Tabcorp Holdings has entered into a binding agreement to acquire 100 percent of wagering technology provider BetMakers Technology Group through a scheme of arrangement.
The transaction, announced on Monday, values BetMakers at approximately AU$283 million ($200 million) on a fully diluted equity basis and AU$267 million ($189 million) on an enterprise-value basis.
Tabcorp will offer AU$0.24 ($0.17) per BetMakers share. Shareholders may elect to receive part of the consideration in Tabcorp shares, subject to a cap of 25 percent of the total consideration.
The BetMakers board has unanimously recommended the offer, subject to the absence of a superior proposal and an independent expert concluding that the transaction is in shareholders’ best interests.
Tabcorp said the acquisition would accelerate the modernisation of its wagering technology and strengthen its international business-to-business operations. The company is targeting AU$30 million ($21.2 million) in annual cost savings by the end of its second year of ownership.
The transaction remains subject to approval from BetMakers shareholders and the court, clearance from the Australian Competition and Consumer Commission, and consent from relevant gaming and racing authorities. Completion is targeted for the third quarter of Tabcorp’s 2027 financial year.
The agreement revives a potential combination discussed earlier this year. As AGB reported in February, BetMakers confirmed that Tabcorp had approached the company about a possible takeover, but said the informal discussions had ended without a formal offer.
The companies also have a longer transaction history. In 2021, BetMakers proposed acquiring Tabcorp’s wagering and media business for AU$4 billion ($2.83 billion at current exchange rates). BetMakers later withdrew the proposal after Tabcorp opted to demerge its lotteries and keno operations.
