In a strategic move to bolster its wagering technology capabilities, Tabcorp has announced plans to acquire BetMakers Technology Group for approximately €170 million in equity value, corresponding to €0.14 per share. The transaction is expected to be finalized in the third quarter of the 2027 fiscal year.
Consolidation of Wagering Technology in Australia
The deal values BetMakers at around €170 million on an equity basis and €160 million on an enterprise basis. Under the terms, BetMakers’ shareholders will receive €0.14 per share, with the possibility of opting for a portion of the consideration in new Tabcorp shares. The aim of the companies is for the acquisition to be completed in Q3 2027.
This acquisition grants Tabcorp control over a racing-focused technology provider, aligning with its plans to modernize wagering systems across Australian states and expand into new markets. BetMakers’ board has unanimously approved the offer; however, the transaction remains subject to shareholder, court, and regulatory approvals.
Deal Structure and Regulatory Approvals
Tabcorp filed the acquisition proposal with the Australian Securities Exchange (ASX) on August 10, 2026. This consideration is set at €0.14 per share, with shareholders having the option to receive part of their payment in new Tabcorp shares instead of cash. The share component is capped at 25% of the total consideration and would amount to approximately 70.7 million new shares in an enlarged Tabcorp.
Prior to closing, the deal must obtain approval from BetMakers’ shareholders and the court. Additionally, clearance from the Australian Competition and Consumer Commission, along with relevant gambling and racing authorities, is required.
Technology Rationale and Strategic Fit
Founded in 2013 by Australian betting and racing entrepreneur Todd Buckingham, BetMakers offers a comprehensive platform for racing markets, including pricing and risk management systems. These systems are utilized by bookmakers to offer odds, manage bets, and oversee trading exposure.
Of particular importance to Tabcorp are BetMakers’ tote and racing pool systems, which operate both online and through retail channels. Tote betting pools combine customer stakes and pay out winners from a shared pool, a format that remains central to horse racing products and related services connected to Tabcorp’s Sky Racing and Victorian TAB license.
Alignment with Tabcorp’s Transformation Strategy
This acquisition represents the first major corporate transaction under the leadership of Chief Executive Officer Gillon McLachlan. Gillon assumed the role in August 2024 after previously leading the Australian Football League. The deal allows Tabcorp to accelerate its internal technology transformation by acquiring proven infrastructure rather than developing new systems.
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Gillon McLachlan stated:
“The acquisition of BetMakers will accelerate our strategy across multiple areas. BetMakers has undergone a significant transformation over the past two years and built impressive wagering technology and a talented team.”
He further emphasized that the deal would enhance Tabcorp’s media and tote offerings. The two combine racing content with pooled betting services. Access to BetMakers’ systems is expected to boost the company’s technological capabilities and expedite product development.
Anticipated Synergies and Financial Outlook
Tabcorp projects that, within two years of completion, it will realize approximately €18 million in annual cost savings. These is to be achieved through data center rationalization, streamlining of corporate applications, and renegotiation of technology contracts. The integration plan also involves replacing existing Tabcorp platforms with BetMakers solutions to maximize efficiency.
Financially, the transaction is expected to be accretive to earnings per share (EPS) from year two, with double-digit EPS growth projected by year three. The company aims to maintain pro-forma leverage at around 1.9x, comfortably below its target ceiling of 2.5x.
