Sands Procures $9 Billion Loan for Singapore Casino Hotel Expansion

Posted on: February 18, 2025, 02:00h. 

Last updated on: February 18, 2025, 09:08h.

Todd Shriber @etfgodfather Read More
Expertise: Financial, Gaming Business, Mergers and Acquisitions.
  • LVS said to have landed $9 billion for Singapore improvements
  • It’s believed to be the biggest corporate loan in the country’s history

Las Vegas Sands (NYSE: LVS) has reportedly landed a $9 billion loan for expansion plans at Marina Bay Sands (MBS) in Singapore — a transaction representing one of the largest extensions of corporate credit in the city-state’s history.

LVS stock
Marina Bay Sands in Singapore. Operator Las Vegas Sands is rumored to have procured a $9 billion loan for expansion there. (Image: YouTube)

Rumors circulated last November that a consortium of banks working on behalf of Sands was shopping the loan and attempting to get other lenders in the multitranche loan.

DBS Group Holdings Ltd., Malayan Banking Bhd., Oversea-Chinese Banking Corp. and United Overseas Bank Ltd. were the coordinating banks on the credit facility, which attracted 22 other lenders when it was syndicated to the broader market,” reports Chien Mi Wong for Bloomberg, citing unidentified sources with knowledge of the matter.

As of late Monday, neither Marina Bay Sands nor its Las Vegas-based parent had confirmed the deal. The $9 billion more than covers the $8 billion the operator is projected to spend to enhance the Singapore integrated resort. That’s more than double the $3.4 billion Las Vegas Sands told investors it would spend in Singapore when the effort was announced in 2019.

Sands Singapore Spend Could Pay Dividends

While Sands’ planned Singapore expenditures are well above initial forecasts, the project, which includes the addition of a fourth hotel tower, could deliver benefits over the long term.

MBS is one of the most valuable gaming brands in the world and one of just two casino hotels in Singapore — a duopoly that enjoys government protection for decades to come. Additionally, the venue’s fourth-quarter results were impressive, extending its status as one of the most profitable casinos in the world.

“The results of Marina Bay Sands reflect the positive impact on our capital investment program and the growth of high-value tourism,” said Sands CEO Robert Goldstein on a January conference call with analysts. “The growing appeal of Singapore as a destination is enhanced by the robust entertainment and lifestyle event calendar. As you complete the balance of our investment programs in the first half 2025, there will be considerable runway for growth.”

CFO and President Patrick Dumont called Singapore an “incredibly strong and desirable” market and one that attracts a higher quality of tourist.

MBS Expansion Timeline

Originally, Sand was aiming to have the Singapore enhancements completed by July 2029, but the timeline is now June 2030 with an opening date of January 2031.

Additions include new guest rooms, convention and meeting space, more retail space, a 15K-seat entertainment arena, and more gaming space. Due to the casino expansion, the operator had to update its accord with the Singapore Tourism Board, which contributed to the extended timeline.

For the time being, MBS is Sands’ lone casino hotel outside of Macau, though the operator has expressed interest in Thailand and is bidding for a New York gaming permit, too.