{"id":777024986,"date":"2025-04-08T10:01:46","date_gmt":"2025-04-08T13:01:46","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=777024986"},"modified":"2026-04-22T00:03:18","modified_gmt":"2026-04-22T03:03:18","slug":"the-star-agrees-us180-2m-deal-with-ballys-corporation","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/the-star-agrees-us180-2m-deal-with-ballys-corporation","title":{"rendered":"The Star agrees US$180.2m deal with Bally&#8217;s Corporation"},"content":{"rendered":"\n<p>A shareholder meeting to approve the transaction will be held in June.<\/p>\n\n\n\n<!--more-->\n\n\n\n<p>Australia.- <strong>The Star Entertainment Group<\/strong> has announced a binding agreement with <a href=\"https:\/\/focusgn.com\/asia-pacific\/the-star-considering-unsolicited-funding-proposal-from-ballys-corporation\" target=\"_blank\" rel=\"noreferrer noopener\">Bally\u2019s Corporation<\/a> for a AU$300m (US$180.2m) investment. The deal is subject to a shareholder vote expected to take place in late June.<\/p>\n\n\n\n<p>Under the terms of the agreement, Bally&#8217;s would provide the funding through a combination of convertible notes and subordinated debt in two tranches. The <strong>first tranche<\/strong>, totalling AU$100m, is expected on or before April 9, pending consent. The remainder would be paid following a vote by shareholders and receipt of regulatory approval.<\/p>\n\n\n\n<p>If the deal is approved, it would result in the conversion of notes representing <strong>56.7 per cent<\/strong> of The Star&#8217;s issued capital on a fully diluted basis. The notes will be priced at 8 cents per share, subject to standard adjustments.<\/p>\n\n\n\n<p>The coupon rate stands at 9 per cent per annum, compounding and payable quarterly in arrears. The maturity date is July 2, 2029.<\/p>\n\n\n\n<p>The company said it is still in talks with its largest shareholder, <strong>Investment Holdings<\/strong>, which may subscribe up to AU$100m. If this occurs, Bally\u2019s investment\u00a0would be reduced to AU$200m.<\/p>\n\n\n\n<p>The casino operator said: &#8220;The board of The Star intends to unanimously recommend that The Star shareholders vote in favour of the transaction, in the absence of a superior proposal and subject to an independent expert concluding (and continuing to conclude) that the transaction is in the best interests of The Star\u2019s shareholders. Each director of The Star intends to vote all of The Star shares that he or she holds or controls in favour of the transaction, subject to those same qualifications.<\/p>\n\n\n\n<p>&#8220;A booklet containing information relating to the transaction, reasons for The Star directors&#8217; recommendation, an independent expert&#8217;s report and details of the shareholder meeting will be prepared and provided to the Australian Securities and Investments Commission for review, and subsequently sent to The Star shareholders in due course.<\/p>\n\n\n\n<p>&#8220;The Star is targeting to dispatch a booklet in late May 2025 to shareholders. Shareholders will have the opportunity to vote on the transaction at a shareholder meeting, which The Star is currently targeting to hold in late June 2025. Separately, the directors are currently finalising The Star&#8217;s financial accounts for the period ended December 31, 2024, and intend to lodge those accounts with ASX as soon as possible.&#8221;<\/p>\n\n\n\n<figure class=\"wp-block-embed aligncenter is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<iframe title=\"US casino giant buys out Star Entertainment for $300 million\" width=\"625\" height=\"352\" src=\"https:\/\/www.youtube.com\/embed\/nmO2reiYQxE?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe>\n<\/div><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">The Star Gold Coast licence suspension deferred<\/h2>\n\n\n\n<p>The Queensland government deferred the suspension of The Star Gold Coast&#8217;s casino licence until&nbsp;<strong>September 30<\/strong>&nbsp;to allow consideration of its remediation action. The appointment of the casino&#8217;s special manager has been extended to the same date.<\/p>\n\n\n\n<p>Meanwhile, in New South Wales, special advisor&nbsp;<strong>Nick Weeks<\/strong>&nbsp;will continue to have oversight of The Star Sydney casino operations until September 30. NICC chief commissioner,&nbsp;<strong>Philip Crawford<\/strong>&nbsp;said submissions demonstrated steady improvements in The Star\u2019s remediation, but uncertainty around The Star\u2019s financial situation meant that progress was slow.<\/p>\n\n\n\n<p><strong>See also:<\/strong> <a href=\"https:\/\/focusgn.com\/asia-pacific\/the-star-refinancing-deal-with-salter-brothers-capital-withdrawn\" target=\"_blank\" rel=\"noreferrer noopener\">The Star refinancing proposal withdrawn<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A shareholder meeting to approve the transaction will be held in June.<\/p>\n","protected":false},"author":176,"featured_media":26456,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"The Star Entertainment Group has secured a binding AU$300m investment from Bally's Corporation, structured as convertible notes and subordinated debt, pending shareholder and regulatory approvals. This capital injection is critical as The Star navigates ongoing regulatory remediation, with licence suspensions deferred in Queensland and extended oversight in New South Wales. The transaction, which could result in Bally's holding a 56.7% fully diluted equity stake, aims to stabilize The Star's financial position amidst heightened regulatory scrutiny.","focusai_entities":"The Star Entertainment Group, Bally's Corporation, Investment Holdings, Australian Securities and Investments Commission, Queensland government, Nick Weeks, NICC, Philip Crawford, ASX","focusai_location":"Australia, Queensland, New South Wales, Gold Coast, Sydney","focusai_target_profile":"ceo_executive (0.95), regulator (0.95), compliance_legal (0.9), operator_casino (0.9), investor_analyst (1.0), supplier_vendor (0.75), journalist_researcher (0.85)","focusai_suggestions":[{"label":"Equity Dilution Impact?","query":"What is the projected fully diluted equity ownership structure of The Star Entertainment Group post-conversion of Bally's notes, and how might this impact existing shareholder value and future capital raises?"},{"label":"Regulatory Conditionality?","query":"Given the ongoing regulatory oversight and licence suspension deferrals, what specific conditions or milestones must The Star achieve to secure full regulatory approval for this transaction and ensure long-term operational stability?"}],"footnotes":""},"categories":[16336,163,24628,158],"tags":[23871],"class_list":["post-777024986","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-australasia-news","category-finance-news","category-highlight-of-the-week","category-slider-home","tag-the-star-entertainment-group"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777024986","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777024986"}],"version-history":[{"count":6,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777024986\/revisions"}],"predecessor-version":[{"id":777025040,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777024986\/revisions\/777025040"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/26456"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777024986"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777024986"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777024986"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}