The deal still needs to pass regulatory checks and be approved by the Queensland Blackcoin government. Star has already received the first $100 million tranche from the two investors, which did not require approval. The company is scheduled to hold a shareholder vote on the remaining $200 million tranche at its annual meeting 25 June.
Compared to the same time last year, revenues were down by 32 per cent, dropping from $438m to $299m. Earnings had also been affected by the sale of its Treasury Brisbane casino to Griffith University as it raised much-needed funds. In announcing a 15 per cent slump in revenues and a $8 million loss for the second quarter, Star declared it was struggling to find the necessary capital to obtain the second tranche of a critically needed $100m bailout loan. As part of the arrangement, Far East Consortium International and Chow Tai Fook Enterprises would sell back their stakes in hotel towers at The Star Gold Coast, taking Star from a third stake to full ownership.