Singapore Lending No Help To Las Vegas Sands For Casino Project

It has not been a good couple of months for the Las Vegas Sands Corp.. They have watched their stocks plummet and have had to stop their expansion plans in Macau.

During these hard times, the company has placed an emphasis on finishing the project that they started in Singapore. The $2.7 billion project will not receive a bail out from the Singapore government if Sands should fall short of financing for the project, according to Trade Minister S. Iswaran.

On Tuesday, Sands shares fell to $5.34. that is a decrease of nearly thirty three percent. The company met the news with the announcement that they have priced a public offering of 181.8 million common shares at $5.50 a share.

The company is trying to raise $2.14 billion in new capital to give some stability to the company. While they are continuing their Singapore project, many are wondering if the project will ever be completed.

"Las Vegas Sands is in desperate need of financial assistance. They have already stopped several projects and if they do not receive financial assistance, the Singapore project will be stopped as well," said analyst Gregory Stercker.

If the Singapore project is stopped, it could signal that the end is close for the company. "What they are doing will probably determine whether or not the company actually goes under or whether it can remain as a going concern and as a viable company," said Sumit Desai, a gaming analyst at Morningstar.

November 12, 2008
Posted By Larry Rutherford
Staff Editor, CasinoGamblingWeb.com
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