Las Vegas Sands To Offload Sin City Venues
Las Vegas Sands is offloading its Sands Expo and Convention Center as well as its Venetian Resort Las Vegas in a bid it says will enable it to shift its focus to Asian markets. It furthermore confirmed that it had agreed to sell is famous Sin City properties for around $6.25 billion US dollars.
In addition to the offloading of its prime Las Vegas properties, the company will also be officially changing its name to an abbreviated “Sands”. The deal, which was formally announced on Wednesday, will include the offloading of the real estate associated with the assets to real estate investment trust giant VICI Properties. The land and associated assets will be offloaded to VICI Properties in a $4 billion cash deal, confirmed the casino and resorts giant.
Apollo To Acquire Operating Rights
As for the operating rights, these will be divested to an affiliate of funds managed by private equity firm Apollo Global Management. The latter will acquire the operational rights at a price tag of a cool $2.25 billion. Apollo has confirmed that it will be settling its dues in terms of the deal with $1.2 billion in seller financing and the balance to be paid in cash.
The sale of the legendary Venetian is a truly “bittersweet” experience, executives of Las Vegas Sands have said. The Venetian was the pride of and the driving force in the enormous success achieved by the recently deceased casino tycoon and Las Vegas Sands founder, Sheldon Adelson. Even so, Las Vegas Sands CEO and chairman Robert Goldstein has hailed the sale as a new beginning in the company’s history. Still completely focused on grown and expansion, the company now heads into a meaningful future of new opportunities across a variety of fronts, said Goldstein earlier this week.
Asia And Digital Key Focus Areas
Goldstein also reiterated that the newly-dubbed “Sands” would now mainly focus on Macau and Singapore.
Also, while founder Sheldon Adelson had famously resisted an expansion into the world of online gambling for many years, the company now seems very much open to the idea of exploring the possibilities offered by such a migration and shift in focus. Las Vegas Sands COO and President Patrick Dumont spoke openly about the company considering the many possibilities offered by the online gaming landscape, and in particularly as far as the potential for growth in a digital marketplace is concerned.
Expansion into Asia was however a priority for Adelson, who passed away in January aged 87.