The Stars Group Inc. (Nasdaq: TSG) (TSX: TSGI), a global provider of technology-based product offerings in the global gaming and interactive entertainment industries, is to acquire the remaining 20% interest in BetEasy, its Australian-based sports betting business, for AUD$151m.
As part of this deal, The Stars Group also paid AUD$100m to settle the previously disclosed performance payment for its 2018 acquisition of the initial 80% interest.
Also as part of the agreement, the acquiring company will repay AUD$56.9m of outstanding BetEasy minority shareholder loans.
Led by Matt Tripp, CEO, BetEasy provides online and mobile wagering in the Australian market. Through proprietary technology and interfaces and applications, the company streams every Australian thoroughbred, greyhound and harness racing to customers. It is the Official Wagering Partner of the NBA and the AFL, Premier Wagering Partner of thoroughbred broadcaster Racing.com and is a founding member of Responsible Wagering Australia, which advocates for enhanced consumer protection and sporting integrity outcomes in the Australian wagering industry.
Now, as part of the deal, Tripp will provide ongoing leadership as the non-executive President of BetEasy beginning January 1, 2020, with Andrew Menz, who previously served as BetEasy’s Director of Strategy & Regulatory Affairs, as his successor in the CEO role.
Mr Menz was previously the Legal and Corporate Affairs Director of Betfair Australia and was at the forefront of the establishment of Responsible Wagering Australia, a key group for Australia’s online wagering industry.
Commenting on the deal, Tripp said: “I’m pleased to see our long-term succession plan come to fruition. Andrew Menz brings deep commercial and regulatory experience which leaves BetEasy in a strong position to continue delivering profitable growth.
“I know that this business, which we founded back in 2013, is in very capable hands with a strong executive team and the backing of The Stars Group, who have been terrific partners and global leaders in this industry,” he added.
The Stars Group currently plans to complete the acquisition within 90 days following the earlier of either the issuance of The Stars Group’s audited financial statements for the year-ended December 31, 2020 or the completion of the previously announced board-recommended all share combination of The Stars Group with Flutter Entertainment Plc.
The Stars Group is one of the world’s most licensed online gaming operators with its subsidiaries collectively holding licenses or approvals in 22 jurisdictions throughout Europe, Australia, and the Americas. Its brands including the best us online casino sites have millions of registered customers globally and collectively are leaders in online and mobile betting, poker and and other gaming-related offerings.
The company owns or licenses gaming and related consumer businesses and brands, including PokerStars, PokerStars Casino, BetStars, Full Tilt, FOX Bet, BetEasy, Sky Bet, Sky Vegas, Sky Casino, Sky Bingo, and Sky Poker, as well as live poker tour and event brands, including the PokerStars Players No Limit Hold’em Championship, European Poker Tour, Asia Pacific Poker Tour, PokerStars Festival and PokerStars MEGASTACK.