- »Got $6 Billion Spare? You Could Buy Las Vegas Sands
Got $6 Billion Spare? You Could Buy Las Vegas Sands
Las Vegas Sands is the world’s largest casino company and it could be yours for $6 billion. Sheldon Adelson is ready to offload his Las Vegas casinos if the circulating reports are true. It would be the end of an era if Las Vegas Sands leaves Nevada, but it could be good news for online gambling in the United States.
Venetian Resort, the Palazzo, and the Sands Expo Convention Center make up Las Vegas Sands Nevada portfolio. All three are up for grabs for what is believed to be a fee in the region of $6 billion.
A Las Vegas Sands representative confirmed to Bloomberg sale discussions are underway. They are, however, in the very early stages and the potential buyer chooses to remain anonymous.
Adelson is the company’s 83-year-old multi-billionaire owner who calls himself a patriotic American. Him even considering leaving the United States is unthinkable, but it is happening. Adelson is worth almost $30 billion so doesn’t need the money talked about. He also doesn’t need the headache running a Las Vegas casino empire creates for him.
Las Vegas Sands Makes Most of its Money in Asia
The trio of Nevada properties Las Vegas Sands owns make a lot of money. The revenues generated, however, are nothing compared to its Asian operations. Only 15% of the company’s massive revenues stem from its Las Vegas operations.
Macau makes up 63% of Las Vegas Sands revenue, with Singapore generating 22%. Of course, the current landscape is much different and the company posted a $985 million loss for the last quarter. This is huge in its own right, but consider the company made $1.1 billion in the same quarter last year.
The U.S. market only accounted for slightly more than 13% of the group’s revenue in 2019.
Ben Lee is a managing partner at IGamiX. He explained why now is the time for Adelson to sell Las Vegas Sands’ U.S. businesses.
“The growing insignificance of the U.S. market explains to you why Las Vegas Sands is looking to offload their U.S. properties. It is 15% of revenue but 80% of regulatory pain and burden.”
Las Vegas Sands is already committed to spending $2.2 billion in Macau alone.
Adelson may not be leaving the United States entirely. Rumors suggest Nevada will still be the company’s headquarters. He also has dreams of building and opening a casino resort in New York.
Why Is The Sale Good For Online Gambling in the United States?
The billionaire entrepreneur is not scared of ploughing money into initiatives he believes in. He recently spent $75 million supporting a campaign against Joe Biden’s big to become President of the United States. Adelson is a major opponent to online gambling. He despises it, in fact.
Adelson founded the Coalition to Stop Internet Gambling in 2013. He’s financed its campaigns since the same year. He hit the headlines in 2014 when an interview showed how anti-gambling Adelson is.
“He hates email, doesn’t text, and want to stop you betting online” the byline read.
The same interview revealed Adelson is scared of tech giants Google and Facebook entering the gambling world.
“They’ll come in there, they’ll squash the other guys like you squash the little ant running across the table or floor and that’s going to be the end of it all.”
Some of Adelson’s rants about online gambling are completely unfounded. The Las Vegas Sands head honcho claimed terrorists use online gambling to launder money. He was shown some of the security measures online gambling companies employ. Adelson said it was “all bulls**t.”
It’s difficult to ignore a man who has $30 billion and who is willing to spend it. He spent more than $100 million in 2012 trying to oust President Barack Obama. Millions more dollars were spent fighting the legalization of marijuana. Perhaps, just perhaps, him focussing on Asia will clear the path for fully regulated online gambling in the U.S.