The Star Leisure Group declares that its discussions with three way partnership companions Chow Tai Fook Enterprises and Far East Consortium Worldwide have been terminated.
After being unable to achieve an settlement on various ‘excellent business points,’ The Star proposed to the Joint Enterprise Companions an extension of a negotiation date to six August, however this was not accepted.
Consequently, the heads of settlement (HoA) termination discover has taken impact, and it has been formally terminated. The discussions date again to March when Star Leisure deliberate to promote its stake within the Vacation spot Brisbane Consortium (DBC) and Vacation spot Gold Coast Consortium (DGCC) to its three way partnership companions.
Now that the deal has fallen by means of, The Star will retain its 50% fairness curiosity in DBC and its ⅓ fairness curiosity in DGCC. “The Star will even retain the Treasury Brisbane resort and automobile park and its 50% fairness curiosity within the Charlotte Road Automobile Park (Competition),” the ASX announcement states.
The Star should additionally repay $10 million of proceeds it obtained from the Joint Enterprise Companions, with the quantity payable by 6 August 2025.
The Star will retain its 50% fairness curiosity within the Vacation spot Brisbane Consortium
Along with the reimbursement, The Star should reimburse the Joint Enterprise Companions for its share of fairness contributions which have been made by them to the DBC since 31 March 2025. This quantity is at present anticipated to be roughly $31 million and is payable by 5 September 2025.
As for the Joint Enterprise Companions, they’re required to reimburse The Star for his or her share of fairness contributions which have been made by The Star to DGCC since 7 March 2025 underneath the phrases of the HoA. That is anticipated to be round $1 million.
“The Star is continuous to interact with the Joint Enterprise Companions and can present an replace if there are any materials developments concerning the events’ respective pursuits in DBC and DGCC,” the announcement says.
“Given the termination of the HoA, The Star is contemplating what various choices could also be accessible to it in relation to its 50% fairness curiosity in DBC, together with the Treasury Brisbane resort and automobile park and its 50% fairness curiosity within the Charlotte Road Automobile Park (Competition).”
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