PointsBet Denies Potential Acquisition by an Overseas Company

By Jane Shaw Senior Editor Updated: 11/13/2024

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We count on Jane to inform our readers about the latest slot games in the US market. With her passion for video games and a degree in engineering, she’s our gambling tech expert. Jane’s also active in our blog section, where she tackles the curiosities and changes in the industry.

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PointsBet Denies Potential Acquisition

Gambling provider PointsBet denies that it is in talks with an overseas company about a potential takeover of the brand. Earlier this year, there were reports that PointsBet had contacted an overseas buyer from Asia about a $197 million acquisition of the gaming platform.

Takeover Reports

According to reports by MarketScreener, PointsBet may soon be sold to a suitable buyer for over $197 million. According to the report, PointsBet has been involved in discussions with potential buyers, including one serious interest by a company in Asia. Recently, PointsBet released an official statement that denies these reports and says no potential acquisition is in the works.

These reports and rumors are the result of the company’s increase in market capitalization of around $187 million. Since September, PointsBet has seen an 80% increase in its price per share. The company also reported a 12% increase in its year-on-year net win, reaching almost $43 million.

PointsBet’s core markets are Australia and Canada, which have grown significantly. Up to 7% of the net win report was recorded in Australia, while their Canadian market expanded by 62% and has increased demand for in-play betting. The focus on those two markets is followed by selling the brand’s US operations to Fanatics Betting and Gaming.

While the company did not deny the takeover, it did not directly deny the reports of the discussions with potential buyers. PointsBet did not name any of the parties involved in these talks. In its official statement, the company advised,

Generally, PointsBet does not comment on rumors of speculation; however, the company confirms that it is not in discussion as suggested in the article.

PointsBet’s New Focus

According to information officially published by PointsBet, the company has optimized its operational costs. This was achieved mainly by lowering marketing campaign expenses and increasing the overall efficiency of its platforms. The company aims to achieve a cash flow break-even point by the end of 2025.

These changes and diversification allowed PointsBet to focus properly on expansion. The brand poured resources into its primary markets, resulting in recent high growth. This shift in the company’s operation is the main suspect in the reports of a takeover from an Asian company, as it is becoming increasingly appealing as an investment.

Future Outlook

PointsBet has released the results of its first quarter of its 2025 financial year. The report states high numbers and an overall increase in net wins, climbing to over $40 million. Nearly 90% of that revenue came from sports betting on the brand’s platforms. The operator is looking at a potential yearly revenue between $180 million and $190 million.