Executives from WhiteHawk Capital Partners have toured casino properties operated by The Star Entertainment Group as the American investment firm conducts due diligence on a proposed refinancing deal.
According to the Australian Financial Review, the visits included Star’s Australian casino assets, with Alex Zuckerman and his team walking the floors of properties the firm is being asked to back financially. Soo Kim has also been involved in the restructuring discussions. The site inspections signal that negotiations between the two parties have moved into a more substantive phase, though no binding agreement has yet been reached.
Term sheet in place
Star confirmed in an ASX announcement on 26 February that it had executed a non-binding refinancing term sheet with WhiteHawk. The proposed transaction would replace the company’s existing group debt and inject additional liquidity into the business, which has been navigating a prolonged and difficult period of regulatory scrutiny and operational pressure across its New South Wales and Queensland casino operations.
The company and WhiteHawk are working toward a binding commitment by the end of March, with full completion of the transaction targeted for mid-May. In parallel, Star said it is engaging with existing lenders on covenant compliance during the refinancing period, an indication of the financial constraints the operator is currently managing.
Properties under evaluation
The casino assets at the centre of the refinancing discussions are The Star Sydney, The Star Gold Coast and Treasury Brisbane. Together they represent the full footprint of Star’s gaming operations, all of which fall under state-level regulatory oversight. New South Wales and Queensland authorities each govern licensing conditions for the relevant properties, making the regulatory environment a material consideration for any prospective lender conducting commercial due diligence.
WhiteHawk’s decision to visit the properties in person reflects standard practice for a transaction of this nature, where the physical condition and operational viability of casino assets factor directly into financing terms.
Securities movement
Shortly before the refinancing term sheet was announced, Star filed an ASX Appendix 3H disclosing the cessation of around 9 million performance rights. The forfeiture followed the departure of a member of key management personnel, with the cessation formally recorded on 27 February and the filing submitted on 6 March.
Following the change, Star’s issued capital stood at approximately 6.64 billion ordinary shares. Unquoted securities remaining on issue included about 26.7 million performance rights and roughly 3.1 million options expiring in November 2027.
The personnel departure, while separate from the refinancing process, added to a period of transition at the company. The timing of both disclosures, within days of each other, reflected the volume of structural activity under way at Star heading into the first quarter of 2026.
Company working through rehabilitation
Star has been working to stabilise its business following years of regulatory intervention that led to findings of unsuitability at its Sydney and Queensland operations. The company has undergone management changes, remediation programmes and ongoing engagement with casino regulators in both states as part of efforts to restore its licences to full standing.
Where things stand
With a binding commitment targeted for the end of March and transaction completion expected by mid-May, the coming weeks will determine whether WhiteHawk proceeds on agreed terms. The site visits by the firm’s executives suggest active engagement, but Star has not disclosed the proposed structure of the refinancing in detail, and the existing lender discussions.
Subscribe HERE to SiGMA’s Top 10 News countdown and SiGMA’s weekly newsletter to stay up to date with all the latest iGaming News from the world’s iGaming authority, and benefit from subscriber-only offers.
