Shareholders of The Star Entertainment Group have approved strategic investments from Bally’s Corporation and Investment Holdings, with a total value of AUD 300 million (approximately USD 195 million).
In April, the Australian casino operator signed a binding preliminary agreement with Bally’s and Investment Holdings, and on June 25, the company’s shareholders formally approved the investments by voting at a general meeting.
During the meeting on June 25, shareholders voted on four key issues:
- Approval of Bally’s acquisition of a stake in The Star’s shares;
- Approval of Investment Holdings’ acquisition of a stake in The Star’s shares;
- Approval and ratification of the previously issued Tranche 1A convertible notes;
- Approval and ratification of the previously issued Tranche 1B convertible notes.
Each resolution received over 98% approval from eligible voting shareholders. Bally’s investment received 99.36% approval, Investment Holdings received 99.17%, the Tranche 1A notes received 99.15%, and the Tranche 1B notes 98.83%.
Before the vote, The Star’s Chair, Anne Ward, noted that the company is facing “uncertainty as a going concern in a challenging market environment,” as well as legal proceedings, including a civil case initiated by AUSTRAC, which concluded on June 11.
Ward emphasized that the investments from Bally’s and Investment Holdings “provide cash funding and support The Star’s ability to continue operations,” helping reduce the risk of voluntary administration.
Independent expert Grant Samuel concluded that although the terms of the deals are “not fair,” shareholders would “be better off” if the investments proceed.
The Star has also undertaken major management reshuffling and subsidiary appointments as part of its regulatory compliance strategy.
Key new appointments include:
- Jennifer Cronin – Interim CEO of The Star Gold Coast and Director of The Star Entertainment Qld Custodian Pty Limited
- Rowene Craze – Chief Risk Officer (CRO), formerly the Director of Internal Audit
- Patrick McGlinchey – Chief Legal Officer (CLO), with 30 years of experience and prior roles at The Lottery Corporation and Tabcorp
- Sarah Derry – Chief People Officer (CPO), who assumes the role full-time from July after regulatory approval; previously CEO of Accor Pacific
- Peter Meliniotis – Chief Information Officer (CIO), previously Director of Technology Transformation
- Helen Galloway – Independent Chair of The Star Sydney (three-year term upon approval)
Cronin will serve as interim CEO of The Star Gold Coast for up to 12 months while the company searches for a permanent replacement. She brings extensive hospitality industry experience, having previously served as President and CEO of Wharf Hotels, Marco Polo Hotels, and Niccolo Hotels in Hong Kong and China.
The new corporate governance framework is being implemented in cooperation with the New South Wales Independent Casino Commission (NICC) and the Queensland Office of Liquor and Gaming Regulation (OLGR).
Since 2023, Galloway has been an independent member of the compliance committees of The Star’s operations in Brisbane, Gold Coast, and Sydney. She is also currently Chair of Bank of us (B&E Ltd) and a Director of Hockey Australia.
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