In another major shake up to the Australian sports betting landscape, it has been announced that prominent sportsbook TopSport is set to be acquired by Bluebet (trading as betr) for the price of $15 million.
The deal will see BlueBet acquire the TopSport customer database, brand and intellectual property which, according to BlueBet CEO Andrew Menz, will bring the company closer to their goal to have more than 10% percent market share in Australia.
TopSport had turnover of close to $200 million in the first half of the financial year with net win of $11.8 million, while betr’s turnover was $645 million, with net win of $67.4 million.
"The acquisition of TopSport materially enhances BlueBet's profitability and scale, is highly accretive for our shareholders and brings us closer to our strategic target of market share in Australia," Menz said.
"Inorganic growth remains a key opportunity for BlueBet and we have a laser focus and a repeatable M&A model to drive shareholder value by further consolidating the Australian wagering market."
"This transaction is a blueprint for further M&A and delivers a high conversion of Net Gaming Revenue to EBITDA as we leverage our previous investment in our proprietary technology, brand and best-in-class management team.”
TopSport has long been one of punter’s most respected platforms, building a reputation for pricing solid markets and a willingness to take a bet.
TopSport CEO Tristan Merlehan commented, “We conducted a thorough process to identify the best partner for TopSport and BlueBet was the clear choice. BlueBet's recent and long-term record in successful customer migrations and scaling wagering businesses is unrivalled in this market and I am pleased to play a key role in its bright future as we grow our share of the Australian wagering market.”
TopSport brings 11,300 active customers to betr’s current customer base of 144,700, but the immediate value will be in operational savings.
BlueBet Chairman Matthew Tripp even hinted at the possible return of the now infamous $100-1 promotion that was launched with betr amongst much controversy.
Now with the stable and standalone software platform of BlueBet, Tripp indicated that such a promotion could be profitable without much of the technical problems that betr customers experienced on launch.
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