Two of Macau’s leading operators are looking for cash to fund expansion projects and new properties.
Las Vegas Sands Corp. is said to be looking for $7 billion in loans for expansion and refinancing of projects in Macau. The final loan amount might be lower depending on investor response.
Whatever amount is raised would help with the estimated $12 billion LVS will spend on its planned 20,000 hotel rooms and multiple casinos in Macau. The cash might also go to replace $3.3 billion in loans from 2006 used to build the Venetian Macao.
LVS had a first-quarter net loss of $11.2 million compared with net income of $90.9 million in the same period last year.
Wynn Resorts, meanwhile, is said to be pursuing a secondary public offering that would raise up to $3 billion to finance construction of a new property in Macau’s Cotai region.
Wynn Resorts has hired UBS, Deutsche Bank and Morgan Stanley to coordinate the Hong Kong listing, which most likely would be the largest initial public offering in the city this year if successful.
Wynn announced the new resort plan last fall. The resort would be built just east of Melco Crown’s City of Dreams and would include a 1,500- to 2,000-room all-suite “villa hotel” and casino, built on a 52-acre plot.
Some analysts are skeptical of more Macau developments, but the SJM IPO completed last month was a huge success.