Tabcorp Moves for BetMakers in US$200M Wagering Tech Deal
Tabcorp will offer A$0.24 for each BetMakers share through a scheme of arrangement. After BetMakers’ net cash position is taken into account, the transaction carries an enterprise value of about A$267 million.
The BetMakers board has unanimously recommended the proposal, provided no superior offer emerges and an independent expert concludes that the deal is in shareholders’ best interests.
Shareholders Get a Stock Option
Cash is the default payment, although eligible BetMakers investors can choose to receive part of their consideration in Tabcorp shares. Stock is capped at 25% of the total deal value.
Those shares will be priced at the higher of A$1.00 or Tabcorp’s five-day volume-weighted average price before the scheme record date. At the A$1.00 floor, Tabcorp could issue up to 70.7 million new shares, around 3.1% of its current share count.
The A$0.24 offer is about 41% above BetMakers’ one-month volume-weighted average price. Tabcorp plans to fund the cash portion through existing cash and undrawn debt facilities.
BetMakers Adds Tote and B2B Technology
BetMakers supplies wagering infrastructure, racing data, analytics and pari-mutuel technology. Its customers operate across Australia, Asia, Europe, the UK and the Americas. Global Tote accounted for about 60% of FY2025 revenue, with Global Betting Services providing roughly 40%.
The supplier has also introduced its newer Apollo and GTX platforms. Tabcorp plans to use BetMakers’ systems as part of an overhaul of its own wagering technology.
Tabcorp is targeting A$30 million in annual cost savings by the end of its second year of ownership. It expects savings from data centers, technology contracts, product development and support functions. The company forecasts EPS accretion from year two and double-digit EPS accretion from year three.
Earlier Talks Finally Produce an Offer
The companies had already discussed a takeover in February 2026. Those preliminary talks ended without a formal bid. Six months later, the two sides have signed an implementation deed.
There is an older twist to the relationship. In 2021, BetMakers was the prospective buyer, submitting a non-binding A$4 billion proposal for Tabcorp’s wagering and media business. That transaction never went ahead.
The new deal still requires shareholder and court approval, ACCC clearance and consent from relevant gaming and racing authorities. Completion is targeted for the third quarter of Tabcorp’s 2027 financial year, placing it in early 2027.
Cost Savings Will Be the First Test
Tabcorp is paying for a functioning B2B technology stack rather than waiting to build every part internally. The A$30 million savings target will test the price paid for that shortcut. A smooth integration would give Tabcorp both lower technology costs and a larger wholesale business. Delays would make the premium offered to BetMakers shareholders much harder to justify.