betr Launches Takeover Bid for PointsBet
betr Entertainment Limited has launched an unsolicited all-scrip, off-market takeover offer for PointsBet Holdings Limited, aiming to acquire full ownership ahead of a scheduled shareholder vote on an existing deal with MIXI. The offer values PointsBet shares at $1.22 each and includes an optional $80 million buyback to provide liquidity for accepting shareholders.
All-Scrip Offer with Optional Buyback
betr is offering 3.81 of its own shares for every PointsBet share, translating to an implied value of $1.22 per share based on a $0.32 betr share price. To provide additional liquidity, the company intends to launch a selective buyback capped at $80 million, allowing accepting PointsBet shareholders to receive cash instead of betr shares. If betr acquires 90% or more of PointsBet’s shares and proceeds to compulsory acquisition, the buyback pool could increase to $200 million, pending documentation.
The offer will not include a minimum acceptance condition, which differentiates it from the MIXI proposal. It remains subject to various approvals, including those from betr shareholders under ASX Listing Rules, regulatory clearance from the Australian Competition and Consumer Commission, and other customary conditions. These include no material adverse changes and successful application for quotation of new betr shares.
Strategic Rationale and Synergies
betr believes the merger would create a stronger digital wagering company with scale and increased market presence in Australia. The company estimates more than $40 million in synergies could be unlocked in a full acquisition scenario. According to betr, “This is a compelling opportunity to consolidate value in the Australian wagering sector. Our offer provides PointsBet shareholders with flexibility—either cash for immediate liquidity or the ability to participate in the long-term upside of the combined entity.”
betr, already the largest shareholder in PointsBet with a 19.9% stake, has announced its intention to vote against the MIXI scheme of arrangement during the PointsBet shareholder meeting scheduled for 25 June 2025. The company will submit a Bidder’s Statement to ASIC and distribute it to PointsBet shareholders, outlining full details of the offer and instructions on how to respond.