Dr. Miriam Adelson To Sell $2 Billion Worth of Shares in Casino Giant Las Vegas Sands To Purchase Majority Stake in NBA’s Dallas Mavericks

Las Vegas Sands’ controlling stakeholder, Dr. Miriam Adelson reportedly intends to officially sell a $2 billion stake in the firm’s total shares and will utilize the result, along with her own cash, to purchase a professional sports franchise. However, the deal has not yet been concluded.

Consequences of a possible purchase:

A possible sale would reportedly minimize the billionaire’s stake in the company by approximately 10%. Additionally, although Las Vegas Sands (LVS) is based in Las Vegas, it currently only has active casino businesses in Singapore and Macau.

A Nov. 28, 2023,  filing with the Securities and Exchange Commission (SEC) announced the offering of $2.0 billion of shares of Las Vegas Sands Corp. common stock, however, it did not reveal any specific details. But after several hours, digital content platform Sportico officially revealed that the Adelson family is purchasing a majority stake” in the National Basketball Association’s (NBA) Dallas Mavericks, a member of the Southwest Division of the Western Conference. However, the team’s current owner Mark Cuban, who acquired the sports franchise in 2000 for $285 million, will reportedly maintain operational leadership of the team. In addition, the Dallas Morning News also officially covered the story.

On a related note, the firm stated in the filling: “We have been advised by the selling stockholders that they currently intend to use the net proceeds from this offering, along with additional cash on hand, to fund the purchase of a majority interest in a professional sports franchise pursuant to a binding purchase agreement, subject to customary league approvals.”

As for Dr. Adelson, she formally controls 56.4% of the firm either personally or via her trust. In addition, she is the 78- year-old widow of Sheldon Adelson, the founder of the aforementioned firm, who passed away two years ago. Even though she has no formal role within the corporate side of the firm, Patrick Dumont, her son-in-law is the chairman of LVS and part of the firm’s board.

When it comes to the Forbes 400 list, she ranks number 24 with a “net worth” of $32.3 billion. Relatedly, Dr. Adelson couldn’t be reached for comment.

Planned buyback of shares:

Although Sheldon Adelson was one of the biggest contributors to Republican candidates, Dr. Miriam reduced political donations after the death of her husband. But, she allegedly met up with Nikki Haley, the presidential candidate from the aforementioned Republican party (GOP), at a Republican Jewish Coalition event held at The Venetian this month.

During February last year, less than a year following the passing of Sheldon Adelson, LVS officially sold the Palazzo, The Venetian and the Venetian Expo Center to the Apollo Global Management, a private equity company, and VICI Properties, a real estate investment fund, for a price of $6.25 billion. In this regard, the company’s statement stated that it intends to buybackup to $250 million stakes that Dr. Adelson is selling, according to The Nevada Independent.

If the purchase closes, the Adelson family is projected to maintain approximately 52% of the firm.

New focus:

The Adelson family only recently added professional sports as their new focus. During the summer of 2022, Matan Adelson, son of Dr. Miriam, was the leader of a group that raised $20 million to acquire a 90% controlling interest in Hapoel Jerusalem, an Israeli professional basketball team.

For that matter, the only professional sports activity the Adelson family has been involved in the US was the Oakland Raiders’ move to Las Vegas six years ago. Additionally, the late Sheldon intended to formally invest the sum of $650 million in the current Allegiant Stadium. But he withdrew his financing following the Nevada Legislature validated a $750 million room tax as piece of the site’s financing package, although Adelson backed up a .88% tax on the rooms of the Strip hotel.

Furthermore, Las Vegas has become the center of professional sports during last several years. Some examples of this are:

  • The Raiders formally switched to Las Vegas for the 2020 NFL season, leading to the NFL awarding Super Bowl LVIII to Allegiant Stadium earlier in the February
  • During 2017, theVegas Golden Knights, an extension team in the National Hockey League, started playing at T-Mobile Arena
  • Major League Baseball has validated the Oakland A’s change of address to a $1.5 billion stadium located on the Strip that is marked for completion in the next 5 years, aka 2028
  • Mark Davis, the owner of the Raiders, purchased WNBA’s Las Vegas two years ago, and the team managed to win back-to-back championships.

The NBA has allegedly contemplated extending to Las Vegas, and entertainment complex developer Tim Leiweke, CEO of Oak View Group, intends to construct an arena equipped with 20,000 seats at Blue Diamond Road and Las Vegas Boulevard which is currently in the design phase with NBA guidance. The arena is being designed as a part of a resort and entertainment property, which value is $10 billion.

The son of the chairman of LVS and CEO Robert Goldstein, Scott Goldstein, is “leasing” the needed land to Leiweke.