Social media rumours that Las Vegas Sands (LVS) made a bid for Wynn Resorts sent the company’s stock on the New York Stock Exchange rising more than 3pc last Thursday afternoon. Rumours said that Sheldon Adelson’s firm was offering a bid between $120 and $125 per share.
The story began swirling Thursday morning regarding what would have beeen a blockbuster deal involving the purchase of Wynn Resorts by the Las Vegas Sands Corporation, although by day’s end most seemed to agree that were only unsubstantiated rumours.
By the afternoon a spokesperson from Wynn stated there was “zero truth” to the report. Even so, there was no denying the truth that Wynn’s stock enjoyed a significant boost on the strength of the stories, some of which speculated Sheldon Adelson was ready to pay as much as $125 per share for the takeover.
Early in the day Wynn was trading as low as $103.80 per share on the NASDAQ exchange, but within an hour of the takeover rumour spreading over Twitter the stock rose sharply to a peak of $108.60 before settling at $106.17 at Thursday’s close. The stock had not traded that highly since September 2016.
Following the Wynn spokesperson’s debunking, speculation then followed regarding the possible source of the original rumour and whether or not it had been floated with a purpose of potentially inflating the Wynn stock’s price.