© Reuters.
(Reuters) – Britain’s Entain has approached Tabcorp Holdings with a A$3.5 billion ($2.73 billion) proposal to buy its wagering and media business, the Australian betting firm said on Tuesday.
Tabcorp said it was assessing the offer, while Entain did not immediately reply to a request for comment. The proposal by the global sports betting and gaming firm is subject to due diligence, securing financing and regulatory approvals.
The cancellation or delay of many sporting events and pandemic-related restrictions on betting shops has hurt the business, forcing the unit to accelerate a shift to online betting from traditional retail betting.
In late-March, Tabcorp said it received “several” approaches that valued its wagering and media unit at around A$3 billion, a number it concluded was too low, prompting it to look at alternative options including a demerger.
Tabcorp did not elaborate on who else have made approaches, but Entain, which owns companies like bwin and Ladbrokes (LON:), had said in February it was in early talks for Tabcorp’s unit.
The Melbourne-based company said it will consider Entain’s offer with an eye on its strategic review, which is also considering a sale or demerger of its lotteries and Keno business.
($1 = 1.2825 Australian dollars)
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