Iris Capital has offered AU$23.1 million to acquire the remaining 14.23% of Reef Casino Trust. The Australian operator already holds 85.77% following the close of its first offer in August. Iris also owns Casino Canberra and Lasseters in Alice Springs.
The new price is AU$4.67 ($3.25) per unit, 20.7% above the previous AU$3.87 ($2.70). Documents were sent to unitholders on 8 October, with acceptance open until 9 November. Iris intends to delist the trust from ASX and pursue compulsory acquisition of remaining units if exchange and corporate law permit.
The buyer has flagged plans for refurbishment and modernisation of the casino. Distributions to unitholders may be reduced or suspended. Iris has not yet set a dividend policy. The casino hotel rebranded from Pullman to The Reef Hotel Casino Cairns — Handwritten Collection under Accor's portfolio.
The deal will squeeze out minority holders and take the asset private. For regional operators it signals consolidation: Iris is expanding its land-based portfolio in Australia.
