Bally’s investment in The Star has now received regulatory approval by both the New South Wales and Queensland governments.
According to a release sent early Friday, Bally’s has ‘cleared a comprehensive probity investigation, conducted by the NICC and Liquor and Gaming NSW (L&GNSW), which has assessed a range of both financial and non-financial factors related to the company’s suitability and the suitability of key individuals involved in Bally’s’.
Bally’s corporate and individual close associates were ‘approved as ‘suitable persons’ to be associated with the management and operation of The Star Sydney casino, subject to appropriate conditions.’
Furthermore, ‘the NICC’s Chief Commissioner Philip Crawford said Bally’s had submitted a plan to improve on The Star’s financial performance, which it will be required to report back on regularly as a condition of the approval.’
The NICC also approved a proposal from the Mathieson family’s Investment Holdings to increase its shareholdings in The Star.
“Bally’s and Investment Holdings have assured the NICC they will continue the essential remediation work required at The Star so that it can continue to remedy the serious concerns raised in the two Bell inquiries,” noted Crawford.
The NICC notes that the decision does not affect the status of The Star’s Sydney casino license, which remains suspended. NICC-appointed special manager Nick Weeks ‘continues to have oversight over casino operations’.
Meanwhile, the Queensland Office of Liquor and Gaming Regulation has also approved the strategic investments by Bally’s and Investment Holdings.
The approval by both authorities means that The Star can now convert the AU$300 million ($193.5 million) investment into equity and nominate new members to The Star’s board.
Speaking of the move, The Star Chairman Anne Ward noted “We are very pleased to have received all regulatory approvals necessary to complete the Strategic Investment. This is a critical step in The Star’s progress towards a return to suitability and financial stability. We look forward to working with each of Bally’s and Investment Holdings to facilitate an orderly transition and to provide a pathway for a successful future for The Star”.
