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Highlights:
- Star Entertainment suspends domestic and international rebate play programs from today.
- The company also appointed interim executive members after the resignation of significant board members.
- SGR will soon begin the appointment of permanent board members.
The shares of The Star Entertainment Group Limited (ASX:SGR) were spotted trading 0.986% lower at AU$3.01 per share at 11:03 AM AEST on the ASX today (9 May). Approximately 1.2 million shares of Star Entertainment were traded after the stock opened for trading on Monday morning.
The ASX-listed consumer service provider announced today its decision to suspend all domestic and international rebate play programs.
The share price of Star Entertainment has fallen approximately by 28% on the ASX over the past 12 months. On the other hand, Star Entertainment’s year-to-date share price has also fallen over 20% at 11:03 PM AEST on the ASX today (9 May).
Details of Star Entertainment’s suspension update:
Today, The Star Entertainment Group announced that it has suspended all domestic and international rebate play programs. Although Star Entertainment ended all its junket programs back in October 2020.
Yet the company affirmed once again that it is committed to not dealing with junkets as it addressed the issue that arose from an ongoing review of The Star Entertainment being undertaken aligned with the Casino Control Act 1992 (NSW) by Adam Bell SC.
Furthermore, the company also associated itself with external advisors to continue a significant program to execute and enhance its systems and processes to fully cooperate with the review.
The company believes that this decision to suspend rebate programs would not be expected to have any material impact on earnings for FY22, given the impacts the company has already experienced due to the COVID-19 crisis.
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Interim Executive appointment:
Followed by the announcement made by Star Entertainment on 6 May 2022, the company revealed today about the appointment of two interim executive members- Christina Katsibouba as the Interim Chief Financial Officer and Geoff Hogg as the Interim Chief Casino Officer of the company. However, their appointments are subjected to relevant regulatory approvals.
The announcement on 6 May referred to the news of resignation by:
- Harry Theodore- Chief Financial Officer.
- Greg Hawkins- Chief Casino Officer.
- Paula Martin- Chief Legal & Risk Officer and Company Secretary.
Meanwhile, they will work with the Executive Chairman to ensure a smooth transition. An executive search for a permanent appointment for the company will begin soon.
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About Star Entertainment:
Image Source © 2022 Kalkine Media ®
The Star Entertainment Group Limited is an ASX-listed consumer service provider with a market capitalization of AU$2.97 billion. The company is primarily involved in the business of gaming, entertainment, and hospitality. Star Entertainment operates through three segments across Australia- The Star Sydney, Gold Coast and Treasury Brisbane. Additionally, the company is also the owner and operator of The Star Sydney, Treasury Casino and Hotel, Brisbane, and Jupiter Hotel and Casino, Gold Coast.
