In the United States and numerous industry analysts have reportedly predicted that the recent passing of Sheldon Adelson (pictured) at the age of 87 should have little serious impact on the immediate future of Las Vegas Sands Corporation.
According to a story from CDC Gaming Reports, Adelson died at his home in southern California on Monday night after serving as the Las Vegas-headquartered casino firm’s Chairman and Chief Executive Officer for over 30 years. The Boston-born businessman purportedly established Las Vegas Sands Corporation in 1988 and subsequently grew the company into one of the industry’s major players with aggregated annual revenues regularly in excess of $13 billion.
Adelson reportedly died from complications linked to non-Hodgkin lymphoma only four days after taking medical leave and temporarily placing the President of Las Vegas Sands Corporation, Rob Goldstein, in charge of the entire firm. CDC Gaming Reports predicted that this arrangement will likely remain unchanged over the next few months and cited Carlo Santarelli from Deutsche Bank Securities Incorporated as describing the interim boss as ‘more than simply well equipped’ to oversee the company’s running.
Investors seemed to agree with this sentiment as the news of Adelson’s passing reportedly saw the individual price of the New York-listed firm’s stocks remain almost unchanged at $56.63. This means that the market valuation for Las Vegas Sands Corporation, which runs two gambling-friendly properties in Las Vegas as well as a myriad of analogous venues in the Asian tourist hotspots of Macau and Singapore, remains north of $44 billion.
Goldstein was reportedly appointed to serve as President of Las Vegas Sands Corporation in 2015 after joining the Nevada firm’s ranks some 20 years earlier and fulfilling a number of other senior leadership roles. Morgan Stanley gaming analyst Thomas Allen purportedly pronounced that the 65-year-old may now well become the company’s permanent leader although a member of the wider Adelson family such as Chief Financial Officer Patrick Dumont could also be selected to fill this critical post.
Allen reportedly explained that Dumont is married to Sivan Ochshorn, who is the daughter of Adelson’s second wife, Miriam Adelson, and has recently been increasing his public persona within the company’s leadership team. The analyst furthermore purportedly noted that Adelson directly owned only about 9% of the shares in Las Vegas Sands Corporation with the majority of his family’s 57% interest controlled by his 75-year-old spouse and several associated trusts.
Allen reportedly told CDC Gaming Reports…
“Over time, we would not be surprised to see a member of the Adelson family take over one of these roles, specifically with Chief Financial Officer Patrick Dumont a logical potential candidate.”
Allen reportedly also proclaimed that he does not think Las Vegas Sands Corporation will undergo a ‘meaningful divestiture of stock’ and expects the company’s quarterly dividends, which have been temporarily suspended owing to the ongoing coronavirus pandemic, to be reinstated at below 2019 levels once its associated balance sheet begins showing signs of improvement.
Looking even further into the future and Macquarie Securities gaming analyst Chad Beynon reportedly told the source that he anticipates Las Vegas Sands Corporation remaining focussed ‘on Asian markets including Macau and Japan where the company has cooperation with the local governments’.
Beynon reportedly stated…
Brendan Bussmann, Government Affairs Director for Las Vegas-based consulting enterprise Global Market Advisors, reportedly agreed with this sentiment by detailing that he expects the casino firm to remain focussed on Macau as it works to complete the $2.2 billion transformation of its Sands Cotai Central facility and getting its current gambling concession extended beyond next year’s cut-off.
Bussmann reportedly told CDC Gaming Reports…
“Asia will continue to be the biggest growth opportunity for the company. While there continues to be questions around the Macau concession process, no company has invested more in Cotai than Las Vegas Sands Corporation due in part to the vision Adelson saw for the market.”
However, the Bloomberg news service reportedly explained that Goldstein’s increased influence may have already surfaced as Las Vegas Sands Corporation recently revealed it was in discussions about the possibility of launching a sports wagering business. This would purportedly mark a major shift since the creation of a sportsbetting platform encompassing an online or mobile component would run counter to Adelson’s long-held opposition to all forms of iGaming.
Although for now and David Katz from financial services firm Jefferies reportedly told CDC Gaming Reports that he ‘expects there should be little change in the near term’ with Las Vegas Sands Corporation not changing its current direction or embarking on any major projects.
Reportedly read a statement from Katz…
“The management team [at Las Vegas Sands Corporation is] solid and stable and the operating profile as unquestionably strong.”
Written by Adam Morgan.
View the original article at here.
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