The Star Entertainment Group: Steve McCann formally begins as CEO
The casino operator has confirmed that all necessary regulatory approvals have been received.
Australia.- Steve McCann has started work as chief executive officer and managing director of The Star Entertainment Group following his appointment on June 26. The casino operator has confirmed that all necessary regulatory approvals have been received and that McCann has joined the Star’s board and formally commenced his role today (December 2).
Neale O’Connell no longer serves as acting group chief executive officer and will remain in the position of interim group chief financial officer until a permanent group chief financial officer is selected (pending regulatory approvals). The company said: “The board thanks Mr O’Connell for his additional contribution during this period.”
Anne Ward, The Star chairman, said: “I am very pleased to be working closely with Steve McCann and to formally welcome him as group chief executive officer and Managing Director at this critical time for The Star.”
The company has previously described McCann as a highly experienced global executive with 28 years of experience in gaming, leisure and real estate. In his most recent role, he served as chief executive officer and managing director at Crown Resorts. Before that, he spent over a decade as group CEO of Lendlease Corporation Limited. Before joining Lendlease in 2005, McCann held senior leadership positions at ABN AMRO and Bankers Trust.
The Star Entertainment Group secures US$129.2m debt facility
Last week, The Star Entertainment Group announced that it has executed a commitment letter for a new debt facility, which comprises AU$200m (US$129.2m) in two tranches of AU$100m (US$65.1m) each.
The company said it is currently working with lenders to meet the conditions to draw down the first tranche, with an availability period up to December 20. It confirmed that lenders have agreed to provide a covenant waiver for the next quarterly testing date, December 31.
The casino operator posted revenue of AU$351m (US$230.85m) for the first quarter of its financial year, down 18 per cent year-on-year and 11 per cent sequentially. Earnings before interest, taxes, depreciation and amortisation (EBITDA) were negative AU$18m (US$11.84m) compared to positive AU$23m (US$15.1m) in the previous quarter. The company cited a “challenging operating environment and the continued implementation of mandatory carded play and cash limits.”
