Discussions between BlueBet Holdings Ltd and Betr could result in a merger between the two Australian sportsbooks, according to iGaming Business. The potential merger caused shares of BlueBet to jump 30 percent.
The negotiations are in their infancy. And they may not go any further than that.
Online bookies anticipate tougher regulations in what is already a highly regulated industry. Among the changes could be a prohibition of gambling ads and a rise in taxes. Moreover, consumer spending is having its impact on spending on online betting, affecting corporate profits.
BlueBet went public in 2021 but has lost almost 89 percent of its value, according to TipRanks.
betr debuted in 2022 with the support of News Corp Australia and Tekkorp. Of late, the company has had a bad few months, losing their initial supporters.
But a merger could expand their size and with it their revenues. BlueBet revenues hit A$536.6 million in fiscal 2023. The other company, betr generated A$2 billion in 2022.
