BlueBet shares spike on the back of Betr merger reports
ASX-listed operator sees market cap break A$60m threshold after media reports suggest merger between firms could happen in coming days
BlueBet’s shares leapt by 20% on the Australian Stock Exchange today, 10 April, after reports a merger between the firm and Betr is edging closer.
According to the Australian Financial Review, BlueBet and Betr are set to announce a merger in coming the days after first breaking the news back in January.
On the back of the reports, BlueBet’s share rose to A$0.30, resulting in the firm’s market cap jumping to over A$60m (£115.4m).
The newspaper also reported that Betr CEO Andrew Menz will be selected to lead the combined business in the same role.
The potential deal comes almost 12 months after Betr confirmed it had engaged investment banking firm Barrenjoey to support with exploring strategic alternatives for the group.
Betr, which launched in 2022 with backing from News Corp and led by industry veteran Matt Tripp, had been in discussions with PointsBet over a potential acquisition over its Australian division.
Those discussions ultimately failed to come to fruition, with PointsBet retaining its Australian arm and selling its US-facing business to Fanatics in a $225m deal.
Last May, a Betr spokesperson said the group had been “approached by a number of international and domestic operators seeking to acquire the business”.
BlueBet, which has been publicly listed since 2021, reported revenue of A$27.8m in the six months up to 31 December 2023, while total group losses rose slightly to A$10.4m.