Overview

• Star Entertainment reported a $302 million half-year loss, with revenue declining 25% due to regulatory reforms and market share losses.
• Bally’s Corporation, in partnership with Bruce Mathieson, has committed to a $300 million rescue package, with $100 million already injected to extend operations for 15 months.
• The deal involves convertible notes and subordinated debt, which will eventually give Bally’s and Mathieson a controlling 56% stake in Star Entertainment.
• Regulators in New South Wales and Queensland are conducting suitability investigations, delaying full approval of the rescue plan.
• Star continues to lose revenue to pubs and clubs, which are not subject to the same gambling restrictions, further complicating its recovery efforts.