Betr Confirms Intention To Sell Off PointsBet Canada as Part of Takeover Bid

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Betr Confirms Intention To Sell Off PointsBet Canada as Part of Takeover Bid

In a move that has sent shockwaves through the gaming industry, Betr Entertainment Ltd., an Australian-based igaming operator with a significant stake in PointsBet, has increased its offer to acquire the Canadian arm of the company. The deal, which would see Hard Rock Digital purchase PointsBet Canada for $29.6 million, marks a significant development in the ongoing battle for control of PointsBet.

The revised offer, which includes the sale of PointsBet Canada as part of the overall takeover bid, is superior to the latest bid from Japanese entertainment company MIXI, which sits at AU$1.20 cash per share. Betr’s improved offer equates to up to 3.81 shares for every 1 share held by PointsBet, with a value of AU$1.22 per share based on a $0.32 share price.

The potential deal is expected to create significant value for both parties, with Betr estimating annual cost synergies of $44.9 million and the possibility of up to $0.67 per share if realized. This would bring the total potential value per share to up to $1.89, making it a more attractive option for PointsBet shareholders.

PointsBet directors have been recommending that shareholders accept the MIXI bid, but Betr’s revised offer has thrown a spanner in the works. The sale of PointsBet Canada to Hard Rock Digital is a key part of the overall deal and would include the Ontario igaming license and operations, as well as Canadian customer databases and intellectual property.

The implications of this move are significant, particularly for the Canadian gaming market. With Hard Rock Digital set to acquire PointsBet Canada, the stage is now set for the company to launch its services in Ontario and Alberta when the respective markets go live in 2026.

Key Points:

  • Betr has increased its offer to acquire PointsBet Canada as part of a takeover bid.
  • The deal, which would see Hard Rock Digital purchase PointsBet Canada for $29.6 million, marks a significant development in the ongoing battle for control of PointsBet.
  • Betr’s revised offer is superior to the latest bid from Japanese entertainment company MIXI, with a value of up to 3.81 shares per share.
  • The sale of PointsBet Canada to Hard Rock Digital includes the Ontario igaming license and operations, as well as Canadian customer databases and intellectual property.

What’s Next?

As the situation continues to unfold, it remains to be seen how PointsBet shareholders will respond to Betr’s revised offer. With MIXI’s proposed takeover bid already signed off by the Ontario Gaming Commission, the stakes are high for both parties.

Stay tuned for further updates on this developing story and find out more about the Canadian gaming market and its latest developments at 10BET.

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