Rumors swirled last week that a sale of Pennsylvania’s Sands Casino Resort Bethlehem is imminent, after the Allentown Morning Call quoted unnamed sources that Carl Icahn’s Tropicana Entertainment is in talks to buy the casino from Las Vegas Sands Corporation.
The rumors of an impending sale have intensified since last month’s departure of original Sands CEO Robert DeSalvio last month for a position at Wynn Resorts. Las Vegas Sands announced in January 2013 that it would sell the Bethlehem property, which doesn’t fit into the operator’s typical integrated resort mold, if the right price was offered.
The Morning Call report that Tropicana may buy the company led Bethlehem Mayor Robert Donchez to seek confirmation from the operator. Donchez said at the time that the city would hate to end its relationship with the Sands, which has been a model corporate citizen—not only transforming the former site of Bethlehem Steel company into a successful casino but injecting millions into the local economy by supporting local arts and numerous community charities.
Last week, Donchez reported that he received assurances from Sands Interim President Doug Niethold that the property has not been sold, and that Donchez would be among the first to know if a sale was imminent.
Officials of Las Vegas Sands and Tropicana Entertainment have thus far declined to comment publicly on whether or not negotiations were ongoing between the two operators.
Icahn’s Tropicana Entertainment has been on a buying spree of late, most recently snatching up Lumiere Place in St. Louis from Pinnacle for $260 million.
The Sands would likely command a much higher price. It has been one of Pennsylvania’s most profitable casinos, racking up 12 consecutive months of table game revenue that leads the state industry. LVS officials have been quoted in the past as saying the operator would want around $1 billion for the property in any sale
