The Star Entertainment Group has executed a refinancing term sheet with WhiteHawk Capital Partners, outlining a proposed full refinancing of the Group’s debt and the provision of incremental liquidity to support its ongoing turnaround strategy.
The company said the agreement remains non-binding and may not result in a definitive credit arrangement, though both parties are working towards a binding commitment by the end of March 2026. Subject to documentation, due diligence and the satisfaction of customary conditions, The Star aims to complete the refinancing by mid May. The operator noted that the outcome of the AUSTRAC enforcement case is not a condition for closing the proposed facility.
In parallel, The Star is engaging its existing lenders to secure covenant waivers for the December reporting period to allow sufficient time for the refinancing to be completed. The company warned there is no guarantee such waivers will be granted, which adds further uncertainty to its capital position.
The Star has been under pressure following AUSTRAC’s indication that it would seek a fine of up to AU$400m (US$284.6m) for breaches of anti-money laundering and counter-terrorism financing rules.
Regulators previously pointed to the operator’s AU$300m investment from Bally’s Corp and Investment Holdings as evidence that it had the financial capacity to absorb a significant penalty. However, The Star has stated that any penalty above AU$100m could push the Group towards insolvency.
The company said it will continue to update shareholders in line with continuous disclosure requirements as the refinancing process progresses.
WhiteHawk specialises in asset-based financing for middle market companies and is headquartered in Los Angeles
