Casino Operator Star Entertainment Secures Loan to Avoid Voluntary Administration
Star Entertainment, a prominent casino operator, has struck a deal with its Hong Kong investors to dispose of its Brisbane-based casino and avoid going into voluntary administration, according to a report by the Australian Financial Review (AFR).
Loan Agreement with Chow Tai Fook Enterprises and Far East Consortium
Chow Tai Fook Enterprises and Far East Consortium, joint investors in Queen’s Wharf precinct in Brisbane, are on the verge of providing a loan worth up to A$50 million (S$42.2 million) to Star Entertainment, sources with direct knowledge of the matter revealed.
Previous Acquisition Offers Rejected
Last month, Star Entertainment received separate offers from the two Hong Kong investors to acquire a 50% interest in the Destination Brisbane joint venture. However, the company deemed none of the proposals sufficient in terms of value and continues to negotiate with the parties.
Conclusion
Star Entertainment’s decision to secure a loan from Chow Tai Fook Enterprises and Far East Consortium marks a crucial step in its efforts to avoid voluntary administration. The company’s ability to negotiate with its investors and secure a loan demonstrates its commitment to finding a solution that benefits all parties involved.
FAQs
- What is the purpose of the loan? The loan is intended to help Star Entertainment avoid going into voluntary administration.
- Who are the joint investors? Chow Tai Fook Enterprises and Far East Consortium are the joint investors providing the loan.
- What was the outcome of the previous acquisition offers? The company rejected the previous acquisition offers, deeming them insufficient in terms of value.
- What is the company’s next step? Star Entertainment will continue to negotiate with the parties involved to find a solution that benefits all parties.
