanley and LCI had been in merger talks of their own, but these collapsed because of the £280m offer from Harrah's.
Consolidation of the industry has been on the cards in the UK since the shake-up of gaming laws paved the way for international operators to run new super casinos proposed by the government.
Reports last month said Harrah's wanted to buy both London Clubs and Stanley Leisure.
Stanley sold off its betting shops to William Hill in May for £504m.
The company said it planned to use the cash to refurbish a number of its casinos nationwide.
Stanley has lodged applications for five new licences under the existing gaming Act and has a further nine casinos where it is exploring the potential to extend or relocate.
Initial speculation had linked Rank Group to the approach, as the two companies are set to be the only listed gaming firms remaining in the UK.
Rank is concentrating more heavily on gaming and is considering the sale of its Hard Rock Cafe business.