Reef Casino is in the process of being potentially taken over by Iris Cairns Property.
However, in a recent statement, it was confirmed that casino licence approvals would be unlikely to be finalised before the offer closes in March 2026, placing some uncertainty over the deal's future.
Indeed, Reef Corporate Services, which oversees Reef Casino, said that the Queensland suitability investigation, done under the Casino Control Act, is unlikely to be completed until May of next year. Approval is mandatory as part of the takeover process.
In the statement, Reef Casino wrote: 'Unless Iris determines to extend the offer period, it is likely that the offer will be subject to this condition at the end of the offer period. If this occurs, then the offer will not proceed."
However, when addressing shareholders, the report followed up by adding: "Your Directors continue to recommend that you accept the Offer.
"If Iris extends the Offer Period by more than one month, Unitholders who have accepted the Offer before the extension may be entitled to withdraw their acceptance of the Offer. However, the Major Unitholders have each reconfirmed that they will not exercise any withdrawal rights that may arise if the Offer Period is extended because of the non-satisfaction of the gaming regulatory approval condition."
This story comes in a long line of challenges facing the Australian gaming industry. Major land-based operators such as The Star recently received an AU$300m (US$193m) equity investment from Bally's, after a series of AML failings resulted in fines that ultimately left the operator facing a net loss of AU$1.69bn in FY24, and a net loss of AU$472m in FY25.
Crown Resorts returned to the red for FY25, reporting a profit of AU$142m
