Business
1 August, 2025
Casino bidding war
THE takeover of the Reef Hotel Casino complex in Cairns is embroiled in a bidding war.
After a $177 million offer by Sydney-based casino and hotel operator Sam Arnaout, of the Iris Group, another contender – Chris Morris of the Morris Group – has upped the ante to $184m.
Iris offered $3.5541 per unit in the Reef Casino Trust, while the Morris counter bid is $3.70.
An independent board committee established by the Reef Hotel Casino had “unanimously recommend that unitholders accept the (Iris) offer”, which was backed by all directors three weeks ago.
But now trust chief executive officer Brad Sheahon told the Australian Securities Exchange on Monday that it was advising unitholders to “take no action in respect of the alternative proposal at this time".
“The alternative proposal will need to be considered in detail by the independent board committee established by Reef Corporate Services Ltd (RCSL) and RCSL’s financial and legal advisers,” he said.
“The directors of RCSL (both independent and non-independent) maintain their recommendation of the Iris offer on the basis set out in RCSL’s announcement dated July 14, 2025 …”
Iris Capital is the owner of casinos in Canberra and Alice Springs, as well as more than 60 pubs and hotels, mainly in New South Wales.
Mr Morris is the co-founder of Computershare and owns luxury outback accommodation at Mount Mulligan Lodge, the Ville Resort-Casino in Townsville, Orpheus Island Lodge, Pelorus Island, a fleet of helicopters and superyachts in Cairns and several pubs and hotels, including the Julatten Hotel.
