Bally’s expected to complete conversion of Star shares within this week, chair Anne Ward to step down
Summary
US operator Bally’s Corporation and partner Investment Holdings Pty Ltd have submitted conversion notices for convertible notes in The Star Entertainment Group, and the process is expected to be finalised within the week. The combined AU$300 million investment would convert into roughly 61% of Star’s issued share capital (Bally’s ~38%, Investment Holdings ~23%), effectively giving the new major shareholders control and the right to appoint directors to a refreshed board.
Current Star chair Anne Ward said she will retire from the board once the conversions and subsequent board appointments are complete — effectively this week — and noted her aim to ensure an orderly transition and strengthen Star’s finances. Star’s CEO Steve McCann warned that a separate transaction — the sale of Star’s 50% stake in the Destination Brisbane Consortium (DBC) — is facing delays and parties are seeking an extension of key refinancing and sunset dates to 31 March 2026. AUSTRAC’s potential fine for historical AML breaches remains unresolved. Bally’s chair Soo Kim says the new owners expect to drive substantial revenue uplift and cost savings quickly.
Key Points
- Bally’s and Investment Holdings have submitted conversion notices for AU$300m of convertible notes; completion is expected within the week.
- Post-conversion ownership: Bally’s approx. 38%, Investment Holdings approx. 23% — combined ~61% control of Star.
- Anne Ward will step down from the Star board once conversions and board appointments are completed.
- Bally’s will be entitled to appoint two directors to Star’s new board; Bruce Mathieson Jr was recently named as a non-executive director representing Investment Holdings.
- The sale of Star’s 50% stake in DBC (Destination Brisbane Consortium) is delayed; joint venture partners are seeking to extend refinancing deadlines to 31 March 2026.
- AUSTRAC’s decision on potential fines for historical anti‑money‑laundering breaches is still pending.
- Bally’s chairman Soo Kim is confident of extracting “hundreds of millions” in extra annualised revenue and savings by implementing rapid changes.
Context and Relevance
This is a major change of control for one of Australia’s largest casino groups. Converting the notes into shares hands effective control to overseas and private partners, which will trigger a board reshuffle and likely rapid operational and strategic changes. The outcome affects not only Star’s corporate governance and creditors but also the future of the Queen’s Wharf/Brisbane project and relationships with JV partners and lenders. Regulatory outcomes (eg. AUSTRAC fines) and the DBC transaction timeline will be critical to Star’s near‑term balance sheet and reputation.
Why should I read this?
Quick heads up — the owners of The Star are about to change this week, the chair is stepping down, and there’s a real chance the Brisbane deal gets pushed back. If you follow Australasian gaming M&A, lender risk, or the Queen’s Wharf project, this is the kind of update that matters now.
Source
Article meta
Article Date (canonical): 2025-11-25T02:23:42+00:00
Original published time: Tue 25 Nov 2025 at 10:23 (source)
Author: Ben Blaschke
Featured image: https://asgam.com/wp-content/uploads/2019/05/The-Star-Gold-Coast.jpg
