Australian sports betting company PointsBet is getting out of the game in this country. The company has hired investment bank Moelis & Company to find a buyer for its North American operation.
Last year, according to The Australian Financial Review, PointsBet was in talks with a company called BetR to sell the entire operation, but no deal came to fruition.
“We believe further industry consolidation is inevitable,” PointsBet told AFR.
In the United States, the issue for PointsBet is market over-saturation. Front Office Sports says that the company has never done better than seventh place amongst American Sportsbook operators in terms of popularity.
That doesn’t mean the company has been a failure. Through the first half of fiscal 2023, PointsBet has reported a total handle of $1.1 billion. That is very impressive considering that the company is only active in 14 states.
It also has a partnership with NBC that has increased its visibility. The two sides extended their agreement earlier this year.
PointBet has a lot going for it and should have no trouble finding a buyer. Just last year, Fanatics kicked the tires on the company. They could come back to the table now that PointsBet is more motivated to sell off its US operations.
