Las Vegas Sands plans to sell $ 6 billion in Vegas casinos – source

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(Reuters) – Casino operator Las Vegas Sands Corp is considering selling its flagship casinos in Las Vegas for around $ 6 billion, a source told Reuters on Monday, the move likely marking the exit of the group chairman from the group. American gambling industry. for the moment.

FILE PHOTO: The Las Vegas Sands Corp logo is pictured at the Japan IR EXPO in Yokohama, Japan January 29, 2020. REUTERS / Kim Kyung-Hoon / File photo

The properties included in the potential sale are the Sands Expo Convention Center, the Venetian Resort Las Vegas and the Palazzo, the source added, asking not to be identified.

A potential sale of the Las Vegas properties will focus the company’s casino portfolio entirely in Macau and Singapore.

Bloomberg earlier reported that Las Vegas Sands was working with an advisor to solicit interest from potential suitors, with a company official quoted by the outlet as confirming that there had been preliminary discussions about a sale and nothing had happened. been finalized.

In May, Sands ended plans to open an integrated resort casino in Japan without providing a reason for canceling the project.

The gaming industry, which thrives on air travel and large groups of people nearby, is one of the industries hardest hit amid the ongoing COVID-19 pandemic.

As of June 30, the company had total debt of $ 13.82 billion, excluding finance leases.

Group chief executive officer Sheldon Adelson said in the second quarter that a “recovery process from the COVID-19 pandemic in each of our markets is underway.”

The company reported a third quarter loss of 74 cents on revenue of $ 586 million. Revenues fell 82% from the previous year.

In August, the rating agency Fitch Ratings revised the company’s outlook from “negative” to “stable” due to market conditions induced by the pandemic.

Fitch said at the time that the near-term outlook for the group’s business remained “bleak” and “dull” in Las Vegas.

Reporting by Aishwarya Nair and Kanishka Singh in Bengaluru; Editing by Stephen Coates and Krishna Chandra Eluri

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