Las Vegas Sands (NYSE: LVS) is pursuing an $8.9 billion three-tranche loan to fund the expansion of Marina Bay Sands in Singapore, potentially marking the largest corporate loan in Singapore's history.

The proposed loan structure includes:

• $5.6 billion in delayed-draw term financing
• $2.8 billion in term loans
• $560 million credit facility

A banking consortium led by DBS Group Holdings Ltd., Malayan Banking Bhd., Oversea-Chinese Banking Corp., and United Overseas Bank Ltd. is marketing the loan to institutional investors with an expected annual interest rate of 120 basis points.

The current $8.9 billion figure represents a significant increase from the original $3.4 billion estimate in 2019, likely due to rising labor and materials costs. Las Vegas Sands maintains strong financial positioning with:

• Investment-grade credit ratings
• $4.7 billion cash on hand
• $4.4 billion available in revolving credit
• Projected 2024 expenditure of $1.5 billion
• Expected 2025 expenditure of $1.15 billion

The expansion plans include constructing a fourth tower at Marina Bay Sands, which is crucial for maintaining competitiveness as new integrated resorts in Japan and Thailand are expected to open by the end of the decade. Marina Bay Sands, currently the only LVS property outside Macau, remains one of the world's most profitable and valuable gaming venues.

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