The Betfred Group has confirmed that it has completed negotiations for the acquisition of Betting World Pty from its former owner, PGL, and will operate the brand as of June 1, 2021. The UK-based igaming operator is currently reviewing regulatory requirements to complete the transfer of shareholding to its control.
Why Is Betfred Group Purchasing Betting World?
Although Betfred is well-known for supporting Snooker, South African brand Betting World is a particularly valuable asset, as it focuses on rugby, cricket and football, three high-grossing markets that have significant potential and drive the bulk of all sports gaming revenue. The purchase was estimated at $8.7 million and a transaction was carried out on May 31, 2021. However, the former owner of the shares, Phumelela, did explain that the transaction is still subject to regulatory approvals before it can be cleared. Previously, Betfred tried to acquire Phumelela’s entire offer, with Betfred bidding $55 million for the company’s entire asset portfolio, a bid that was ultimately rejected.
Phumelela was caught in a battle with its creditors as it had outstanding payments that the firm had not covered. However, the company assures that all creditors have been reimbursed or in the process of reimbursement.
Commenting on the acquisition of the asset, Betfred Group CCO Phil Siers said simply:
“We are delighted to see the Betfred International service extended to South Africa, and look forward to becoming a leading South African bookmaker and providing a world class service to all our new customers. The last 12 months have been difficult for all businesses, but Betfred is excited about the future of Betting World and intends to make a major investment in Africa over the coming years.”
The deal came shortly after Betfred CEO and founder Fred Done stepped down from his position and was succeeded by Joanne Whittaker. The company had a string of previous successes, one of which was to extend its presence in the United States through various partnerships and team ups. One of those was to sign up a partnership with the Colorado Rockies.
The company has reaffirmed its commitment to responsible gambling on numerous occasions, including contributing to GambleAware industry donations reaching GBP 4.5 million in the first three quarters of the FY2021. Betfred’s partnerships have been focused on an international scale.
In 2020, the company signed an extended racing deal with XB Net and the operator teamed up with SportCaller to facilitate the firm’s launch in Colorado, which is one of Betfred’s bastions in the United States, where sports betting is picking up. Betfred’s US push has been marked by other interesting partnerships, including one with the Mohegan Sun for Las Vegas. The company remains focused on the sports betting experience, having debuted some unique, industry-first features as well.
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