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Gaming & Wagering

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Star tells lenders it has one week of cash as it teeters on the brink

The casino giant told investors it was unsure it could continue to trade and was working on “one or more liquidity” proposals in the hope of averting collapse.

Star Entertainment CEO Steve McCann is fighting to stave off its collapse.

Inside the Star circus, the proposals all come back to two things

The casino operator’s board has given CEO Steve McCann and its bankers long enough to find the required cash. It is time to deliver.

February

Star’s casino in the Gold Coast has been one of the company’s assets that is sought after by suitors.

Star Entertainment’s board is struggling to sign off on its accounts

Failure to finalise its finances would put the casino operator’s ability to keep its shares trading in doubt and bring its financial predicament to a head.

PointsBet CEO Sam Swanell rejected the local bookmaker’s offer over lack of details on synergies and funding uncertainty.

PointsBet spars with spurned suitor BlueBet over funding and synergies

The ASX-listed bookmaker has agreed to sell itself to Japan’s Mixi, angering backers of its Matthew Tripp-run rival who claim it is leaving money on the table.

Matt Tripp, BlueBet’s chairman, sent a letter to PointsBet on Tuesday, saying its offer was more compelling than Mixi’s.

Major PointsBet investors back BlueBet over Mixi’s $353m takeover bid

The wagering group is the subject of two proposals. Its board has backed the Japanese entertainment giant’s buyout plans over one from its local rival.

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Matt Wilson, CEO of Light & Wonder.

Light & Wonder weighs sole ASX listing; Jarden to advise

If it pushes ahead, the listing could be a meaningful event for the ASX given Light & Wonder’s heft – capitalised at $US8.97 billion on the NASDAQ. 

Steve McCann, Star’s the CEO and secured lender.

It’s Star Entertainment’s moment of truth and first up is the board

Star’s status should be clear by Friday, by when its board – already operating in safe harbour – would have put pen to paper on signing off on its status as a “going concern”.

Cost overruns at the Star Casino and Queens Wharf complex in Brisbane have added to the group’s financial woes.

US casinos group Bally’s Corporation joins Star Entertainment scramble

As the clock ticks on Star Entertainment’s future, a newcomer is taking a look at its casinos.

Gillon McLachlan was the chief executive of the AFL and was appointed to the top job at Tabcorp last year.

Tabcorp delivers profit jump as Gill McLachlan swings the axe

Higher revenues and lower costs have helped the wagering giant meet expectations for the first time since it demerged its lotteries business three years ago.

Aristocrat Leisure pioneered poker machines that dominate Australia’s pubs, clubs and casinos.

JPMorgan nabs $218m block trade in Aristocrat Leisure

More than 2.7 million shares in the gaming technology company traded hands at $79 per share.

James Packer’s casino charity deals in the elite

Attendees at the lunch included Albo, Dutton, Sarah Murdoch and Scott Farquhar, as Sydney’s movers and shakers celebrated some good old corporate philanthropy.

Light & Wonder chief executive Matt Wilson.

Light & Wonder in $1.05b acquisition; taps Jarden

The dual-listed gaming giant will cough up $850 million in cash upfront and pay out $200 million on a four-year revenue-based earn-out.

Star’s Gold Coast casino is in Broadbeach and coveted by the company’s big shareholder, Bruce Mathieson.

Bruce Mathieson made second secret bid for Star’s Gold Coast casino

The informal offer was made last month and included a significant amount of up-front cash to help the embattled company navigate its financial difficulties.

Greg Hawkins in happier times in 2015.

Fallen Star executive’s lawbreaking no match for his bonus

Good value can be a subjective term. For Greg Hawkins, $180,000 must seem like a steal.

Star Entertainment CEO Steve McCann is fighting to stave off its collapse.

Two stumbling blocks to Oaktree’s Star rescue

The US debt firm’s plan seems like Star’s last, best hope. But it won’t be easy to get past lenders or governments – and it won’t solve Star’s existential crisis.

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Crypto casino and Everton sponsor Stake.com is leaving the United Kingdom.

Stake.com to quit Britain after Bonnie Blue video controversy

The Melbourne-run, Caribbean-registered online casino giant is the main sponsor of English Premier League club Everton but will leave the country next month.

Star’s former chief casino officer Greg Hawkins has agreed to settle with ASIC.

Second former Star executive settles in midst of ASIC lawsuit

Greg Hawkins was the company’s chief casino officer and the court heard he agreed to a deal with a junket operator despite suspicions about its criminal links.

Star’s Gold Coast casino is in Broadbeach and is coveted by the company’s big shareholder, Bruce Mathieson.

Mathieson tabled $550m bid for Star Gold Coast (and was rejected)

The billionaire publican is working separately from the distressed debt funds and Hong Kong-listed investors who have all made proposals as the company teeters.

The former board of Star, who are facing civil penalties for alleged breaches of directors’ duties (L-R): John O’Neill, Matt Bekier, Kathleen Lahey, Richard Sheppard, Gerard Bradley, Sally Pitkin, Benjamin Heap and Zlatko Todorcevski.

Why the Star case has unnerved Australian boardrooms

“It’s a private company” is a big selling point for directors when headhunters call, and ASIC’s case against the embattled casino group is making many directors more nervous about public company boards.

Ten former Star directors and executives are being sued by ASIC for breaching their directors duties.

Star suggested using yacht invoices to cover dodgy transactions: ASIC

The corporate regulator is alleging that concerns about Star’s practices were so widespread that banks and card providers had raised issues with executives.

Footage provided to an earlier inquiry into potential money laundering at Star.

ASIC claims Star directors ‘merely ornaments’ in flood of warnings

Lawyers acting for the corporate regulator alleged former directors and executives repeatedly ignored signs of money laundering at the company’s casinos.

Star’s hiring spree defies financial sense.

Teetering Star Entertainment’s hiring drive beggars belief

For a company on the brink of financial collapse, the casino operator seems keen to increase its wages bill.

Star Entertainment former chief executive Matt Bekier and chairman John O’Neill.

ASIC says Star’s former board was ‘blind to questions of probity’

The regulator is suing the casino operator’s former directors, alleging they did not take enough care when dealing with the risky world of high-rollers.

The Queen’s Wharf casino complex in Brisbane is shaping up as one of Star’s best hopes for a financial lifeline.

Star Entertainment mulls walking away from Brisbane casino ownership

Under one proposal to ease the casino group’s financial woes, two Hong Kong investors would assume control of the Queen’s Wharf complex and its debts.

Star’s former CFO reached a settlement with ASIC.

Former Star CFO to have ASIC settlement heard before new judge

Harry Theodore agreed to settle claims made by the Australian Securities and Investments Commission that he breached his directors’ duties by misleading NAB about the use of China Union Pay cards.

Original URL: https://www.afr.com/companies/games-and-wagering