Australia-based online sports betting operator PointsBet Holdings Limited has formally rejected a takeover proposal from Betr Entertainment Ltd, reaffirming its support for an all-cash acquisition offer from Japanese technology conglomerate MIXI Inc.
The decision, announced on 16 June 2025, came after and negotiation. PointsBet’s board unanimously decided that MIXI’s AU$ 1.20 (€0.75) per share cash deal was cleaner, more precise, and ultimately more valuable than the rival offer.
Betr, which is PointsBet’s largest shareholder, had proposed to buy the remaining 80.1 percent of the company with a complex mix of cash and shares. Under this plan, shareholders could opt to receive money, shares in Betr, or a combination of both, subject to caps that could reduce individual payouts if the plan is oversubscribed. The overall value of Betr’s offer was approximately AU$ 360 million (€215 million).
Betr’s offer overvalued
However, PointsBet’s board and external advisers found that Betr had overestimated potential synergies, underestimated revenue losses likely after the merger, and failed to fully consider the challenges of integrating the two businesses. As a result, the board concluded Betr’s proposal did not meet the agreed-upon definition of a “Superior Proposal” and preferred MIXI’s offer.
MIXI’s bid values PointsBet’s non-US operations, including businesses in Australia, Canada, and Ireland, at AU$ 402 million (€240 million). This represents a premium of 44.6 percent over PointsBet’s closing share price of AU$ 0.83 on 25 February 2025, when MIXI first made an offer of AU$ 1.06 per share. MIXI later increased its bid to AU$ 1.20 per share.
The revised MIXI offer comes with no financing conditions, providing greater certainty for PointsBet shareholders. In response, PointsBet’s board has unanimously recommended the MIXI proposal, subject to no better offers emerging. A shareholder meeting originally scheduled for 12 June was postponed to 25 June 2025 to allow investors more time to consider the improved bid.
Early nod from Aussie govt.
PointsBet has also secured approval from Australia’s Foreign Investment Review Board for the deal, which means the government does not consider the acquisition a threat to national interests. The acquisition still awaits regulatory clearance in Ontario, Canada, where PointsBet operates.
Despite the bidding battle, Betr has indicated it is likely to vote against the MIXI offer using its significant shareholding. In a related development, PointsBet recently faced a regulatory setback when the Australian Communications and Media Authority fined it AU$ 500,800 (approximately €300,000) for breaching spam and self-exclusion laws.
The authority found the company had sent illegal marketing messages, including to individuals who had opted out of gambling promotions. As the takeover race nears its conclusion, PointsBet shareholders await final decisions on the future ownership of the company.
