The group confirmed in a statement on Monday (3 March) that its shares were automatically suspended from trading as per ASX Listing Rules. On Friday, Star Entertainment said it would not lodge its accounts unless it receives liquidity proposals which give assurance it can continue as a going concern.
The suspension will continue until the 1HFY25 report is lodged and the ASX determines that the group’s shares should be reinstated to quotation.
“The company is unlikely to be in a position to lodge its 1HFY25 Report unless, and until, it has secured a refinancing commitment that would enable The Star to refinance all of the group’s existing corporate debt, as well as to provide additional liquidity,” it said in a statement, adding “… there remains material uncertainty as to the group’s ability to continue as a going concern.”
Brink of Collapse
Star Entertainment, which operates casinos in Brisbane, Sydney and the Gold Coast, has been on the brink of collapse for weeks. The group has now faced years of declining revenues, licensing headaches and major operational disruptions.
The group’s 2025 kicked off with bad news as it announced on 8 January that its cash reserves had fallen to AU$79 million ($48.9 million) at the end of 2024. That total includes the first AU$100 million tranche from its new debt facility, which was drawn on 3 December.
Earlier in February, Star Entertainment received a debt financing proposal from funds associated with Oaktree Capital Management. Under discussion by the group’s board, this would have provided a total of AU$650 million in two debt facilities with a term of five years.
