Business
20 March, 2026
Casino takeover delay
AN offer by Sydney-based casino and pub tycoon Sam Arnaout to buy The Reef Hotel Casino has been extended yet again.
His Iris Cairns Property Pty Ltd company has also acquired 77.28% of the shares in the Reef Casino Trust (RCT), getting closer to the 80% minimum required to take control of the Cairns CBD gaming and hotel venue.
The Australian Securities Exchange was advised earlier this month of the extension until 14 August 2026, more than a year after the takeover bid was launched in April last year.
According to a statement by Mr Arnaout, investigations by the Queensland Office of Liquor and Gaming Regulation (OLGR) into whether Iris were “suitable to be associated or connected with the ownership, management and administration of a casino in Queensland” were not expected to be finalised until the end of June 2026.
Iris’ offer of $3.87 per share remains, valuing the trust at $192.7 million. On 18 March the trust’s market capitalisation was $172.3m.
RCT chairwoman Wendy Morris said, in a letter to the ASX, that RCT directors continued to recommend to unitholders to sell.
Ms Morris said that RCT directors continued to recommend to unitholders “to accept the offer (in the absence of a superior proposal and subject to the independent expert not withdrawing or revoking the reasonable option)”.
Iris’ offer for the trust is backed by RCT’s two largest shareholders – Accor and Casinos Austria International.
Far North tourism tycoon Chris Morris also tried to buy the casino last year but was outbid by Mr Arnaout.
It’s the second extension he has sought after the OLGR late last year said it would not be able to complete its investigations until at least 31 May this year.
Late last year, Mr Morris indicated he was still interested in the deal.
“We believe a process with Morris Group would have been much faster, benefiting shareholders, as we already have a license in Queensland. Morris Group remains interested if the opportunity arises,” the company said in a statement.
“We understand the level of scrutiny in a Queensland suitability investigation, so a delay in OLGR being able to make a decision is not surprising.’’
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.
