Las Vegas Sands Lands $1.5B Credit Revolver, MBS Expansion to Start in July 2025

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Las Vegas Sands (NYSE: LVS) announced it landed a new $1.5 billion credit revolver and that will start construction on its $3.3 billion expansion of Marina Bay Sands in Singapore in July 2025.

The Las Vegas Sands-owned Marina Bay Sands in Singapore. The operator will start a $3.3 billion expansion there in July 2025. (Image: Pinterest)

The announcement regarding the credit facility arrived after Moody’s Investors Service earlier this week expressed concern that the gaming company’s plans to pay dividends and repurchase its own shares could be headwinds to a higher credit rating. Still, the revolver, which was extended by Bank of Nova Scotia, signal Sands has access to capital markets and creditors are eager to lend to the casino giant.

The loans made under the Revolving Credit Agreement will bear interest at either, at the Borrower’s option, (x) an adjusted rate equal to the secured overnight financing rate as administered by the Federal Reserve Bank of New York (or a successor administrator of the secured overnight financing rate), plus an applicable margin ranging from 1.125% to 1.550% per annum, or (y) at an alternate base rate, plus an applicable margin ranging from 0.125% to 0.550% per annum, in each case, depending on the Borrower’s corporate family credit rating,” according to a Sands Form 8-K filing with the Securities and Exchange Commission (SEC).

LVS, which is the largest gaming company by market capitalization, is rated “Baa3” with a “stable” outlook by Moody’s.

Marina Bay Sands Expansion Details

Marina Bay Sands, which is one of two integrated resorts in Singapore, is Sands’ lone venue outside of Macau, meaning it’s vital in defraying some of the risks associated with operating in the Chinese territory.

It’s also one of the most valuable gaming brands in the world and one of the most profitable casino resorts, confirming it’s a crown jewel in the Sands portfolio and a prominent part of the overall investment thesis.

The $3.3 billion expansion project at MBS will include the addition of a fourth tower and will be performed by Safdie Architects – the company that built the original property. Sands is aiming to start construction on the expansion in July 2025 with an eye on wrapping it up by July 2029.

“The all-suite hotel tower will set new standards of hospitality, the state-of-the-art arena will help attract the highest-calibre global entertainment events and artists, and the additional convention and exhibition space will extend the success of Singapore as a leading MICE destination,” noted Sands CFO Patrick Dumont in a statement. “This significant investment in Singapore will help ensure Marina Bay Sands is ideally positioned to grow its economic, employment and visitorship contributions in the years ahead.”

Sands Investing Big In Singapore

The aforementioned expansion of Marina Bay Sands is separate from the operator’s planned $1.75 billion currently allocated for the original structure.

Data confirm Sands’ investments in the Singapore venue have paid dividends over the long-term for the operator and its investors.

“Since opening in 2010 at a development cost of $5.6 billion, Marina Bay Sands has provided significant benefits to Singapore’s tourism sector, with over 470 million people having visited the resort since its opening. The resort has also meaningfully contributed to the business tourism appeal of Singapore, having hosted more than 1,750 new-to-Singapore MICE events since the opening of Marina Bay Sands,” according to the statement.

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