The Star Entertainment Group has announced that Dave Whimpey will take the role of Chief Operating Officer and interim Chief Executive Officer as part of a restructuring...
Star Entertainment faces potential takeover by Hard Rock
Following reports that US casino operator Hard Rock Hotels and Casinos had made an approach, Australia’s Star Entertainment Group confirmed that it has received a number of inquiries about potential takeovers.
According to the Australian Financial Review, a consortium headed by Hard Rock is considering buying Star and maybe rebranding it. Star’s stock has fallen recently due to two investigations—one of which is still ongoing—about whether it is qualified to hold a casino license for The Star Sydney.
In an ASX filing, Star said it “notes certain media articles speculating on potential corporate activity involving The Star” and confirmed interest from a number of external parties regarding potential transactions. According to Star:
“The nature of the interest to date has been unsolicited, preliminary and non-binding.”
It did note, nevertheless, that none of the strategies have produced significant discussions as of yet. The Star’s remedial efforts in Queensland and New South Wales, together with its involvement in the Bell Two Inquiry, continue to be its primary priorities.
Star’s former CEO, Matthias Bekier, and former lawyer Paula Martin were found to have breached their directors’ duties during the money laundering scandal in Australia.
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