Australia’s Star Entertainment Group is facing mounting financial pressure as its lenders—under the Senior Facility Agreement (SFA)—have rejected the terms it proposed for covenant waivers on its AU$430 million (US$279 million) loan. These waivers would cover its obligations for the quarters ending September 30 and December 31, 2025, but the board has deemed the lenders’ conditions “unacceptable” to the company’s interests.

Reporting Delays and Continued Financial Strain

In light of the impasse, Star has postponed the release of its unaudited full-year financial results by one day, with reports now expected on August 29. The delay repeats a pattern—earlier this year the company deferred its half-year results amid concerns around liquidity and refinancing arrangements. Without the requested waivers, Star may struggle to meet regulatory deadlines for audited reporting, further jeopardising investor confidence and operational transparency.

Restructuring Efforts Underway Amid Ongoing Challenges

This failure to secure adjusted debt terms adds to Star’s complex restructuring efforts. The company has already signed a deal to sell its 50% stake in the A$3.6 billion Queen’s Wharf Brisbane resort and has previously secured a A$300 million rescue injection from Bally’s. Amid persistent revenue declines and lingering regulatory scrutiny, the unresolved debt situation now threatens the stability of Star’s turnaround strategy.