Tabcorp agrees to acquire BetMakers in A$267m deal

• Tabcorp has entered a binding deal to acquire 100% of BetMakers via a Scheme of Arrangement, implying an enterprise value of approximately A$267 million (US$189 million).
• BetMakers shareholders will receive A$0.24 per share in cash, with an option to take up to 25% of consideration in new Tabcorp shares.
• The transaction revives informal talks that ended without a formal offer in February 2026, and marks Gillon McLachlan’s first major acquisition as Tabcorp CEO.

Tabcorp Holdings has entered into a binding Scheme Implementation Deed to acquire wagering technology provider BetMakers Technology Group, in a transaction implying an enterprise value of approximately A$267 million (US$189 million).

The deal, announced to the ASX on Monday, follows informal talks between the two companies that stalled in February without a formal offer. Under the scheme, Tabcorp will pay BetMakers shareholders A$0.24 per share, with a partial share-election alternative on offer; the proposed transaction would give Tabcorp control of the B2B racing and sports betting technology platform, subject to completion.

Deal terms explained

Under the scheme, Tabcorp will acquire 100% of BetMakers’ issued shares for cash consideration of A$0.24 per share. BetMakers shareholders can elect to receive up to 25% of their consideration in newly issued Tabcorp shares, subject to an aggregate cap.

The scrip will be issued at the greater of A$1.00 per share or Tabcorp’s five-day volume-weighted average price before the scheme record date. The maximum issue is 70.7 million new shares, equal to approximately 3.1% of Tabcorp’s shares on issue.

The cash offer implies an equity value of approximately A$283 million (US$200 million) for BetMakers on a fully diluted basis, and an enterprise value of about A$267 million. The A$0.24 offer represents premiums of approximately 41%, 42% and 37% to BetMakers’ one-, three- and six-month volume-weighted average prices, respectively.

Completion is targeted for the third quarter of FY27, subject to approval from BetMakers shareholders and the court, clearance from the Australian Competition and Consumer Commission, and consent from gaming and racing regulators.

The BetMakers board has unanimously recommended the offer, subject to no superior proposal emerging and an independent expert concluding, and continuing to conclude, that the transaction is in shareholders’ best interests.

Renewed courtship

The transaction revives preliminary and informal discussions between the two companies that ceased without a formal offer in February 2026, months after talks reportedly began in December 2025. BetMakers said at the time that the discussions were at an early stage and did not progress to a formal bid.

The two companies also share a longer history. In 2021, BetMakers submitted a non-binding and indicative proposal to acquire Tabcorp’s wagering and media business, comprising A$1 billion in cash and A$3 billion in BetMakers shares. The proposal did not proceed after Tabcorp chose to demerge its lotteries and keno operations.

This deal marks the first major acquisition under Gillon McLachlan, who became Tabcorp’s Managing Director and CEO in August 2024. It also comes as Tabcorp works through separate regulatory scrutiny at home: the operator has paid more than A$2.7 million in penalties after the ACMA found multiple telemarketing and spam breaches, and remains subject to an AUSTRAC enforcement investigation into its anti-money laundering controls, with no outcome yet determined.

Growth ambitions

Tabcorp said the acquisition would accelerate its strategy by modernising its wagering technology stack, adding scale and diversification to its international business, and bringing in proven digital transformation capability. The company is targeting run-rate cost synergies of A$30 million before tax by the end of its second year of ownership, and expects the deal to be earnings-per-share accretive from year two and double-digit accretive from year three.

Gillon McLachlan, Managing Director and CEO of Tabcorp, said:

“The acquisition of BetMakers will accelerate our strategy across multiple areas. BetMakers has undergone a significant transformation over the past two years and built impressive wagering technology and a talented team.”

Tabcorp said BetMakers had undergone a significant transformation over the past two years, including the completed acquisition of Las Vegas Dissemination Company in early 2026, and an extended US wagering agreement with Penn Entertainment effective from January 2026.

Jake Henson, CEO of BetMakers, said:

“Having spent time with the Tabcorp team, it is clear we share a common purpose: to build a market-leading global wagering and media business.”

The deal also follows a broader wave of consolidation across wagering technology suppliers, including Bragg Gaming’s recently completed acquisition of Drayton International.

Completion of the transaction remains subject to shareholder, court and regulatory approvals, with implementation targeted for the third quarter of FY27. The transaction is intended to accelerate Tabcorp’s technology modernisation and expand its international B2B wagering capabilities.