Star Gets Debt Lifeline and Needs Even More in Fight to Survive.

Star Entertainment Group Ltd. has secured a new A$200 million debt facility and is seeking additional capital to address its financial challenges and maintain control of its Sydney casino. The company has agreed to pay an annual interest rate of 13.5% on the debt, reflecting its urgent need for cash and fragile financial situation. Star is facing multiple crises, including a recent inquiry that found it unfit to operate the Sydney casino due to breaches of its license, dysfunctional leadership, and a questionable culture. The company is also experiencing significant losses and declining revenue. It is considering raising more money, including through subordinated debt, to meet its near-term funding requirements. Star's CEO, Steve McCann, acknowledges the significant challenges facing the company and is implementing initiatives to improve performance and cash flow. The latest debt finance package is a short-term solution, and Star must demonstrate its financial viability and cultural turnaround plan to the gaming regulator in order to continue operating the Sydney casino. [Extracted from the article]