US private equity giant Apollo Global Management Incorporated reportedly joined the race to buy the betting and media activities of Australian bookmaker Tabcorp Holdings Limited after making an official offer worth $ 3.1 billion in the region.
According to Thursday's report by The Sydney Morning Herald newspaper, the cash move came just over a week after UK online and land-based sportsbook operator Entain made an improved own $ 2.7 billion offer for the same segments. Melbourne based companies. This proposal is currently under consideration, and there is likely to be a second competitive tender soon from the US media conglomerate Fox Corporation in collaboration with local iGaming pioneer Matthew Tripp.
Apollo Global Management Incorporated manages a portfolio of assets widely believed to be worth in the region $ 335 billion and apparently hopes to buy media and establishments Tabcorp Holdings Limited to gain immediate control of an estate of approximately 4,400 land-based bookmakers scattered across Australia. A New York competitor allegedly revealed that his offer, as opposed to the offer Entain , it would also contain a relatively small amount purpose of operating poker machines which may prove to be an attractive incentive to obtain the proposed finish line.
The Sydney Morning Herald announced that an initial $ 2.3 billion bid by Entain prompted Sydney-listed Tabcorp Holdings Limited to initiate three-month strategic review which could result in bets and the media industry isolation from the more lucrative lottery business after carefully assessing its value. The newspaper revealed that investors are increasingly frustrated with the performance of this former entity as it continues to lose ground to local online rivals such as Ladbrokes and Sports Betting .
Apparently read the official statement of Tabcorp Holdings Limited ...
“The Management Board of Tabcorp Holdings Limited has not yet formulated a view on the merits of the amended proposal and evaluate it in the context of the previously announced strategic review. "
The Sydney Morning Herald previously reported that Tabcorp Holdings Limited merged with local rival Tatts Group Limited in 2017 and currently owns about 37% to share Australia's online and retail sports betting market. Any sale of its media and plants would allegedly be subject to intense scrutiny by the party Australian Competition and Consumer Commission and a national collection of state licensing authorities, which obtain a large proportion of their funds from the licenses they issue to the operator bookmakers' properties under the Tab .
Finally, the newspaper reported that the prospect of selling had added value to a single stake in Tabcorp Holdings Limited has increased by approximately 28% since January with the offer of Apollo Global Management Incorporated after increasing yesterday's closing price by about 0.2% to just over $ 3. 89 .