Pub and pokie machine baron Bruce Mathieson has become the equal largest shareholder in Star Entertainment Group following his acquisition of a 9.97% stake in the company.
Speaking earlier this week, Mathieson, one of Australia’s richest people, said this that the long-term potential of the company pushed him to spend AU$142 million (€90 million) on his new holding.
Speaking to The Sydney Morning Herald he said:
“I wouldn’t be buying it unless I thought it was good value. I like the assets of the company, I like the industry and I just think it’s something that [as] a long-term holding for my family will be great.”
Star’s stock value has experienced a rapid decline in recent years, dropping from a peak of $5.43 in March 2018 to AU$1.28 on February 14th of this year. However, as of Thursday, it closed at $1.50.
The group’s huge drop in value comes after several high profile investigations which resulted in record fines for the group. In October of 2022, Star was fined the maximum penalty of AU$100 million (€64 million) for license breaches that included allowing money laundering to take place at its Sydney casino.
As a result of those investigations, no individual is allowed to purchase 10% or more of the company’s shares.
Mathieson, who is worth approximately AU$3.7 billion, oversees pokie machine and pub empire Australian Liquor and Hospitality (ALH) jointly with the supermarket chain Woolworths. ALH is the largest pokie machine operator in Australia.
Image credit: llee_wu / CC BY-ND 2.0
Olivia has worked as an editor and writer for major brands across multiple niches. She now focuses on the iGaming and sports betting industries.