Unibet to acquire Betchoice
Unibet (SBR rating B-) Sportsbook has signed an agreement to acquire Betchoice. Unibet will enter the regulated Australian betting market. Unibet's acquisition price is £13.6 million; the deal, which transfers 100% of Betchoice Corporation Pty Ltd.'s shares, is said not to contain any liabilities. Completion of the deal is still subject to approval by the Northern Territory regular; this process is expected to be completed before the end of Q2 2012.
Unibet intends to completely rebrand Betchoice to Unibet following what they refer to as a "short transition period". Unibet CEO Henrik Tjärnström spoke of the acquisition in an official company press release distributed this morning.
SBR expects Unibet to refine its standards of enforcing house rules as they enter a regulated Australian market. Though Unibet is licensed by the Lotteries and Gaming Authority (LGA) of Malta; SBR has found that operators prefer Malta for its lax positions on player disputes and the ease of setting up shop. Unibet's operating procedure has until this point been to cut off communications with a player determined to be in violation of house rules, and has not been willing to fully satisfy SBR's inquiries in regards to player confiscations, such as in this sportsbook dispute reported in December of 2011.Unibet CEO Henrik Tjärnström: “This strategic acquisition gives Unibet immediate access to the regulated Australian market, which is currently open to sports betting and horse racing. We intend to rebrand the business quickly to Unibet. Betchoice already has a strong offering and market position in horse racing and through Kambi, Unibet has the opportunity to enhance the quality and performance of Betchoice’s sports betting offering and so to deliver revenue growth and margin improvements... In addition to benefit from the already existing Australian product offering, the acquisition of Betchoice will provide Unibet with a platform to facilitate other gambling services and opportunities should market conditions continue to improve.”
SBR will attempt to revisit outstanding claims with Unibet, hoping that the company's recent good news will compel it to more satisfactorily address player disputes. | Read the full Unibet press release