In the latest bid to perhaps save its ailing reputation, Star Entertainment, the once-famous (and now infamous) Australian casino company behind three casinos in Sydney, the Gold Coast, and Brisbane, has recently garnered renewed attention as it announced that it had received some interest in a takeover from Hard Rock International. The renowned company, however, denies this, and Hard Rock International has been quick to say that it has never expressed any interest whatsoever in acquiring Star Entertainment. These are somewhat serious allegations, and it seems that Hard Rock International is even upset at being associated with the embattled Star Entertainment. It is notable that soon after Star Entertainment announced this, its shares went up by 20%.

Earlier this week, Hard Rock International released a statement about the whole affair through its public relations arm, stating that “…Hard Rock International is not involved in, nor has it authorized, any discussions, activities, or negotiations on its behalf, (particularly) in connection with a proposed bid for Star.”

The statement reiterates the fact that Hard Rock International has distinctly not authorized the use of its brand when it comes to any dealings or connections with Star Entertainment, whether it’s by the Hard Rock brand itself or any purported third party. Hard Rock International continues, “Our brand is built on a legacy of integrity, excellence, and a commitment to our guests, partners, and team members worldwide. Any misuse of the Hard Rock name in unauthorized business dealings is taken very seriously. We are currently investigating this matter and will pursue all necessary legal actions to protect our brand and reputation.”

This comes after Star Entertainment said that it had received attention from an investor group that called itself Hard Rock Hotels & Resorts (Pacific). Several news outlets had also spread the report, including the Australian Financial Review, which reported on Monday that Hard Rock had expressed interest in taking over Star Entertainment and putting in the renewed capital needed to help Star Entertainment gain back its momentum.

However, there is some confusion as to the group’s identity, especially since Hard Rock International’s statement denying its bid for a takeover of the said company.

After Hard Rock International’s denial, Star Entertainment’s shares went down by 10%. On the other hand, when Star Entertainment had announced that Hard Rock had expressed some interest in taking over its operations, its shares went up by 20%. The beleaguered company has had the wind knocked out of its sails, observed Tim Waterer, chief analyst for KCM Trade, and Star Entertainment continues to seek out possible investors as it struggles to stay afloat.

Earlier, when Star Entertainment announced that it had received significant interest from Hard Rock Hotels & Resorts (Pacific), it also said this was a local partner of Hard Rock International. But later on, it changed its statement, saying that it had not heard from Hard Rock International directly.

Star Entertainment’s toughest year yet

It must be noted that the past year was one of the most difficult for the company, as Star Entertainment faced a series of challenges and setbacks. Over the last 18 months, Star Entertainment has battled allegations of inviting well-known evaders of the law to play at its three casinos, and it has also been accused of offering insufficient safeguards against money laundering. As if these accusations weren’t enough, Star Entertainment also had to deal with the fall from grace and resignation of David Foster, its chairman, in the early part of 2024. Mr. Foster is additionally facing penalties and fines. It has been a tough year for Star Entertainment, despite having all three of its casinos open to the public.

Meanwhile, it is not a secret that Hard Rock International is merging with other casino companies, starting with its much-publicized purchase of 888 Holdings plc. The takeover will be finalized later on in the year, so Hard Rock is buying companies – just not Star Entertainment. And there are additional reports that Hard Rock International is set to solidify its hold on the gambling space in the US, which would explain its acquisition of 888 Holdings. It’s also not denying this, as it has said that it’s looking to add to its casino portfolio. As for Star Entertainment, it doesn’t look like it will be acquired by Hard Rock International anytime soon.

Amidst the allegations that Star Entertainment is facing, it remains hopeful that it will overcome its many challenges and will find probable suitors in the near future.