The Star Denies Hard Rock Bid, But Takeover Talk Heats Up

Hard Rock Hotels and Casinos of the United States has not formally approached Star Entertainment Group, the second-largest casino operator in Australia, about a possible takeover.

But the company says it’s receiving interest from “a number of other external parties,” one of which might be Hard Rock’s Pacific arm.

This comes while investigations into The Star are still ongoing.

In addition to dealing with the Bell Two Inquiry examining its suitability for a Sydney casino license, the corporation is currently concentrating on remediation operations in Queensland and New South Wales.

A recent extension of The Star’s gaming licenses in Queensland until December 20th has added to the uncertainty.

With this measure, the state government will have time to consider both The Star’s advancement and the effects of the Bell Two Inquiry before making a final decision.

The prolongation highlights the dangerous scenario by going beyond the period of the Special Manager designated to oversee assets in Queensland.

There is increasing doubt over The Star’s licenses, especially in New South Wales, since the final results of the Bell Two Inquiry are expected on July 31st.

This gives rise to worries about a potential acquisition, particularly if authorities compel The Star to surrender its licenses. A potential rival is rival Crown Resorts, whose CEO declined to discuss any advantages over the competition.

The Star’s shares surged 20% on Monday due to a report of a possible takeover, indicating the enormous stakes involved.

The Star’s future is unknown as it navigates regulatory challenges and possible mergers, regardless of whether Hard Rock or another company emerges.

See Related Articles: Star Sydney Admits Shortcomings, Seeks Conditional Casino License Renewal

Original Story by: Asian Gaming Brief