Investment firm Macquarie Group has bought a five per cent stake in casinos operator Echo Entertainment Group.

Echo said in a statement to the Australian Securities Exchange on Wednesday that Macquarie had become a substantial shareholder in Echo on June 7, having acquired about 35.1 million shares, or about 5.1 per cent of Echo.

Echo announced on Tuesday that it proposed to undertake a capital raising – the amount of which was undisclosed – and its shares are currently in a trading halt.

The company last week lost its chairman John Story after Crown’s James Packer launched a public campaign against him.

Crown is Echo’s largest shareholder, with a 10 per cent stake.

Echo owns The Star casino in Sydney, the Jupiters casinos on the Gold Coast and in Townsville, and Treasury casino in Brisbane.

Shares in Echo last traded at $4.49 before going into a halt.