Pubs and pokies baron Bruce Mathieson and family takes 9.9% stake in Star Entertainment Group
A Hedges Ave billionaire has taken a $140m punt on The Star Entertainment Group, becoming a near-10 per cent shareholder overnight. Here’s what he has to say about it.
Business
Don't miss out on the headlines from Business. Followed categories will be added to My News.
Pokies baron Bruce Mathieson has “no crystal ball” but it hasn’t stopped him taking a $140m punt on The Star Entertainment Group, becoming a near-10 per cent shareholder overnight.
In an announcement to the ASX Wednesday morning, Star said Mr Mathieson and his son Bruce held almost 95 million shares, taking their voting power to 9.97 per cent.
“I’ve been in this sort of business for a long time and I enjoy it, my family enjoys it, and I think the assets are very strong,” he said.
The Hedges Ave resident said he’d never previously held shares in the Star and the $141m splash came down to “timing”.
Star shares hit a record low $1.18 last week after the company reported a $1.2bn half-year loss, launched an $800m capital raising and pushed back its $2.3bn plans for the Gold Coast by at least a year.
The company is grappling with hefty fines from two state governments over “major failings” in its anti-money laundering processes.
Earlier this week, The Star was forced to adjust the half-year report to allow for up to $150m in fines and penalties after an ASIC probe found it initially made no provision for them.
Mr Mathieson, former chief executive of ALH Group, retired from the board of hotel and liquor store behemoth Endeavour Group at the end of June and was replaced by his son.
“For the past 20 years I’ve been building up all the ALH and Endeavour companies and they’re now on top of where we want them to be,” he said.
“It was the time to look at something new.”
The Mathiesons recently emerged as backers of the $1.5bn Southport Spit superyacht project Mantaray Marina and Residences fronting the Broadwater.
The Gordon-Mathieson Mantaray is to rise – to the allowed three levels – on land bought from the government under a 120-year lease deal.
It will include the country’s first dedicated private superyacht marina and 67 berths of up to 60m.
Star’s half-year loss included a writedown of $988m on its flagship Sydney casino after the NSW government announced proposed changes to lift the state’s casino tax rate.
The $2.3bn masterplan, approved by the state government nearly five years ago, includes four towers of 65, 74, 54 and 52 storeys for a total of 1794 apartments and 518 rooms. The Dorsett and Star Residences tower opened on Boxing Day, 2021, while construction continues on tower 2, known as Epsilon, which is expected to open in 2024.
Star’s Queensland operations lifted overall revenue for the half year 75 per cent to $1.01bn.
Fresh details revealed about cableway plans
Mayor Tom Tate has revealed fresh details of plans for a cableway to the hinterland, saying he hoped tourists would soon be able to catch a ride to the top of Mt Tamborine. Here’s what we know so far.
Disappearing act: Cash gone as magician’s company in liquidation
A company directed by a veteran Gold Coast magician and entertainer has gone into liquidation, with the performer unable to pull any money out of his hat for the tax office.