An Australian gaming software firm, BetMakers, has entered the bidding war for Tabcorp’s wagering and broadcasting division. Their proposal, estimated at roughly $4 billion AUD (approximately $3.09 billion USD), seeks to surpass prior offers from Entain and Apollo.
Under the agreement, Tabcorp would obtain a billion dollars in cash, with the remaining balance paid in BetMakers shares. This arrangement would grant Tabcorp’s existing stakeholders a substantial portion – around 65% – of the merged entity.
BetMakers positions this as an opportunity to rejuvenate Tabcorp’s betting and broadcasting segments, implying significant untapped expansion possibilities. They are highlighting their dedication to the Australian horse racing sector, a crucial component of Tabcorp’s operations.
By presenting a combination of cash and equity, BetMakers provides Tabcorp’s shareholders with greater adaptability compared to a direct cash buyout, potentially giving them a competitive advantage.
The firm also underscored the benefits of the amalgamation compared to merely separating Tabcorp’s betting and broadcasting units. Leveraging BetMakers’ technological prowess and established international reach, the unified entity seeks to expedite its content revenue generation plan globally.
BetMakers’ Chief Executive, Todd Buckingham, conveyed his excitement, asserting that the fusion will establish one of the planet’s most extensive racing systems, offering attractive investment prospects. He stressed their distinctive capacity to exploit emerging global opportunities, especially within the burgeoning American marketplace.