The Star entered a trading halt this morning after receiving interest from companies interested in taking over the troubled casino, including Hard Rock Hotels & Resorts (Pacific).

Hard Rock runs more than a dozen casinos in the United States and venues in 70 countries around the world. The Star told shareholders it had not received a proposal directly from Hard Rock Hotels and Casinos itself. However, The Star said it understands the company is a local partner of Hard Rock.

However, the Australian Financial Review noted: “The most logical buyer surely remains Blackstone, owner of Crown Resorts. Its existing operations give it synergies that no other bidder can match, and having recently won back its licences in NSW and Victoria, it would have a huge regulatory head start on any rivals.”

The Star’s shares ended 20% higher at A$0.54 on Monday following the news.

“While the market has reacted positively to the speculation about an acquisition by Hard Rock, Star Entertainment Group’s 73,000 shareholders will have a large say in the outcome of this,” said Ben Williamson, co-founder and co-CEO at investor marketing platform InvestorHub.

“Star will need to engage its entire base to ensure any takeover is successful.”

The Star said it remains focused on its remediation activities in NSW and Queensland and participating in the Bell Two Inquiry.

Adam Bell SC is running the inquiry at the request of the Independent Casino Commission to assess whether Star had done enough to win back its Sydney licence.

Bell’s first report in 2022 found Star was unsuitable to hold its licence, describing its operations as “a case study of unethical conduct and cultural failure” that may have evaded taxes and facilitated $900 million of banned gambling transactions.

If Star is found unsuitable at the end of Bell’s second inquiry, its licence could be permanently revoked, resulting in the casino being shut down.

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