The Coates family is reportedly eyeing a sale of the Bet365 brand. While no official announcement has been made yet, people familiar with the matter say that Denise Coates, Bet365’s chief executive officer, has been in talks about a potential sale.
Bet365 Sale Rumored to Be on the Table
The Guardian reported that Denise Coates had discussed a potential sale with Wall Street banks and US advisers. The news outlet added that a full or partial sale could be on the table, depending on how the situation unravels.
Considering Bet365’s strong position and rapid growth, the betting company could net the sellers some £9 billion ($12 billion). However, the Coates family could opt to spin off a part of the business instead of the entire enterprise.
A separate source told The Guardian that the Coates have also held discussions with private equity groups about taking a pre-float stake.
In any case, experts generally agreed that Bet365 has reached a point where its owners can maximize its value in a sale.
The Guardian added that Bet365 has yet to respond to requests for comment.
What Does the Sale Mean for Denise Coates?
Denise Coates, who is the UK’s highest-paid woman, has billions of dollars to gain if the family proceeds with the sale of Bet365.
The company, which has grown tremendously in the past few years, has long expanded beyond the borders of the United Kingdom and is now available in multiple markets. Among other markets, Bet365 also made multiple forays into the United States, launching in several states.
While the US market is largely dominated by DraftKings and FanDuel, Bet365 has still been able to find its place and sustain and expand its local footprint. In March, the company entered Tennessee and Illinois, which became its 12th and 13th US market, respectively.
Consultancy firm Eilers & Krejcik Gaming believes that Bet365’s US revenue could reach over $23.3 billion by 2029. The firm added that a sale right now would “feel right.”
Considering Bet365’s size, the suggested £9 billion price tag does not seem like a far shot. If that happens, Denise Coates, who singlehandedly owns 58% of Bet365, would be in for a £5 billion payday.
Bet365 has already been incredibly lucrative to Denise who has cemented herself as one of the richest people in the UK even with a reduced paycheck due to certain headwinds the company experienced previously.
Bet365 Exited China
In other news, Bet365 recently said that it will no longer be taking bets from customers in China. This exit was described as an important business decision and effectively ended the company’s controversial operation in the country.
In the meantime, Bet365 said that it will instead focus on its core markets by “consolidating its resources to center on gaining market share in regions that provide long-term sustainable revenue.”