Western Australia to put betting agency up for sale within weeks

Western Australia’s betting agency will be officially put up for sale within weeks, according to WA’s Racing and Gaming Minister, Colin Holt in an interview with the Australian Financial Review.

The potential $1 billion deal (US$710.6 million) for Australia’s last owned betting agency has seen Australia’s Tabcorp and Tatts Group fighting for the rights to run the business, along with corporate bookmakers such as CrownBet.

The WA government will issue a request for proposals to the major players in the industry in the coming weeks. “I’m responsible to the industry and I’ve reached the conclusion we need to look at the potential privatisation of the TAB to see what opportunities it presents for the industry itself,” Holt said.

Holt said he had met with the key players, including Tabcorp and Tatts, and expects other bidders, such as Seven West Media to consider the opportunity. “I’ve met with some of those big players who we already know exist in Australia. And there may well be two or three others who are thinking of getting into a wagering business,” said Holt. “Maybe one of the corporate bookies is interested and Crown may want to add a wagering business.”

Depending on what initial offers come through, the government may legislate to offer an exclusive retail TAB wagering license to the winning bidder, according to Holt.

SHARE

Related Articles

Tabcorp EBITDA hit from power outage less than $10 million

Tabcorp said a power outage that took out its systems over the weekend caused it to lose wagering turnover over the weekend, but the hit to EBITDA will be less than $10 million. It says its systems have now largely been restored. 
Australia tabcorp

Tabcorp digital turnover grows, though group posts loss

Tabcorp digital turnover outstripped retail turnover for the first time in a full year after Covid-19 forced the closure of its outlets and tipped the group to an $870 million ($631.8 million) loss.

Tabcorp secures debt waivers as part of Covid-19 response

Australian wagering giant Tabcorp announced it has secured agreement from its bank lenders for a waiver of leverage and interest cover covenants in response to the financial impact of the Covid-19 pandemic.  The waiver is related to its Syndicated Facility Agreement, representing facilities of A$2.2 billion (US$1.6 billion), according to a company filing. As of […]

Tabcorp lottery segment drives FY20H1 revenue

Australian wagering giant Tabcorp announced a 4.4 percent increase in group revenue for the first half of the 2020 financial year, driven by performance in its lotteries business.  The company said that it registered more than 300,000 new customers in the past six months – translating to strong growth in both digital and retail lotteries […]