The Star Gold Coast licence suspension deferred
The Queensland government will seek answers on “a litany of problems”.
Australia.- The Queensland Government has announced a deferral of the suspension of The Star Gold Coast casino licence until March 31, 2025. In a statement today (December 6), Deb Frecklington, attorney-general and minister for Justice and minister for Integrity, said the change would allow the government to “seek answers on how the business is fixing a litany of problems.”
The Star Gold Coast was scheduled to face a 90-day suspension beginning on December 20. The delay will allow the government to evaluate the casino’s progress in implementing its remediation plan, which covers cultural reform, safer gambling, risk management, financial crime and governance. The Star’s compliance with these measures will undergo a formal assessment in February.
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Frecklington said: “The Crisafulli Government has the highest standards when it comes to the integrity of casino operations and, unlike our predecessors, we are committed to transparency and restoring the confidence of Queenslanders in the regulatory process.
“We will release the Special Manager report and the outcome of the assessment following the Government’s March 2025 decision. This Government has been clear in its expectations of The Star, and will not allow The Star Gold Coast to keep operating as a casino at the expense of integrity, our Government’s high standards, and community safety.
“We recognise this may place pressure on The Star; however, the remediation actions must be its urgent priority. There should be no assumption that there will be any further deferrals granted to The Star and any failure to meet milestones may result in The Star Gold Coast casino licence being suspended.”
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.”
