The investment group Apollo Global Management has improved its offer for the struggling betting and broadcasting arm of Australian gaming behemoth Tabcorp, proposing a substantial A$3.5 billion (equivalent to US$2.7 billion). This mirrors a prior proposition made by British gaming company Entain in April 2021. Entain had increased their initial A$3 billion bid for the troubled enterprise in February.
However, Apollo presented an additional alternative: purchasing both Tabcorp’s betting and broadcasting unit AND its gaming services sector for a collective A$4 billion.
Maintaining composure, Tabcorp’s leadership indicated they haven’t determined whether to embrace the modified proposition. The agreement also depends on securing funding, thorough examination, regulatory permissions, and unanimous approval from all parties involved.
Tabcorp emphasized they are assessing the proposition within the framework of their previously disclosed strategic evaluation. This evaluation intends to identify the optimal structure and ownership possibilities to amplify the value of their enterprise, ultimately benefiting investors.
The surge of interest in Tabcorp initially prompted this strategic evaluation. The board has been grappling with the decision to either divest the struggling betting and broadcasting division entirely or separate it from the lottery operations and list it independently on the Australian Securities Exchange.
Introducing another element of fascination, Lachlan Murdoch, son of Rupert Murdoch, has reportedly shown interest in the enterprise as his Fox Corporation pursues expansion opportunities in Australia.
admin