BlueBet has announced to the ASX that it has agreed to terms to acquire Northern Territory bookmaker and racebook TopSport (TopSport.com.au).
The deal will see BlueBet undertake an A$15m (€10m) equity raise to acquire TopSport, bolstering BlueBet’s target of gaining 10-15% of Australia’s sports wagering market share.
Once funding is secured, BlueBet will reward TopSport’s owners, the Merlehan family, with A$10m in cash and 30% in new BlueBet shares (valued at approximately A$3m).
Incentives have been applied over a three-year earn-out period, in which TopSport investors will receive a further A$5m, ensuring BlueBet’s total guaranteed consideration reaches A$15m.
BlueBet highlighted TopSport’s strong financials for the first half of 2025, reporting a turnover of A$198m and a net win of A$12m (with a hold of approximately 5.9%).
Strategically, BlueBet sees a ‘low overlap’ in TopSport’s customer base, as the Northern Territory bookmaker has successfully specialised in pricing niche sports markets that are particularly popular with Australian audiences.
Andrew Menz, CEO, BlueBet: “The acquisition of TopSport materially enhances BlueBet’s profitability and scale, is highly accretive for our shareholders, and brings us closer to our strategic target of 10%+ market share in Australia.”
“Inorganic growth remains a key opportunity for BlueBet, and we have a laser focus and a repeatable M&A model to drive shareholder value by further consolidating the Australian wagering market.”
BlueBet was founded in 2015 by Michael Sullivan, the former Chief Executive of William Hill Australia, with ambitions to disrupt the market dominated by heritage brands.
In 2024, BlueBet merged with Betr, the challenger brand of Matthew Tripp, in a strategic deal aimed at rapidly increasing Australian wagering market share under the Betr brand.
Expected to be concluded in H1 2025, the deal will see Tristan Merlehan (CEO of TopSport) join BlueBet as Chief Trading Officer after the acquisition, with father Lloyd Merlehan joining as an corporate advisor.
Tristan Merlehan, CEO, TopSport: “We conducted a thorough process to identify the best partner for TopSport, and BlueBet was the clear choice.”
“BlueBet’s recent and long-term record in successful customer migrations and scaling wagering businesses is unrivalled in this market, and I am pleased to play a key role in its bright future as we grow our share of the Australian wagering market.”
“I am very proud of what we have achieved at TopSport, and our customers will continue to receive the same levels of service going forward, together with the benefits of a significant uplift in their wagering experience.”