Sands to open most of Macau resort by 2011

The project is a “quantum leap for Macau” as Las Vegas Sands bets that more convention space, hotel rooms and shopping malls will entice visitors to prolong their stay in the world's biggest gambling hub, Leven told reporters in a videoconference from Las Vegas.

Las Vegas Sands is selling a stake in its Macau unit for as much as HK$26 billion (US$3.4 billion) in a Hong Kong initial public offering, in what could be the city's second-biggest this year.

The offer, together with a separate US$1.75 billion in bank financing, would help the Macau subsidiary, Sands China Ltd., resume building the 13.3 million square foot resort. The project and its flagship Venetian Macao would strengthen the challenge Sands China poses to billionaire Stanley Ho in the only Chinese region where casinos are legal.

Sands joins rival Wynn Macau Ltd. in selling shares in Hong Kong after other locally traded casino operators surged this year. Sands China's shares, priced between HK$10.38 and HK$13.88 each, values the company at 16.6 times next year's estimated earnings before interest, tax, depreciation and amortization, according to three people familiar with the matter.

Las Vegas Sands has gained 193 percent in market value this year, after dropping 94 percent in 2008. The stock rose 2.2 percent to $17.39 on Nov. 13.

Wynn's sale valued it at 14.5 times on the same basis, according to banks involved in the sale. Its shares have fallen 3.9 percent since they debut on Oct. 9.

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