• $650 million in two debt facilities with a 5-year term
• Proposal subject to numerous conditions, including government and regulatory approvals
• No certainty the Proposal will be progressed or implemented

The Star Entertainment Group Limited (ASX: SGR) has received a debt financing proposal from funds associated with Oaktree Capital Management (Oaktree). The Proposal includes a commitment letter and term sheet which set out the terms upon which Oaktree would be willing to provide a total of $650 million in two debt facilities with a term of 5 years. The Proposal is subject to numerous conditions, including a comprehensive security package and intercreditor documentation which requires consents from the New South Wales and Queensland Governments and regulators, completion of due diligence in relation to specified matters, that the existing SFA lenders enter a settlement and or refinancing agreement on terms satisfactory to Oaktree, the execution of long-form financing documentation, and other conditions. The Proposal is not conditional on The Star raising subordinated capital nor any waiver or deferral of tax payable to State Governments. The Board of The Star will consider the Proposal, but there is no certainty that the Proposal will be progressed, that the conditions to the Proposal will be satisfied, or that the Proposal will be implemented. If The Star proceeds with the Proposal, the Company will require additional funding for the period prior to the Proposal being implemented. The Group continues to explore possible liquidity solutions, but there is no certainty that any of these discussions or negotiations will result in one or more definitive arrangements that might materially increase the Group's liquidity position. In the absence of one or more of those arrangements, there remains material uncertainty as to the Group's ability to continue as a going concern.