Bet365: A £9 Billion Bet Awaits
Bet365 sports betting company stands under potential multi-billion dollar acquisition scrutiny by the Coates family.
Let's dive into the juicy goss about the potential sale of sports betting behemoth, Bet365. Billionaire family owners, strategic moves, and a US IPO worth a mind-boggling £9 billion - it's all going down!
The Lucky Nine Billion
Sources have it that the Coates family is mulling over selling their online gambling juggernaut, Bet365. Yep, you read that right - these folks are sitting pretty on the multi-billion-pound betting platform, internationally.
Talks with Wall Street banks and US advisers have gone down, discussing potential moves such as an IPO on a US exchange or a partial sale to private equity investors. A whopping valuation of around £9 billion ($12 billion, in case you forgot your fractions) is floating around.
No deals have been sealed yet, but the process is moving faster than a greyhound on speed. Other options on the table include carving out individual business units and running them independently, a spin-off.
The Big Cleanup and Going Global
Experts are pointing fingers at both strategic and personal reasons as the possible motives behind the sale.
Denise Coates, the 57-year-old CEO who holds 58% of the shares, has been making some moves: she kicked Bet365 out of the financially tricky Chinese market in March 2025 and handed over control of the family-owned football club, Stoke City FC, to her brother John.
The Rise of Bet365: A Quick Glance
From a humble container office in Stoke-on-Trent, Bet365 skyrocketed in just two decades to become one of the world's biggest online betting providers. With Denise Coates at the helm, the company might be near its next big move: a billion-dollar deal or IPO.
Key points to remember:
- Birthday Bash: Founded in 2000 by Denise Coates in Stoke-on-Trent, UK
- Shareholders: Denise owns 58% of the shares, with the rest primarily held by the Coates family
- Workforce: Over 7,000 employees across the globe
- Global Reach: Active in more than 20 jurisdictions, including Germany, Spain, Argentina, and 13 US states
- Sponsorship: Long-time sponsor of Stoke City FC and, since 2024, the official global partner of the UEFA Champions League
- Tech Aces: A pioneer in live betting (In-Play), now a cornerstone of its offering
- Fine Times: In April 2024, the UK Gambling Commission fined Bet365 £582,120 ($706,000) for breaches of anti-money laundering regulations
These moves could be seen as Bet365 getting ready for a deal with US investors. The departure from the Chinese market, in particular, suggests that the company wants to dodge any potential risks that could crop up during an IPO in the US, especially from shady foreign businesses.
Moreover, Bet365 has recently expanded into regulated markets such as the US, Brazil, and Peru. The company is now active in 13 US states and has recently forged new partnerships, like with the St. Louis Cardinals baseball team in Missouri.
The Moolah, the Glory, and the Disclosure Requirements
Financially, Bet365 is in a strong position. In the fiscal year ending March 2024, the company reported a 9% increase in revenue to £3.72 billion ($4.63 billion) and a pre-tax profit of £626.6 million ($806 million) - after suffering a loss in the previous year.
An IPO in the US would make Bet365 the largest listing of a gambling company and could signal that online gambling has finally hit the mainstream. Industry experts would even view it as a new benchmark for valuation of competitors like Flutter and Entain, potentially boosting the market valuation of other similar firms.
But an IPO would significantly increase Bet365's disclosure requirements, a stark contrast to the company's previously low-key culture.
The Verdict: Sell or Keep the Home Team?
Despite these tantalizing prospects, it's uncertain whether a sale will go down. As the sole owners, the Coates family can take their sweet time to find the perfect moment to sell. However, the growing market maturity and increasing competition, especially from US giants like DraftKings, suggest that Bet365 might usher in its next phase of growth under new ownership.
According to industry analyst Alun Bowden of EKG, "People have been telling me for years that the only company they'd like to invest in is Bet365. And although there's a certain consensus in the industry that the company is a fading star, it's still one of the best, if not the best, online sports betting companies in the world."
Moreover, rumors are swirling that personal considerations within the Coates family might play a role: Denise Coates is fast approaching her 60th birthday, making it ripe for her to pass the torch to new owners after two decades of rapid growth. According to industry analyst Paul Leyland, Coates might've decided to hand her company off to prepare it for the next stage of development.
Stay tuned, 'cause this rollercoaster ain't done yet!
What if Denise Coates decided to invest a portion of the potential £9 billion from a Bet365 IPO into various business ventures and new market opportunities, such as the finance or investing sector, beyond sports and online gambling?
With Denise Coates potentially exploring diversified investments and the inevitable growth of online gambling in the US, other industry giants like Flutter and Entain may consider sports-focused financial products and services as a way to follow Bet365's footsteps and expand their businesses.
