BlueBet Holdings Ltd announced Thursday that it has entered into an agreement to acquire the wagering business of fellow Australian sportsbook betr in a move it says will create a “leading Australian online wagering company”.
BlueBet has also undertaken a conditional placement to raise AU$20 million (US$13.1 million) to fund the operational and strategic growth initiatives of the combined business, and to cover one-off synergy realization and transaction costs.
According to details filed with the ASX, the merger will significantly enhance the combined entity’s scale and market share, bringing together betr’s customer base of 112,000 active customers and 341,000 open accounts with Bluebet’s base of 67,000 active customers.
The companies will do so by merging betr’s customers into Bluebet’s “highly scalable proprietary technology platform developed through significant multi-year investment, driving greater customer engagement, retention and monetization.”
The merged entity is expected to save around AU$14 million (US$9.2 million) annually in cost synergies, while the combined business should reach monthly EBITDA profitability in 1H25 and be EBITDA profitable in FY25, the companies added.
“This is a transformational moment for BlueBet, bringing together our best-in-class technology platform with betr’s large and high-quality customer base to create a national challenger in the online wagering market,” said BlueBet’s Executive Chairman, Michael Sullivan. “The betr team is fully aligned with this vision, and we are excited by the growth opportunities and synergies that will be unlocked through the Proposed Merger of our two businesses.”
Australia’s market leader Sportsbet, which holds around 50% share of the online wagering space, averages around 1.1 million customers monthly according to its most recent financial statements.
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