BlueBet claims “overwhelmingly positive” talks with PointsBet shareholders amid M&A battle
Australian operator says it remains committed to discussions with PointsBet’s board ahead of shareholder vote on rival MIXI bid next month
BlueBet CEO Andrew Menz has said the operator is having “overwhelmingly positive” engagement with some PointsBet shareholders as the battle for the business continues.
Speaking following the acquisition of TopSport, Menz said the operator’s focus was closing in on snapping up PointsBet to drive further inorganic growth.
However, the PointsBet board has unanimously backed a rival bid from Japanese company MIXI, which values Australia- and Canada-facing PointsBet at A$353m (£171m).
BlueBet had submitted a cash-plus-scrip offer worth between A$340m and A$360m for the ASX-listed company, which PointsBet slammed as “unfunded”.
PointsBet also said BlueBet’s bid was heavily dependent on assumed synergies and that its due diligence timeframe request was too long.
PointsBet shareholders will vote on the MIXI offer next month.
BlueBet has claimed that Wilson Asset Management and Pendal, two PointsBet shareholders, are backing its bid over MIXI’s.
Menz said: “With the successful integration of TopSport, our focus now shifts to further inorganic growth opportunities in the Australian market, including our compelling and fully funded proposal to acquire PointsBet.
“By providing the flexibility for PointsBet shareholders to choose a mix of cash and scrip, we believe ours is a superior proposal for shareholders to realise value in the short and long term.
“Our engagement with PointsBet shareholders remains overwhelmingly positive and we look forward to progressing our discussions with the PointsBet board.”
As part of the TopSport acquisition, the operator’s CEO, Tristan Merlehan, has become chief trading officer at BlueBet.
BlueBet also noted it had successfully migrated TopSport customers to its own platform, with those users now in line for a “materially uplifted wagering experience” via the Betr brand.
Menz added: “We have successfully completed the acquisition of TopSport, executing an innovative transaction structure that enabled us to migrate TopSport customers onto the Betr platform prior to completion.
“This materially de-risked the transaction and ensured that all anticipated cost synergies were fully realised within just 55 days of announcing the deal, without the need to operate the TopSport brand or wagering platform during the transaction period.”
Menz also talked up the operator’s M&A blueprint and action plan, hinting at its capabilities for integrating PointsBet in the process.
“This outcome reflects our repeatable and scalable M&A model, underpinned by the speed and precision of our migration team,” the CEO said.
“Our ability to rapidly execute on the integration and migration with no disruption to our offering remains a key competitive advantage, delivering immediate value for our shareholders.”