SYDNEY: BlueBet Holdings Limited (ASX: BBT) has made an offer to acquire PointsBet Holdings Limited in a deal valued at between $340 million and $360 million, the company announced Wednesday.
The proposed acquisition, presented through a non-binding indicative offer dated Feb. 18, 2025, involves a cash pool of $240 million to $260 million and scrip consideration of $100 million to $120 million. BlueBet anticipates that identified synergies will generate at least $40 million annually.
BlueBet CEO, stated that the offer is a highly attractive opportunity for PointsBet shareholders, offering compelling strategic and financial benefits. He emphasized that the transaction would provide PointsBet with additional scale, access to important technology assets, and key marketing contracts, accelerating growth ambitions.
The proposal provides PointsBet shareholders the certainty of cash consideration and the potential for significant accretive value through the scrip component. The offer was submitted with limited conditionality, including necessary regulatory and third-party approvals and committed financing satisfactory to BlueBet.
BlueBet noted that over 20% of PointsBet shareholders, based on unsolicited interactions, prefer a transaction with a scrip component rather than a cash-only proposal. The company has secured equity funding arrangements with the support of Jarden, Morgans, and Ord Minnett and expects to complete due diligence within 20 business days.