BlueBet shares halted as rumours swirl of long-anticipated deal

BlueBet shares have been halted from trade after a rapid spike amid talk that a long-mooted deal is in the offing.

Betr chairman Matt Tripp.

BlueBet shares were placed in a trading halt on Wednesday after jumping 20 per cent on rumours a long-mooted deal with Betr is about to close.

The stock in the listed gambling outfit was up 4.9c to 30c on heavier than usual trade before the halt was put in place, without explanation to the ASX at this stage.

BlueBet has confirmed twice this year it is in talks with potential strategic partners including Betr, which is headed by chairman Matt Tripp.

“We remain in strategic discussions with third parties, but we are in control of our own destinies and remain committed to maximising value for BlueBet shareholders,’’ chief executive Bill Richmond said while releasing the company’s most recent quarterly at the end of January.

BlueBet listed at $1.14 per share in mid-2021 and the stock hit highs above $2.80 later that year.

The share price has struggled more recently however, hitting a low of 17c over the past 12 month period, with the Wednesday high of 33c just 1c of the year’s high watermark.

Shares in Betmakers Technology Group, which Mr Tripp is also a significant shareholder in, also closed stronger yesterday, up 10 per cent at 11c.

BlueBet turned over $319.4m in the first half, up 13.7 per cent over the previous corresponding period, and said it was gaining market share, with active customers up 13 per cent to more than 67,000.

The company made a net loss of $10.4m however, up 4.3 per cent, and tapped executive chairman and major shareholder Michael Sullivan for a $3m unsecured loan facility to provide additional working capital.

The entire company is now worth about $50m, less than the $80m it raised in its initial public offer.

A recent analyst report from Macquarie put BlueBet and Betr on par for market share in terms of smartphone app downloads in Australia, with 4 per cent apiece.

This compares with Sportsbet commanding 36 per cent of the market, Tabcorp 19 per cent and Ladbrokes 12 per cent.

Betr, which launched two years ago, is understood to generate significantly higher revenues than BlueBet.

Originally published as BlueBet shares halted as rumours swirl of long-anticipated deal