William Hill PLC agrees to acquire Australian online betting business, tomwa terhouse.com
William Hill PLC (“William Hill” or “the Group”), one of the world’s leading betting companies, is pleased to announce that it has agreed to acquire 100 per cent of Tom Waterhouse N.T. pty Limited (“tomwaterhouse.com”), the Australian online betting business, for an upfront consideration of AUD $34m, together with the assumption of up to AUD $6m of balance sheet liabilities. A potential additional earn-out on a sliding scale of up to AUD $70m is payable, subject to tomwaterhouse.com achieving incremental EBIT on a sliding scale between AUD $10m and AUD $30m in the year to 31 December 2015.
William Hill acquired Sportingbet PLC’s Australian business in March 2013 for around AUD $670m.[i] These acquisitions are part of William Hill’s strategy of selective international expansion, with Australia forming its second home market. William Hill is the world’s largest listed betting company by market capitalisation, worth approximately AUD $6.5bn. It has been listed on the London Stock Exchange since 2002 and became part of the FTSE100 group of leading UK listed companies in May 2013.
- Acquisition increases William Hill’s scale in Australia, delivering exclusive access to key media and a business with significant growth momentum.
- Complementary acquisition to William Hill’s existing presence in Australia, extending into a wider customer base with limited cross-over with Sportingbet and Centrebet.
- tomwaterhouse.com benefits from access to William Hill Australia’s operations and trading systems, including the proprietary technology platform developed by Sportingbet for the Australian market, and its broader product range.
- tomwaterhouse.com becomes part of William Hill Australia alongside Sportingbet and Centrebet, led by Michael Sullivan as CEO of William Hill Australia. Tom Waterhouse remains as managing director of tomwaterhouse.com, recognising the importance of local management in helping William Hill to gain a leadership position in its second home market.
- William Hill to bring the Group’s international best practice in terms of regulatory standards.
Commenting on the proposed acquisition, Ralph Topping, Chief Executive of William Hill, said:
“We are delighted to have secured this acquisition. International expansion is a key part of William Hill’s growth strategy and making Australia our second home is our priority. The Sportingbet acquisition gave us a strong and proven platform with an experienced management team. Acquiring tomwaterhouse.com gives us a rapidly growing business that appeals to a wider customer base.
“I’m impressed by Tom Waterhouse and his team, who are passionate and entrepreneurial. They’ve built a good business in a short period of time and have achieved strong growth momentum. This deal brings them real benefits around scale, product and technology. I’m sure my lifetime of experience in bookmaking and Michael Sullivan’s – together amounting to more than 70 years – will also be valuable to Tom.
“What we all share is a vision of making William Hill Australia the number one online bookmaker in Australia by bringing customers the very best online and mobile betting experience.”
William Hill PLC
Lyndsay Wright, Director of Investor Relations – tel: +44 (0) 20 8918 3614
Simon Sporborg / Sophie Brand / Oliver Hughes, Brunswick Group – tel: +44 (0) 20 7404 5959
[i] William Hill paid £459m for Sportingbet’s Australia business and a call option over Sportingbet’s Spanish online gambling business, which operates under the miapuesta brand.