Sands China draws down US$201m from existing credit facility

Sands China has revealed it received US$201m in funding on March 15 through an existing revolving credit facility.

Macau.- Sands China has reported that it drew down US$19m and HK$1.42bn (US$182m) from an existing 2018 line of credit for general corporate purposes. The company made the announcement in a recent filing that also called for a refinancing exercise of existing notes.

Sands China said it has a “strong balance sheet and sufficient liquidity in place.” This includes the remaining available borrowing capacity under its 2018 revolver facility of US$1.54bn.

The casino operator added: “Based on the current forecasts, the group believes it is able to support continuing operations, complete the major construction projects that are underway and respond to the current Covid-19 pandemic challenges for at least 12 months”

Sands China has reported a net loss of US$245m for the fourth quarter of 2021, an improvement from US$423m in the previous quarter. Meanwhile, the Venetian Macau Ltd, the subsidiary that holds its Macau gaming rights, has applied for an extension of its current casino concession, as have all six Macau casino operators.

The company was asked to pay MOP47m (US$6m) and to provide a bank guarantee reaching up to MOP1.6bn to cover possible employee dismissals.

Macau casino licences were due to expire in June 2022, but a tender process for renewal has yet to be held due to delays in changes to Macau’s gaming legislation. As a result, Macau has decided to grant extensions on the current casino licences until December 31.

Adriano Marques Ho has confirmed that all operators have applied for the extensions. He said: “We received the requests and we are analysing. When the moment is right we will divulge the decision.”

A final reading of the gaming law amendment bill is expected by June.