Las Vegas Sands drops Japan IR plans to focus on other opportunities13th May 2020 8:47 am GMT
Las Vegas Sands said Tuesday that it will no longer pursue opportunities to build an integrated resort in Japan and will instead focus its energy on other opportunities.
Las Vegas Sands (LVS) is the world’s leading MICE-based integrated resort and casino operator and has been actively pursuing opportunities in Japan for over a decade.
LVS chairman and chief executive Sheldon Adelson announced the decision Tuesday, noting his fondness for the Japanese culture and admiration for the country's strength as a tourism destination. He added, however, that the framework around the development of an integrated resort has made our goals there unreachable.
“We are grateful for all of the friendships we have formed and the strong relationships we have in Japan, but it is time for our company to focus our energy on other opportunities,” Adelson said.
“I remain extremely bullish about the future of our company and its growth prospects. We operate best-in-class properties in the leading markets in our industry and we are currently executing significant investment programs in both Macao and Singapore to create meaningful new growth from our existing portfolio.
“We also believe the success of the MICE-based Integrated Resort model we pioneered in Las Vegas, Macao and Singapore will ultimately be considered by other Asian countries, particularly as governments look to increase leisure and business tourism as a driver of economic growth.”
LVS becomes the latest company to withdraw plans for the Japanese market, in part due to the short 10-year concessions on offer and the high operating costs and taxes. The effects of the COVID-19 pandemic will have exasperated matters further.
Shares in Las Vegas Sands Corp. (NYSE:LVS) closed 5.24 per cent lower at $45.96 per share in New York Tuesday.