The Stars Group entered into a deal with James Packer’s Crown Resorts CrownBet for a cash total of $150 million. This deal reached completion on Tuesday. The Stars Group purchased 62.5 percent of the company. CrownBet and the Canadian online gambling company may also be spending an additional $200 million if they do not achieve success regarding their joint play for the Australian operations of William Hill. These bids were already lodged on Monday.
CrownBet and The Stars Group made a statement to the Stock Exchange in Toronto. They stated their unaudited annual revenues had been increased from the $76.5 million seen during 2015 to a total during 2017 of $204 million. The company’s unaudited earnings prior to tax, interest, amortization and depreciation reached a positive status for the first time during the course of the past year by reaching approximately $7.9 million.
One of Australia’s quickest growing sports books online has become CrownBet. The Chief Executive Officer Of The Stars Group is Rafi Ashkenazi. In a statement he said this has all become possible due to their strong team of management, mobile app, their proprietary technology, unique partnerships and loyalty programs that have taken the lead in the market.
The future of CrownBet is dependent on how well the company is run by Matthew Tripp along with the executive team based in Melbourne. Crown has been replaced rather effectively as the major shareholder by The Stars Group for CrownBet. The current brand for CrownBet is going to remain in place for the time being. The relationship of the company with the Crown Rewards loyalty program will also remain until an unknown date in the future. There has not been any decision made regarding the group keeping the brand of CrownBet. It is extremely likely a new name will be established prior to the conclusion of the current year.
The online wagering expertise of CrownBet may be employed by The Stars Group if sports betting that is already legal in regards to Canadian online gambling becomes legal all over North America. Betstars already has their own brand for sports betting established. Matthew Tripp stated the company has already searched the entire globe to find the best possible partner for the company. He said it did not take long before their number one target became The Stars Group. He believes their endorsement is exactly what the company needs. He also sees this as a sign that they are entering a market that is known for being highly competitive.
Matthew Tripp previously served Sportsbet as the CEO. In 2013 he sold the company to the Irish giant Paddy Power. This transaction placed the value of Sportsbet at $338 million. In March of 2014 he established BetEasy after making a payment of roughly ten million to acquire BetEzy’s assets despite the fact they were a troubled operator. Matthew Tripp established CrownBet in December of 2014. He accomplished this by striking a deal with Crown Resorts. This led to the establishment of a new holding company. Crown eventually owned a total of 62.5 per cent of this company.