Business
29 August, 2025
Casino takeover bid hots up
THE battle for the Reef Hotel Casino in Cairns has jumped $1 million to top $192.7 million.
Sydney businessman Sam Arnaout’s latest takeover bid, via Iris Cairns Property Pty Ltd, on Thursday this week has been backed by the Reef Casino Trust (RCT) board which has recommended that unit holders accept the new offer of $3.87 per unit - up from $3.72.
This follows billionaire Chris Morris offering to pay $3.85 per unit or $191.7m on August 21, a day after Iris increased its bid from $177m to $185.3m.
As of Friday the trust was valued at $186.25m.
Trust chief executive officer Brad Sheahon told the Australian Securities Exchange on Thursday that the independent board committee (IBC) established by the trust’s Reef Corporate Services Ltd (RCSL) had considered the offer and the directors (both independent and non-independent) “unanimously recommend that unitholders accept the offer”.
He said the recommendation was subject to no superior proposal and to an independent expert assessing the latest bid.
IBC and trust chairwoman Wendy Morris said “we are pleased that Iris has revised its proposal to acquire RCT and that the revised proposal will deliver additional value to unitholders”.
Mr Sheahon said the latest offer had the unanimous support of the RCSL board and all directors who also intended to accept the offer in respect of all the units they held or controlled after the satisfaction or waiver of the regulatory conditions, in the absence of a superior proposal and subject to the independent expert giving (and not revoking) a reasonable opinion.
He said the trust’s two largest unitholders Accor and Casinos Austria International, who control more than 71 per cent of the units in RCT, supported the offer.
Mr Sheahon said the offer was subject to conditions including 80 per cent minimum acceptance by unitholders and Queensland casino and liquor licensing approvals.
He said RCT would provide unitholders with its detailed recommendations, including the independent expert’s report, on or about September 28.
Iris is based in Sydney and is part of the Iris Capital group which owns two casinos in Canberra and Alice Springs and more than 60 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.
