Star Entertainment Group has announced a trading halt after a final report into the company’s conduct was released in NSW.
ASX Compliance made an announcement to the market on Friday confirming the news of the trading halt.
“Trading in the securities of The Star Entertainment Group Limited (‘SGR’) is suspended at the request of SGR, pending further notice,” the announcement said.
‘Unless ASX decides otherwise, trading in the securities will remain suspended until normal trading resumes on Monday 2 September 2024 or, if earlier, until the announcement is released to the market.’
The freeze comes after the NSW Independent Casino Commission (NICC) released the latest Bell Report, authored by Adam Bell SC.
The report found that the company had failed to address cultural concerns raised in its first 2022 report, which concluded that the Star was not fit to hold a casino licence.
THE STAR POKIES CLOSING DOWN
Philip Crawford, chief commissioner of the NICC, said the group had only recently begun to address “challenges that should have been prioritised earlier”.
“The Bell Report notes that Mr Steve McCann Group CEO, Ms Janelle Campbell Sydney CEO and Ms Jeannie Mok Group Chief Operating Officer bring significant experience and expertise to the process of engagement with regulators and recovery and cultural transformation, which will be critical if the NICC decides that The Star should remain the operator of The Star Casino,” Mr Crawford said.
He noted that “transparency and cooperation” had improved since the appointments of Mr McCann, Ms Campbell and Ms Mok.
Mr McCann, who previously worked at Lendlease and Crown Resorts, was only appointed CEO at the end of June.
“However, the Bell report underscores the NICC’s concerns that it did not receive all the facts from The Star at a time when we needed assurance that the company could fund and prioritise an urgent corporate restructuring,” he said.
‘The NICC is responsible for regulating a sector that is highly vulnerable to criminal infiltration. We are tasked with setting regulatory standards that meet community expectations.
“It was unclear whether The Star would be able to operate with less oversight given the company’s history of engaging in similar behavior while its license was still revoked.”