The News Corp-backed gambling startup Betr is up for sale, less than a year after its launch and following a record $210,000 fine from regulators last month.
The company, which launched with an aggressive promotional campaign in October, has been approached by multiple potential buyers after discussions around its potential acquisition of rival PointsBet fell through.
A Betr spokesperson said in a statement to the Australian Financial Review on Thursday that it had been approached by “a number of international and domestic operators seeking to acquire the business”.
“We assess all opportunities with the aim of maximising value for shareholders. Our primary focus remains identifying and executing opportunities to further our ambition to be a tier-one operator,” the spokesperson said.
The incoming solicitations are being managed by corporate advisory and financial services firm Barrenjoey, which Betr had previously engaged to handle other strategic matters for the company, including negotiations regarding PointsBet.
PointsBet announced last week that those takeover negotiations had been called off.
Betr was issued with 14 separate infringement notices by Liquor and Gaming NSW in April for what the regulator said were “significant breaches of the law” when the company offered gamblers hugely inflated returns on every horse in the Melbourne Cup if they bet less than $10, and similar inducements on other horse races, as well as AFL and NRL games.
The campaign saturated affiliated newspapers, radio and television stations when the company launched in October.
A Betr spokesperson said at the time the company did not believe it had breached regulations and called on the state regulator to clarify guidance given to the gambling sector.
The $210,000 total fine imposed represented the largest of its kind ever issued to a gambling company over inducements in NSW.
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Betr was also fined $75,000 by the Northern Territory Racing Commission – which licenses and regulates most online gambling companies in Australia – just days before its official launch for “serious” breaches of the responsible gambling code, after the company sent unsolicited and targeted messages to a man listed on a self-exclusion register.
Betr was established with the financial backing of News Corp, the former BetEasy chief executive Matthew Tripp’s TGW and Las Vegas firm Tekkorp, with the intention of utilising News Corp’s media assets to promote the company.
News Corp’s international accounts for the last six months of 2022 revealed around US$33m in losses to affiliates, a share of which was attributed to Betr.
News Corp has been distancing itself from Betr in recent months, and two of the company’s executives recently quit Betr’s board. News Corp has been approached for comment.
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In Australia, Gambling Help Online is available on 1800 858 858. The National Debt Helpline is at 1800 007 007. In the UK, support for problem gambling can be found through GamCare on 0808 8020 133. In the US, the National Council on Problem Gambling is on 800-522-4700