Sands sells The Venetian, leaves Las Vegas and focuses on Asia
as Vegas Sands Corp. is selling its two Las Vegas properties, The Venetian Resort and the Sands Expo and Convention Center, in a $6.25 billion deal.
Apollo Global Management and Vici Properties are partnering to buy both properties. Private equity firm Apollo is paying $2.25 billion for Venetian’s operating company and Vici is buying the land and real estate assets for the remaining $4 billion.
Apollo said the purchase is a major bet on Las Vegas, which has seen its tourism numbers and conference business drastically decline over the past year because of the pandemic. “This investment also underscores our conviction in a strong recovery for Las Vegas as vaccines usher in a reopening of leisure and travel in the United States and across the world,” it said.
Las Vegas Sands is shortening its name to Sands as a result of leaving Las Vegas. In a press release, Adelson’s company said the change is “bittersweet” and will help it focus on faster-growing markets, such as Asia. “The Venetian changed the face of future casino development and cemented Sheldon Adelson’s legacy as one of the most influential people in the history of the gaming and hospitality industry,” said Sands CEO and Chairman Robert Goldstein. “This company is focused on growth, and we see meaningful opportunities on a variety of fronts. Asia remains the backbone of this company and our developments in Macao and Singapore are the center of our attention. We will always look for ways to reinvest in our properties and those communities. There are also potential development opportunities domestically, where we believe significant capital investment will provide a substantial benefit to those jurisdictions while also producing very strong returns for the company.”
“Our long-held strategy of reinvesting in our Asian operations and returning capital to our shareholders will be enhanced through this transaction. Additionally, as our industry continues to evolve, particularly as it relates to the digital marketplace, we are committed to exploring those possibilities,” said Patrick Dumont, the company’s President and Chief Operating Officer.
There were multiple reports that Adelson was considering selling his Las Vegas properties prior to his January death. Sands US properties accounted for just over 13% of its revenue in 2019, with its properties in Singapore and Macau becoming the major money makers.
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