Tuesday, December 7, 2010

Las Vegas Sands (NYSE:LVS) Weighing Options Over Macau Land Decision

After having their application rejected by Macau for two plots of land, Las Vegas Sands (NYSE:LVS) is weighing their options as to how to proceed forward, as they have 15 day in order to apply for a government review of the decision.

Canaccord said, "The casino operator's Chinese subsidiary, Sands China, tumbled in overseas trading after the Macau government rejected its application to develop choice land plots. The rejected bid covers the last two parcels of land that the company planned to develop in the world’s biggest casino center. According to a U.S. regulatory filing on Thursday, Sands China has 15 days to apply for a government review, and 30 days to appeal to the courts in Macau to secure sites 7 and 8 on Macau’s Cotai Strip. “The company has received a letter and is considering its options as presented by the government,” said a Las Vegas Sands spokesperson. If Sands China chooses not to seek a review or loses its appeal, the plot would be open for other companies such as SJM Holdings, Asia’s biggest-listed casino operator, to develop. “We believe SJM, MGM (NYSE:MGM) as well as Melco Crown (Nasdaq:MPEL) are likely candidates who will be keen on exploring any opportunities for that site,” noted an analyst at CLSA Asia Pacific Markets in Hong Kong. In particular, SJM’s “management has expressed that it will consider sites opening up in the market including sites 7 and 8,” he wrote. Wynn's (Nasdaq:WYNN) Macau subsidiary could also be interested in the land, but declined to comment."

Las Vegas Sands closed Monday at $49.02, down by $0.22, or 0.45 percent.

1 comment:

Anonymous said...

Just popping in to say nice site.