Star Entertainment Brisbane casino deal falls through
Chow Tai Fook Enterprises and Far East Consortium refused to extend negotiations
Australia.- Star Entertainment’s deal to sell its 50 per cent stake in the Queen’s Wharf Brisbane resort has fallen apart after Chow Tai Fook Enterprises and Far East Consortium refused to extend negotiations. The news leaves The Star having to repay AU$41m (US$21m) to its former partners. The operator’s share price dropped to a record low of 9.1 Australian cents earlier today.
The Star will be responsible for future equity contributions of about A$200 million, and may need to add equity when a debt facility of AU$1.4bn requires refinancing in December.
Meanwhile, US-based Bally’s Corporation and Australian billionaire Bruce Mathieson are advancing an AU$300m (US$193m) investment plan that would give Bally’s a 56 per cent controlling stake in The Star.
