LVS turns to Singapore and other parts of Asia after the sale of its Las Vegas assets. Vegas is unarguably one of the most popular resort cities for the longest time, but more are beginning to spring forth in different parts of the world. Nonetheless, most like the ones in Singapore are still a far cry from is obtainable in that part of Nevada. The above is not to under-emphasize the growth in the casino sector of the country.
This part of Asia has always had a great interest in sports and online gaming. Since the prevalence of the sector in 2006, several casino resorts in Malaysia have been attracting visits from different parts of the world. So, it is no surprise that the casino group LVS Corp is looking forward to investing in Singapore. This consideration is off the back of selling their Nevada assets some time ago, as disclosed by the president of LVS in a forum. This sale would go for $6.25 billion.
No New Name Planned by LVG
LVG is no new name in South East Asia or even the far East as it has outfits in China, Singapore, etc. The president made it clear that LVS is keying into the impressive profile of the Singaporean market. This new investment will also involve expanding their preexisting asset, Marina Bay Sands, located in Singapore. About $3.3 billion will go into the expansion to get an extension of the gaming rights.
The expansion will involve constructing another tower to the other three alongside a 15,000 capacity centre and a luxury hotel. The groundbreaking hotel will feature 1,000 rooms and a sky roof. This expansion is a way to make the Marina Bay Sands very competitive and even more relevant in the future.
The future of Las Vegas Sands in Macau
Aside from Singapore, Las Vegas Sands is also looking towards reinvestment in Macau. Leaving a popular site like Las Vegas for these Asian countries might not sound the most logical, but the Chairman did reveal that the ROI is higher in these parts of Asia than in Las Vegas. Although he didn’t go any further, several factors can give credence to the statement. These factors include tax, cost of operation, licensing, etc.
However, the Chairman has also declared the commitment to invest more dollars in the business just the way the Macau government wants. This might be part of the requirement from the government for the renewal of their gaming license, which expires in June 2022. If all goes as plans or even better, Las Vegas Sands might be looking at developing new properties in Macau.
Mr Goldstein said:
“We don’t worry about Macau license issues. We have full confidence in our Macau license, and I think we will continue to be in Macau for many decades to come”
More Casino May Be Set Up In The Future
They might not be allowed to set up more casinos as new projects might have to be non-gaming. The CEO, Mr. Goldstein made it clear that such projects are in the works and plans.
The sale of such a lofty investment like the one in Las Vegas is an opportunity for the company to explore other parts of the world for better opportunities. Although the company did pull out of Japan some years ago, there is a new wave of business opportunities that LVS cannot afford to leave untapped.