New All-Scrip Proposal from Betr
Betr Entertainment has reignited its bid to acquire PointsBet by submitting a renewed all-share offer, asserting it delivers “compelling” value to shareholders. The latest proposal offers 3.81 Betr shares for every PointsBet share, effectively valuing PointsBet stock at AU$1.22, based on Betr’s current share price of AU$0.32.
Unlike a cash buyout, Betr’s offer is an all-scrip deal, meaning shareholders would receive shares in Betr rather than cash. This marks a fresh attempt by Betr to outmaneuver Japanese gaming giant MIXI, which has already secured the PointsBet board’s support for its competing bid.
MIXI’s Cash Offer Still Favored
Despite Betr’s renewed push, PointsBet’s board maintains that MIXI’s offer remains superior. MIXI recently increased its bid to AU$1.20 per share in cash, valuing the Australian operator at AU$402 million, a substantial improvement over its initial AU$1.06 offer made in February.
In contrast, PointsBet believes Betr’s latest offer falls short, estimating its actual value at AU$1.086 per share based on the 19 June closing price, and has described it as “materially below” MIXI’s proposal.
Betr’s Strategy: Liquidity and Long-Term Upside
To strengthen its offer, the company raised AU$130 million in an oversubscribed funding round. It plans to use part of this capital to fund a selective share buy-back, allowing PointsBet shareholders who prefer cash over equity to exit at AU$1.22 per share.
This buyback would be capped at AU$80 million initially but could rise to AU$200 million if Betr secures at least 90% of PointsBet’s shares. Importantly, Betr’s proposal comes without a minimum acceptance condition, adding a layer of execution certainty.
The company claims the combined business could generate over AU$40 million in synergies, making the acquisition financially attractive. Betr Chairman Matt Tripp called the offer “a compelling opportunity to consolidate in the Australian wagering sector” and emphasized the flexibility for PointsBet shareholders to choose between immediate liquidity or long-term investment upside.
PointsBet Sticks with MIXI—For Now
Although Betr’s new offer includes both equity and potential cash exit options, PointsBet has already entered a binding agreement with MIXI. The company is preparing for a shareholder vote on 25 June, subject to 50.1% minimum shareholder approval and regulatory clearance in Ontario, PointsBet’s last remaining international market after selling its US business to Fanatics in 2024.
Australia’s Foreign Investment Review Board has already cleared the MIXI proposal, giving it a head start in the regulatory approval process.
What’s Next?
While Betr insists it can close the deal quickly—pending shareholder approval and sign-off from the Australian Competition and Consumer Commission—the clock is ticking. With MIXI’s cash-backed offer already endorsed by the PointsBet board and poised for a shareholder vote, Betr faces an uphill battle unless it can sway shareholders with its hybrid deal structure.
Regardless of the outcome, the battle for PointsBet highlights growing consolidation pressures in the Australian betting market, where operators are racing to scale and innovate amid tightening margins and rising regulatory scrutiny.
