BetMakers, in collaboration with News Corp’s NTD venture, has reached an agreement to acquire assets from O’Shea Bookmaking Pty, operating as TexBet. This strategic move solidifies BetMakers’ position in the Australian and New Zealand markets. As part of the deal, BetMakers will gain ownership and intellectual property rights for TexBet’s betting platform technology, while also facilitating the seamless migration of TexBet users to the NTD platform.
Enhanced Partnership and Ownership:
Following the completion of the sale, BetMakers will assume ownership of TexBet’s betting platform technology, bolstering its suite of industry-leading solutions. This acquisition aligns with the initial agreement made in April when News Corp’s NTD venture was announced, with BetMakers providing B2B platform technology and wagering solutions to drive the NTD venture. BetMakers’ expertise and experience in the field position them as a valuable partner for the success of NTD.
Migration of TexBet Users:
In addition to gaining ownership of TexBet’s technology, BetMakers will play a crucial role in supporting the smooth transition of TexBet users to the NTD platform. Leveraging their technical capabilities and customer-centric approach, BetMakers aims to ensure a seamless and enhanced user experience for TexBet’s existing customer base. This migration further strengthens BetMakers’ market presence and expands its reach within the Australian and New Zealand gambling industry.
Revenue Share Agreement:
The initial agreement between BetMakers and the NTD venture outlined a revenue share arrangement, offering substantial earning potential for BetMakers. Over the course of the 10-year deal, BetMakers anticipates generating over AU$300 million in revenue, with a minimum of $80 million in the initial decade. To accommodate this growth, the annual fee payable by NTD to BetMakers will increase by $2 million each year, allowing for a maximum cap increase of $20 million during the agreement’s duration.
Integration of TexBet Customer Base:
Net gaming revenue (NGR) generated from the TexBet customer base will be integrated into the calculation of the annual fee payable to BetMakers. This inclusion reinforces the value and potential profitability of acquiring TexBet’s assets. By leveraging the existing customer base and expanding the offerings through the NTD platform, BetMakers aims to maximize revenue opportunities and deliver enhanced services to a broader user network.
Financial Contribution and Launch Timeline:
As part of the agreement, BetMakers will contribute a total of $2.5 million over two tranches towards the purchase of TexBet by NTD. This investment underscores BetMakers’ commitment to the success of the partnership and highlights the confidence in the venture’s potential. The NTD venture is scheduled to launch in Australia later this year, marking an exciting milestone in BetMakers’ expansion and further establishing its position as a leading player in the region’s gambling market.
BetMakers’ acquisition of TexBet’s assets reinforces its position as a prominent provider of platform technology and wagering solutions in the Australian and New Zealand markets. The partnership with News Corp’s NTD venture, supported by the latest agreement, strengthens BetMakers’ capabilities and expands its customer base. With a focus on seamless migration, enhanced user experience, and an anticipated revenue of over AU$300 million, BetMakers is well-positioned to capitalize on the growth opportunities in the region’s gambling industry. The launch of the NTD venture later this year marks an exciting chapter in BetMakers’ journey to shape the future of online betting.