Tabcorp Holdings has finalized a binding agreement to acquire BetMakers Technology Group for approximately AU$267 million (US$188.6 million), several months after initial discussions about the takeover collapsed.
This deal was revealed through a filing with the Australian Securities Exchange (ASX) and is intended to merge BetMakers’ wagering technology platforms and B2B services into Tabcorp’s existing wagering and media operations.
According to the terms outlined in a Scheme Implementation Deed, Tabcorp will acquire all outstanding shares of BetMakers at $0.24 per share, reflecting an enterprise value of approximately $267 million and an equity value around $283 million on a fully diluted basis.
The acquisition will primarily be financed using Tabcorp's cash reserves and undrawn debt facilities. The offered price represents a premium over BetMakers' recent market trading figures. BetMakers reported an unaudited EBITDA of $14 million for the year ending June 30, 2026.
Tabcorp’s executives view this acquisition as a strategic move to enhance their technology platform.
Gillon McLachlan, Tabcorp’s CEO, emphasized, “The acquisition of BetMakers will accelerate our strategy across multiple areas. BetMakers has undergone a significant transformation over the past two years and built impressive wagering technology and a talented team. Accessing those advantages will uplift our own tech capability and fast track our product ambitions.”
Jake Henson, the CEO of BetMakers, also shared his enthusiasm, stating, “Having spent time with the Tabcorp team, it is clear we share a common purpose: to build a market-leading global wagering and media business. Bringing together Tabcorp's rights, content and relationships with BetMakers' platforms, data and B2B wagering services will create a more complete and compelling global offering for our customers.”
From a financial standpoint, Tabcorp anticipates realizing cost synergies of up to $30 million by the end of the second year of ownership. These savings are expected from consolidating data centers, corporate applications, and technology contracts, along with replacing its legacy systems with BetMakers' product suite and achieving efficiencies in corporate support functions.
The transaction is predicted to positively impact earnings per share (EPS) starting in the second year after completion, with double-digit EPS growth expected by the third year. Furthermore, shareholders of BetMakers can choose to receive up to 25% of their consideration in new Tabcorp shares.
However, the acquisition is contingent upon several customary conditions, including the approval of BetMakers’ shareholders, court approval, and clearance from the Australian Competition and Consumer Commission. Regulatory consents from gaming and racing authorities in the regions where BetMakers operates will also be necessary.
Both companies aim to complete the transaction in the third quarter of Tabcorp's 2027 financial year, pending shareholder and regulatory approval. A scheme booklet and independent expert report will be distributed to BetMakers shareholders in late 2026.
This acquisition marks the second attempt by Tabcorp to take over BetMakers, with initial discussions occurring in December 2025. At that time, Tabcorp was prompted by a favorable financial year. Following the announcement of increased revenue and a return to net profit, McLachlan remarked that Tabcorp was 'fitter' and 'improved'. However, earlier negotiations did not advance beyond informal discussions earlier this year.
Additionally, Tabcorp faced penalties exceeding $2.7 million from the Australian Communications and Media Authority (ACMA) this year due to violations of telemarketing and spam regulations spanning a 16-month period.
Last year, BetMakers also reached an agreement to acquire Las Vegas Dissemination Company (LVDC), which is expected to generate around $4.5 million in revenue in the first year following the acquisition.
