Bookmakers Matthew Tripp, Nick Tyshing, Tom Carroll, Brett Schraa and Phil Hannah have had a huge win, with Irish betting giant Paddy Power buying a 51% in their company Sportsbet, valuing it at $113 million.
The deal, which comes as Australia’s gambling sector prepares to enter a period of rationalisation and consolidation, represents the Irish firm’s first move into the Australian market.
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Paddy Power will acquire the remaining 49% of Sportsbet, subject to a three-year earn-out clause. Tripp claims the overall price may reach $200 million over the next three years.
He says the deal will allow Sportsbet to widen its product offering to Australian punters. Paddy Power is known for its unconventional approach, offering odds-on novelty events and niche betting options. For example, punters can currently bet on Irish house prices, Australian migration figures and who will win the Nobel Peace Prize.
Paddy Power will also assume control of Sportsbet’s 20% stake in fellow bookmaking operation International All Sports.
Shares in Paddy Power, which are listed on the Irish and London sharemarkets, rose 8% overnight on the news.