[bsa_pro_ad_space id=1 link=same] [bsa_pro_ad_space id=2]

Skip to Content

Supplier News

Australia – BetMakers set to acquire Sportech’s Global Tote business

By - 1 December 2020

Sportech has entered into a conditional agreement to sell its Global Tote business to Betmakers for a total cash consideration of £30.9m, subject to shareholder and relevant regulatory approvals.

The Global Tote business provides pari-mutuel technology solutions and services to gaming businesses around the world, predominantly to the global horseracing betting industry. Its systems processed approximately US$12.2bn in betting handle in 2019 for clients across 37 countries.

Sportech’s CEO, Richard McGuire, said: “We previously set out that one of the Group’s transformation objectives included evaluating and executing material corporate opportunities which deliver tangible investor returns. The Board believe this transaction very much achieves that objective.

“In addition to the range of opportunities which the net proceeds are expected to provide to the Group, we believe the BetMakers product suite will further enhance the existing Sportech platform providing additional opportunities for global gaming clients.”

Following ratification, Sportech will comprise of the following businesses:

Venues: The Venues business operates legal betting on horseracing, greyhound racing and Jai alai under an in-perpetuity licence in the State of Connecticut, USA. It offers omni-channel betting entertainment through 12 physical retail locations and an online platform. It holds the right to expand to up to 24 physical locations. The business also includes a separate US retail B2C platform and provides venue management services to a range of clients.

Lottery: The Lottery business provides draw-based lottery platforms and services. In 2019, the Group acquired Lot.to systems, an iLottery, CRM, and games management platform, to complement the Group’s draw-based games.

Bump 50:50: The Bump 50:50 business supplies in-stadia, web and mobile electronic lotteries to major league sports teams, collegiate sports organisations, and entertainment venues. In 2019, the Bump 50:50 business began to acquire clients from the non-sport philanthropy segment with deployments of its online raffles. As of 30 June 2020, the Bump 50:50 business had 135 clients in the US and Canada, across approximately 20 US states and Canadian provinces.

Commenting on the proposed transaction, BetMakers CEO, Todd Buckingham, said: “BetMakers’ proposed acquisition of Sportech’s Global Tote business is part of our company’s international expansion plans to help power the excitement, growth and sustainability of horse racing globally.

“We consider the Sportech name to be synonymous with racing around the world, and we believe that BetMakers has the complementary knowledge and assets – and shared values built around a passion for racing – to help deliver ongoing success for clients, partners and all stakeholders in the racing industry.

“It is BetMakers’ intention to retain all staff working in the Global Tote business and make significant investments into the business operations to keep up with the fast-moving sports betting industry.

“We are excited not only to be a partner that sustains racing through innovation in technology, services and solutions in the existing Sportech footprint, but also to pursue the growth opportunities that are being presented as new regulated markets open up such as the U.S.”

Share via
Copy link