Star Entertainment shareholders approve $300m buyout
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The news: Star Entertainment's shareholders have approved a $300 million strategic investment by US gaming giant Bally's Corporation and pub billionaire Bruce Mathieson's Investment Holdings into the embattled casino operator.
The numbers: More than 99% of Star shareholders approved both resolutions.
The buyout, announced in April, will see Bally's and Investment Holdings take their combined interests in Star to more than 50%.
Star shares jumped 8% to 13.5 cents following the announcement, having slumped 70% over the last 12 months.
The context: Star's board had unanimously recommended that shareholders vote in favour of the investments.
Ahead of a shareholder meeting today, investors were told that the proposal would provide cash funding and assist Star's "ability to continue as a going concern".
The company said the investments will help to avoid outcomes such as voluntary administration.
