Sydney, Australia – The Star Entertainment Group is preparing to welcome Bally’s Corporation as its new majority stakeholder, with the long-anticipated transaction expected to close by the end of the week.
Transaction Details
- Investment Plan: Bally’s Corporation and Investment Holdings have committed AUD $300 million to stabilize The Star.
- Share Conversion: The conversion of investments into equity is underway, with notices received from Bally’s and expected imminently from Investment Holdings.
- Ownership Structure Post-Deal: Bally’s will hold 38% of The Star’s issued capital, while Investment Holdings will secure approximately 23%. Bally’s will gain the right to appoint two directors to the board.
Chair Anne Ward confirmed that all final conditions have been met, noting, “The Star is now on the cusp of a new era. We trust our new majority shareholders will bring fresh energy and ideas as they take the reins.” Ward also announced her intention to step down following completion of the takeover.
Regulatory Challenges Ahead
Despite the capital injection, The Star continues to face regulatory hurdles. Oversight of The Star Sydney and The Star Gold Coast has been extended until March 31, 2026, and September 30, 2026, respectively, as regulators press the company to demonstrate improved license suitability.
CEO Perspective
Chief Executive Officer Steve McCann acknowledged the company’s precarious position but praised his team’s progress on remediation and liquidity.
“Our team has made sound progress over the past 12 months. The road ahead remains very challenging with many critical milestones yet to be achieved, but we have a plan that requires continued discipline and focus,” McCann said.
He welcomed Bally’s investment and highlighted the appointments of Bruce Mathieson Jr. and Don Pasquariello to the board, adding that liquidity remains a top priority. McCann also expressed gratitude to employees for their resilience during the company’s turbulent period.
