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Stock Markets February 25, 2026

Star Entertainment and WhiteHawk Reach Non-Binding Refinancing Term Sheet

Proposed deal would refinance total debt and add liquidity as casino operator seeks temporary covenant relief from lenders

By Maya Rios
Star Entertainment and WhiteHawk Reach Non-Binding Refinancing Term Sheet

Star Entertainment has agreed to a non-binding term sheet with U.S. private credit manager WhiteHawk Capital Partners for a proposed refinancing that would refinance the company’s total debt and provide additional liquidity to support its turnaround plan. The agreement remains non-binding and may not result in a final credit facility; both parties say they are aiming for a binding commitment by the end of March. Separately, Star is seeking temporary covenant waivers from existing lenders for December to allow time for the refinancing process, and it cautioned that a successful outcome is not guaranteed. Shares were trading flat as of 2317 GMT.

Key Points

  • Star Entertainment has agreed to a non-binding term sheet with U.S.-based WhiteHawk Capital Partners to pursue a proposed refinancing of its total debt and to secure additional liquidity.
  • The term sheet is non-binding and may not lead to a definitive credit agreement; the parties are targeting a binding commitment by the end of March.
  • Star is also seeking temporary covenant waivers from existing lenders for December to allow time for the refinancing to be completed; the company said success is not guaranteed.

Star Entertainment has entered into a non-binding term sheet with WhiteHawk Capital Partners, a U.S.-based private credit investment manager, outlining a proposed refinancing of the company’s debt obligations. According to the company, the proposal is designed to refinance its existing total debt while also supplying incremental liquidity to aid execution of its turnaround plan.

The company emphasized that the current document is non-binding and does not automatically convert into a definitive credit agreement. Both Star Entertainment and WhiteHawk are working toward securing a binding commitment by the end of March, but the firm acknowledged that the non-binding arrangement may ultimately not lead to a finalised credit facility.

In parallel with the discussions with WhiteHawk, Star Entertainment is pursuing temporary covenant waivers from its current lenders for the month of December. The waivers are intended to create additional runway for the proposed refinancing to be implemented. Management has cautioned that obtaining these waivers and completing the refinancing are uncertain outcomes.

The company also noted the conditional nature of the proposed financing and the need for further agreement from counterparties before any binding commitments can be recorded. Market reaction to the announcement was muted, with the firm’s shares trading flat as of 2317 GMT.

Context and next steps

Under the terms described in the term sheet, the refinancing would replace the company’s current total debt and provide extra liquidity intended to support Star Entertainment’s turnaround efforts. The timeline cited by the parties targets a binding commitment by the end of March, but no assurance was given that such a commitment will be reached.

Separately, the request for temporary covenant waivers for December from existing lenders is a tactical step to preserve flexibility while refinancing discussions progress. The company made clear that a successful refinancing and the grant of waivers are not assured.

Market reaction

Trading in the company’s shares showed no significant movement at the cited time, with shares reported as trading flat at 2317 GMT.

Risks

  • The non-binding nature of the term sheet means there is no certainty a final credit agreement will be reached, creating execution risk for the refinancing - this impacts the company’s credit profile and lenders.
  • Temporary covenant waivers from existing lenders for December may not be granted, which could constrain the company’s financial flexibility and affect equity and credit markets tied to the firm.
  • The company explicitly stated that a successful refinancing outcome is not certain, leaving continued uncertainty for shareholders and counterparties in the gaming and financial sectors.

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