Las Vegas Sands Competitor Cancels Macau Purchase
Stanley Ho’s holding company backed out of a plan to buy the Hotel Lisboa in Macau to develop as another new casino today. The news means Las Vegas Sands (LVS: 55.25 +0.24%), along with Wynn Resorts and MGM Mirage, won’t face even more competition for the shrinking Macau gambling dollar.
Ho’s SJM Holdings today announced,” Whilst the group’s internal financial resources are sufficient to complete the acquisition of the two properties, the proposed redevelopment of the Lisboa site would have imposed an unnecessary burden on its financial resources.”
Ho had previously called for Asians to unite in rejecting the Venetian Macau, Las Vegas Sands’ primary asset in the area. In February, Ho told a meeting of local businessmen, “We are Chinese. We should unite against foreign capital.”
Las Vegas Sands majority owner Sheldon Adelson and Ho have been in a war of words since then. Adelson accused Ho of exploiting racism to save his gaming empire. Ho had a monopoly in Macau casino gambling for years, until a decision in 2002 by the Chinese government to allow foreign operators.