Star Entertainment to sell stake in Brisbane's Treasury casino building

Star Entertainment is set to divest its stake in Brisbane's Treasury Casino for $45.47 million. The company, which is currently collaborating with advisers to finalise its financial performance for the 2024 fiscal year, has faced increased scrutiny following the Independent Casino Commission of New South Wales' findings that the casino's management was slow to tackle issues related to governance and corporate culture.

Despite the appointment of a new board and management team, efforts to rectify the legacy problems left by previous leadership have been challenging. The company's outlook remains grim, particularly after shares were suspended last week due to the failure to submit financial results punctually.

If the court rules unfavorably against The Star, it risks losing its gaming license, which would eliminate its access to Sydney's lucrative market. However, a vacant licence could present an attractive opportunity for international operators, given Australia's robust gambling sector.