Key Moments:
- Bally’s secured full regulatory approval from authorities in New South Wales and Queensland for its investment in The Star Entertainment Group.
- The Mathieson family’s Investment Holdings received authorization to expand its ownership of The Star alongside Bally’s.
- The Star posted AU$1.4 billion (€785 million) in revenue for the financial year ending 30 June 2025, reflecting a 19 percent decline year-on-year.
Comprehensive Regulatory Clearance Achieved
Bally’s has achieved complete regulatory clearance for its investment in The Star Entertainment Group. Both the New South Wales and Queensland authorities have granted their approvals, setting a milestone in The Star’s continuing reform efforts. The NSW Independent Casino Commission (NICC) and Liquor & Gaming NSW completed detailed probity and financial reviews, ultimately determining that Bally’s and relevant associated individuals were “suitable persons” for participation in The Star Sydney’s operations. However, approval comes with stringent regulatory conditions.
Conditions and Responsibilities
As part of the go-ahead, Bally’s submitted a comprehensive financial improvement strategy for The Star, which must be submitted to regulators on an ongoing basis. NICC Chief Commissioner Philip Crawford stated that Bally’s had evidenced a strong commitment to helping The Star achieve financial stability and long-term renewal.
Mathieson Family and Board Representation
The NICC has also allowed the Mathieson family’s Investment Holdings to expand its stake in The Star. Both Bally’s and the Mathieson group have committed to maintaining corrective measures in line with recommendations from the two Bell investigations, which revealed significant failures in governance and anti-money-laundering practices.
The status of The Star Sydney’s casino license remains unchanged – the suspension is still in effect, meaning normal operations cannot resume. NICC-appointed special manager Nick Weeks continues to supervise operations for ongoing compliance.
Dual-State Endorsement and Governance Shifts
Queensland’s Office of Liquor and Gaming Regulation has cleared both Bally’s and the Mathieson stake increase, giving the transaction the required dual-state backing. As a result, The Star is now able to convert AU$300 million (€168 million) of investment into equity, bolstering its balance sheet. Additionally, these approvals permit Bally’s and the Mathieson family to nominate new members to the board, aimed at reinforcing governance and stability.
The Star Chair Anne Ward described these decisions as crucial for the company’s recovery, expressing that the investments are vital to regaining its suitability as a licensed casino operator and supporting a smoother transition toward long-term stability.
Structural Changes and Financial Performance
Major internal changes are underway at The Star. Anonymous sources indicated to the Australian Financial Review that the regulatory clearances were anticipated this week. Bruce Mathieson’s appointment as non-executive director in October reaffirms the family’s increased influence at The Star.
Star CEO Steve McCann has communicated to staff the launch of a restructuring initiative starting 10 November, targeting future operational demands.
| Financial Metric | Value | Year-on-Year Change |
|---|---|---|
| Revenue (FY ending 30 June 2025) | AU$1.4 billion (€785 million) | -19% |
| Revenue Decline – Sydney | -22% | |
| Statutory Net Loss | AU$427.7 million (€239 million) | |
| Net Loss before One-off Costs | AU$215.5 million (€120 million) | |
| Debt under Negotiation | AU$430 million (€241 million) |
The company is in the process of refinancing AU$430 million (€241 million) in debt while facing potential further penalties that, according to its own assessment, could put its viability at risk.
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- Author
Daniel Williams
