The Star Entertainment Group has declared that its Chief Financial Officer, Christine Catsimatidis, has stepped down from her position.
Robbie Cooke has relinquished his role as Chief Executive Officer and Managing Director of Star Entertainment Group in Australia, while Christine Catsimatidis has also resigned as CFO.
Star Entertainment Group has experienced a significant loss of key executives, with the CEO and CFO departing.
Cooke and the board have concluded that a change in leadership is in the best interests of the company. Star Entertainment Group has stated. Chairman David Foster will assume the role of Executive Chairman and take on more responsibilities while a search for a permanent CEO is underway.
Cooke assumed the position of CEO of Star Entertainment Group in November 2022. Prior to this, he was the fourth CEO in a year for the operator, following Matt Bekier (who stepped down during the NSW inquiry into Star Entertainment Group), John O’Neill and Geoff Hogg.
Before joining Star Entertainment Group, Cooke served as CEO of Tyro Payments. However, he is widely recognized for his tenure as Managing Director and Group CEO of the lottery business Tatts Group from 2013 to 2018. He departed shortly after the sale of Tatts Group to Tabcorp was finalized.
Cooke has withdrawn from his top position at Star Entertainment Group. However, he will continue to act as an advisor to the operator for the next six months.
Cooke’s departure coincides with a second inquiry by the New South Wales Independent Casino Commission (NICC) into Star Entertainment Group.
As previously declared, Adam Bell will take the lead in examining how Star Entertainment carried out the suggestions from the initial Bell Report, which he also oversaw.
Star Entertainment was deemed unfit to possess a gambling permit in New South Wales in September 2022 after a preliminary inquiry uncovered a series of shortcomings in anti-money laundering and social responsibility.
Cook stated he would step down as the head executive because it would be “harmful” to the investigation, which will conclude in 15 weeks with the final report due on May 31.
“Although I am deeply disheartened by this result, I have concluded that my continued position as Group CEO is detrimental to the New South Wales Independent Casino Commission (NICC) deciding whether Star Entertainment is suitable to hold a gambling permit,” Cook stated.
“Under these circumstances, a change in leadership offers the best chance for the company to address the regulatory pressures. I am encouraged by what we have accomplished over the past 16 months.
“I am confident the company is now on the correct path. I will continue to support David and the upcoming CEO in finishing the key business and important strategic plans in progress.”
Star Entertainment’s chair commended Cook’s “relentless efforts.”
Anne Ward will serve as the chief independent director, with Foster assuming a new executive role. Foster lauded Cook’s influence on the business in recent years.
Upon his arrival in October of last year, Robbie has concentrated on solidifying operations, tackling the company’s existential predicament, fulfilling regulatory requirements for independent restructuring, and reconstructing the leadership team and frameworks, Foster remarked.
“This encompasses the recruitment of additional senior risk, compliance, and financial crime executives, and initiating our cultural metamorphosis. Robbie expressed a dedication to placing safe, accountable, and ethical gaming at the core of all our endeavors.”
Foster also alluded to the second investigation in New South Wales, asserting his conviction that the operator will restore the confidence of patrons.
“We remain fully committed to being deemed suitable to possess casino licenses in New South Wales and Queensland,” Foster stated. “In my capacity as CEO, I am resolute in my intention to sustain the positive trajectory of the Star Group as we strive to regain the trust of our stakeholders.
“The numerous employees of the company merit stability and security as they collaborate to continue steering the business back on course.”
Chief Financial Officer Cassie Baba is also scheduled to depart.
In other developments, the Star Group also confirmed today that Christina Cassie Baba will be relinquishing her position as Chief Financial Officer. Former Tatts Group CFO Neil O’Connell will assume the role on a provisional basis.
Christina Cassibba, who has served as the Chief Financial Officer of Star since May 2022, is departing the organization after a nine-year tenure. She initially assumed the position on a temporary basis before being permanently appointed, but is now moving on to explore other opportunities.
Cassibba joined Star in April 2015 as the General Manager of Financial Transformation and has held various senior financial positions since then, including Group Financial Controller and Deputy CFO. She also served as Group Executive Gaming before assuming the role of CFO.
Before joining Star, Cassibba worked for Salmat, an Australian market firm, for nearly five years in a financial capacity. She also had stints at Apparal Group and PricewaterhouseCoopers.
Star stated that Cassibba is leaving to pursue other interests outside of the business world.
“Christina stepped into the CFO role following the Bell Inquiry in 2022,” said Foster. “After two challenging years, she feels it’s time to move on.
“She has the Board’s and my personal gratitude for her tireless efforts as CFO and a senior executive. We extend our best wishes to her.”
O’Connell appointed interim CFO
Cassibba’s replacement is O’Connell, a manager with extensive experience in both the gaming and leisure sectors.
O’Connell most recently served as Global CFO of Corporate Travel Management from July 2019 to June 2021. Prior to that, he spent nearly 14 years at Tatts Group, initially as Group General Manager Finance before being elevated to CFO.
Neil Howard previously served as the Chief Financial Officer for both Delta Group and Smorgon Steel in Australia. In recent years, he has acted as a strategic consultant for Songtradr and is presently a board member of the Australian Financial Regulator.
“Neil is an individual with a wealth of experience and capability,” stated Foster. “He brings industry and listed company experience that will offer fresh perspectives and leadership to our management team.
“Star Entertainment operates in a highly regulated environment and is undergoing significant internal change. Neil’s past experience will be invaluable.”
Star Entertainment Reports First-Half Earnings
The news arrives after Star Entertainment last month declared that it had achieved a net profit for the initial six months of its 2024 fiscal year. However, the company also reported a decrease in group revenue.
Revenue for the first half declined by 14.6% to A$865.7 million (£447.2 million/€521.3 million/$564.6 million). Despite this, Star Entertainment turned a profit, recording a net profit of A$9.1 million, compared to a loss of A$1.26 billion in the same period the previous year.
Sign up for the iGaming News Newsletter
Mia "Mystique" Turner