Las Vegas Sands Corp, a famed global betting company that was created by billionaire Sheldon Adelson, is exiting the Las Vegas gambling market and selling its two Sin City casinos, fetching over $6 billion. You don’t have to worry about online casinos changing owners, sites like Cookie Casino always maintain the same playing conditions for their users.
Two investment companies have brokered a partnership and purchased the mega 7000 room casino the Venetian located on the famous strip and the Sands Expo and Convention Center, right around the corner. Apollo Management is coughing up $2.3 billion to take over the gambling and resort operation, while Vici Properties is splurging $4 billion for control over the real estate.
These two private equity companies believe it is the perfect time to bet big on Las Vegas after the gambling town has suffered a serious contraction following Coronavirus restrictions, following a bold buy the blood strategy.
Both firms expect Sin City to fully reopen for visitors from all over the world once the vaccine is rolled out and the country is fully reopened. They expect record numbers of Americans to once again flood the city and spend big.
Why Did Las Vegas Sands Sell Its US Casinos?
The company has decided to sell its US casinos as they want to invest more financial resources into Asia, which they see as a booming market with higher growth rates. They see emerging markets, for example, Thailand, as being more profitable compared to the mature US market.
The newly appointed director said the Venetian altered the casino world and really ushered in the mega-casino resort era that offered customers everything from leisure to betting. They forced other companies to lift their game, taking the industry to new heights.
Before Sands Corp’s founder’s death, they were contemplating selling the American resorts. In 2019/2020, the Las Vegas properties were only generating 13% of their profit. On the contrary, the casinos in Macau and Singapore were making the majority of their profit.
The management of the company said that even though the selling will be “bittersweet”, the new company has unlimited possibilities to grow and prosper in the Asian market. The industry is constantly developing, and it is crucial not to miss the greatest opportunities out there.
Going forward, this company will simply be known as Sands Corp after dropping the Las Vegas titles, following the sale of their Vegas casinos, highlighting the decline in the prominence of the US gambling city.
The retirement from Sin City by one of the best betting operators in the world signifies a changing shift in the dynamics of the worldwide gambling market. The experts see Asia continuing to develop and eventually surpassing the US. We can expect more casino operators to follow Sand Corp’s move.