James Packer’s Crown Resorts has set a course that will see the Australian casino giant develop a home-grown betting offering for the Internet to challenge the global heavyweights that currently dominate online bookmaking on the continent.
ASX-listed Crown (CWN) has bought a controlling stake in Australian Matt Tripp’s BetEasy, a fast-growing online sports betting company only nine months old, reportedly with plans to merge it with Betfair Australia, Crown’s underperforming online betting exchange, in a joint venture for which it has locked up the domain CrownBet.com.au.
Crown, which is determined to secure a foothold in the A$13 billion domestic Web betting market it has lacked since tying up with Betfair a decade ago, will own 67%. Mr Tripp, who guided the expansion of Sportsbet before selling it to Irish bookmaking giant Paddy Power, will run the JV and own 33%.
“This exciting new venture will help build an Australian-owned business that can compete strongly with the largely foreign-owned competitors in our wagering industry,” said Mr Packer, Crown’s executive chairman.
“It is our firm objective to provide Australians with the best online wagering experience this country has ever seen,” Mr Tripp added.
Mr Tripp is credited with turning around the struggling BetEzy since purchasing it for A$10 million in March, renaming it and releasing a new Website in September built on the latest Apple IOS and Android App platforms. BetEasy has since signed up 110,000 new members, billing itself as “the only Australian owned online bookmaker of significant scale operating in Australia,” a claim that received a creditable boost earlier this year when it beat out Tabcorp, William Hill Australia and Sportsbet to score a five-year sponsorship deal with the Australian Football League valued at A$50 million.
In other news, Crown has announced plans to build to add a non-gaming residential and hotel complex to its flagship Crown Melbourne on land opposite the resort casino. The company said it will spend $50 million to jointly develop the site with Schiavello Group, the owners of the parcel.
“While Crown continues its domestic and global expansion, Crown Melbourne remains our flagship resort and this project will ensure it remains the best integrated resort in Australia and amongst the best in the world,” Mr Packer said.
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