Betr Renewed Bid for PointsBet with Enhanced Offer
Betr Renewed Bid for PointsBet with Enhanced Offer
Betr has resurfaced with a new proposal to acquire PointsBet, despite PointsBet’s apparent preference for the MIXI offer. This time, Betr is proposing AUD 1.89 per PointsBet share, aiming to present a more attractive deal.
Updated Negotiations and Offer Details
Betr has resumed talks by putting forth an all-share takeover bid, valuing each PointsBet share at AUD 1.89 after factoring in expected synergies of AUD 0.67 per share. This is an improved version of Betr’s previous offer, which PointsBet had declined earlier.
In practical terms, Betr is offering approximately 3.81 of its own shares for each share of PointsBet, aiming to create combined value for shareholders.
Betr claims this new proposal surpasses the MIXI bid, which was previously rejected due to insufficient shareholder votes. Additionally, Betr’s offer provides PointsBet shareholders with an opportunity to benefit from the future value growth of the merged company.
This marks only the beginning of the value creation journey we anticipate for shareholders of both Betr and PointsBet in the combined entity.
Betr statement
If the agreement is finalized and Betr’s forecasts prove accurate, PointsBet shareholders could realize up to AUD 44.9 million in synergistic benefits.
Betr’s Influence in Blocking the MIXI Offer
Owning a 19.9% stake in PointsBet, Betr played a pivotal role in preventing the earlier MIXI proposal from passing. Although MIXI had secured all necessary regulatory approvals, it fell short of the required shareholder vote threshold.
While supportive of this result, Betr criticized PointsBet’s management for a technical oversight that omitted Betr’s votes, mistakenly indicating the vote had succeeded.
Following this, MIXI renewed its bid with an all-cash offer, contrasting Betr’s all-share proposition. This difference has influenced PointsBet’s apparent inclination towards the MIXI deal. The Australian sportsbook previously expressed reservations about the reliability of Betr’s synergy projections.
Betr, however, disputes these concerns, emphasizing that its estimates are grounded in multiple expert analyses.