Betr Entertainment has announced an all-scrip, off-market takeover offer for all remaining shares in PointsBet, escalating the battle for control of the Australian operator.
The move directly challenges a rival cash bid from Mixi Inc., with Betr positioning its offer as a more attractive long-term proposition for shareholders.
Under the proposal, PointsBet shareholders would receive 3.81 Betr shares for each PointsBet share they own. Based on a Betr share price of AU0.32,the offer values each PointsBet share at approximately AU1.22, marginally higher than Mixi’s competing cash offer of AU$1.20 per share.
Betr, which already holds a 19.6% stake in PointsBet, is arguing that its all-share deal allows shareholders to participate in the future growth of a combined entity.
A key component of Betr’s pitch is the potential for significant cost savings.
The company projects that a merger would generate AU44.9 million in annual synergies, which it claims could add up to AU0.67 per PointsBet share if fully realized. When combined with the initial offer, Betr estimates a total potential value of up to AU$1.89 per PointsBet share.
This strategic move comes shortly after PointsBet shareholders had approved Mixi’s takeover bid, setting the stage for a decisive battle for the company’s future.
