It looked like the fortunes of Star Entertainment Group were changing when its share price jumped 20% on Monday after revealing takeover interest from a consortium of investors that included Hard Rock Hotels & Resorts (Pacific).
Now the casino company’s stock has fallen once more after Hard Rock International said that it is not currently in any discussions about an acquisition and didn’t permit any third party to use the Hard Rock name as part of a possible bid.
Star Entertainment issued a response on Tuesday to confirm that it didn’t get any direct proposal from Hard Rock International, just an “incomplete and indicative proposal” from a group of investors that included an entity named Hard Rock Hotels & Resorts (Pacific).
appears that a developer in Brisbane who once was involved with a Hard Rock Café is behind the interest
Now it appears a developer in Brisbane who was once involved with a Hard Rock Café is behind the interest. Patrick Farrugia claims to have confidential and long-standing arrangements with “Hard Rock Inc USA (& related entities).”
This is the latest incident to leave Star Entertainment red-faced. It is currently in the middle of a second inquiry into New South Wales (NSW) to judge if it is suitable to continue operating casinos in the state.
Some other recent embarrassing events include a glitch at the Star Sydney that led to patrons getting AU$3.2m (US$2.1m) in free money from an ATM and a secret plot by management to oust the government-appointed special manager Nicholas Weeks.
