M&A: Global gaming mogul Dr Miriam Adelson to pursue sports franchise acquisition

Lea Hogg December 1, 2023

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M&A: Global gaming mogul Dr Miriam Adelson to pursue sports franchise acquisition

Dr. Miriam Adelson, the high-profile majority shareholder of Las Vegas Sands Corp, is set to divest US$ 2 billion worth of her shares—equivalent to approximately 10 percent of her stake. This substantial share sale aims to facilitate her acquisition of a professional sports franchise, a venture that aligns with her evolving business interests.

Las Vegas Sands Corp (LVS), renowned for its global gaming presence, including Singapore’s iconic Marina Bay Sands and a controlling interest in Macau’s Sands China Ltd, officially disclosed the proposed secondary public offering by Dr. Adelson and The Miriam Adelson Trust. While LVS clarified that it won’t be receiving any proceeds from the share sale, the company does plan to repurchase up to US$ 250 million of the offered shares. This move is part of LVS’s broader initiative to buy back a total of US $2 billion of its own shares by 2025.

Adelson’s share in LVS is worth $20 billion

The prospectus reveals that LVS anticipates acquiring 5,148,270 shares at a price of US $ 48.56 per share. Moreover, the company stated, “We have been advised by the Selling Stockholders that they currently intend to use the net proceeds from this offering, along with additional cash on hand, to fund the purchase of a majority interest in a professional sports franchise pursuant to a binding purchase agreement, subject to customary league approvals.”

She inherited Las Vegas Sands in 2021

Dr. Adelson, widow of the late Sheldon Adelson, inherited his Las Vegas Sands stake following his passing in 2021, amassing an astronomical fortune estimated at US$ 32.8 billion in shares and capital as of November 2023, making her the fifth wealthiest woman in America.

The proposed US 2 billion divestment represents approximately 10% of the family’s ownership stake in Las Vegas Sands. The stock offering comprises 46,264,168 shares at $44.0 per share, totalling $2.04 billion, with Sands committing to repurchase 5,783,021 shares for $250 million.

Las Vegas Sands, a key player in the Asian land-based casino market and one of Macau’s five concessionaires, holds a market cap of $36.44 billion. Despite challenges faced during China’s zero-Covid period, the company rebounded in Q3 2023 with a net revenue of US$ 2.8 billion, reflecting a remarkable 178% year-on-year increase, and a net income of US$ 449 million compared to a US$ 380 million loss in Q3 2022.

Despite the lack of specifics regarding the targeted sports franchise, this development marks a significant step in Dr. Adelson’s ambitious business journey. Currently holding a 56 percent interest in LVS, valued at around US$ 20 billion—largely inherited following the passing of LVS founder Sheldon Adelson in 2021—Dr. Miriam Adelson continues to shape the global gaming industry.

The share offering is anticipated to conclude on December 1, 2023.

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