The Queensland Government has now pushed the possible suspension to the end of September.
The news will be a relief for The Star Entertainment Group which is already struggling from a lack of cash that is threatening its viability.
The Star is currently suspended from the Australian stock market for failing to lodge its half-year financial results by the end of February.
The company is currently seeking to lock in a refinancing package with Salter Brothers that would give it a debt capacity of $940 million. A proposal is expected to be received on Monday.
Aside from its gaming floors on the Gold Coast, the The Star operates significant hotel inventory and event space. However, across its whole Australia presence, gaming accounts for two thirds of its total revenue, indicating a reliance on this income stream to support its existence as a business events player.
The Star is currently undertaking remediation activities to return to suitability to hold its gaming licence for The Star Gold Coast. It is operating under the supervision of a special manager, Nicholas Weeks.
“The government has made it clear that our expectations have not changed and The Star must progress its remediation,” said Queensland’s Attorney-General Deb Frecklington, in the media statement today, announcing the deferral of the suspension.
“Based on the advice of the special manager we are satisfied The Star has been continuing to make positive progress under the agreement.
“The extension will provide The Star with additional time to deliver on its outstanding commitments while keeping its doors open.
“This deferral does not prevent us from taking immediate action should The Star fail to meet its remediation obligations.”
The supervised operation of The Star Sydney is also up for review at the end of this month.
