After a messy bender, many a Las Vegas gambler has returned to Sin City seeking redemption. High roller Apollo Global Management announced on Wednesday that it would purchase the Venetian resort from Las Vegas Sands, built by recently-deceased gaming mogul Sheldon Adelson.
The transaction, valued at $6.25bn, is a far cry from Apollo’s $27bn mega-buyout of Harrah’s Entertainment from 2008. That deal culminated in a contentious bankruptcy. The latest gambit anticipates a realistic economic recovery. But the private equity firm is wise not to bet the house.
Despite its name, Las Vegas Sands is focused on Asia. The Venetian is its lone property outside Macau and Singapore. The Strip location includes a massive convention centre that distinguishes it from rivals such as Caesars and MGM.