Sands says stock sales erase doubts

Las Vegas Sands Corp. said Monday that doubts about its ability to continue as a going concern were removed after the completion of an offering of common stock, preferred stock and warrants provided about $2.1 billion of additional capital.

The Las Vegas-based casino operator’s independent accounting firm, PricewaterhouseCoopers, said in a filing with the Securities and Exchange Commission that the actions taken Friday helped to erase worries about the company’s ability to continue to operate.

Las Vegas Sands also said it had reissued 2007 financials and now believed it had enough liquidity and capital resources to fund ongoing operations and fulfill its new development plans.

On Friday, Las Vegas Sands said it had sold 200 million common shares for $5.50 apiece, or $1.1 billion, which included 18.2 million shares purchased by the underwriters. The company also sold 5.2 million units consisting of one share of preferred stock plus a warrant to buy stock at $6 a share. The units sold for $100 each.

Founder and Chief Executive Sheldon Adelson and his wife also purchased about 5.25 million shares of preferred stock and warrants at the same terms as the public offering. The warrants included in the public offering and sale to the Adelsons could raise an additional $1.04 billion.

In addition, the couple converted $475 million in notes they purchased last month into 86.4 million common shares at a conversion price of $5.50 apiece.

Las Vegas Sands said it planned to use proceeds to help fund construction and development projects, which it said would be significantly slowed down.