Australia’s Star Entertainment Group is said to have asked US casino operator Bally’s to increase its AU$250 million (US$158 million) offer to acquire a controlling stake in the company as it continues to explore options to avoid going into administration.
The Australian Financial Review reports that Star and its bankers have been trading term sheets with the goal of reaching a deal that would enable the troubled Australian company to continue as a going concern. However, any such deal will need to be reached imminently amid suggestions that Star is again just days away from running out of cash.
According to the AFR, Star is seeking considerably more than the AU$250 million Bally’s offered previously for convertible notes that could be converted to 50.1% equity in the company should it receive regulator and shareholder approvals.
