Stake Founders Secretly Building Up Equity in PointsBet

Building up their holdings

Stake co-founders and billionaires Ed Craven and Bijan Tehrani have reportedly been secretly building a stake in PointsBet. The Australian Financial Review (AFR) has revealed that the pair acquired shares over the past month through their Easygo Gaming business.

the duo now controls about 4.2% of PointsBet shares

AFR cited unnamed sources in the betting industry who explained that the duo now controls about 4.2% of PointsBet shares. Craven and Tehrani have mentioned numerous times that they are looking at gaining a foothold in Australia’s legal gambling sector in an attempt to diversify their assets.

Building on the success of Stake

Stake has exploded in popularity since launching in 2017. It has relationships with many notable live streamers, as well as celebrities like Drake. The brand also partners with sports organizations and teams, including Everton FC, the UFC, and the Alfa Romeo Formula 1 team. Its operations are based in Melbourne and it only holds a license in Curaçao.

cryptocurrency gambling is not allowed in the country

Stake is not currently available to Australians as cryptocurrency gambling is not allowed in the country. The operator is planning to seek a license from the Northern Territory Racing Commission in the near future, but it is unclear if this would be a fiat-only offering.

The company has also been eyeing other acquisitions recently. It took over Betfair Colombia last month, while rumors were doing the rounds during the summer that it was on the cusp of making a large acquisition in the US.

The target business

PointsBet attempted to infiltrate the US gambling market for a time before selling these operations in October to Fanatics for US$225m. The cost of gaining a proper foothold in the US market was too large and it is now focusing on the Australian and Canadian online markets.

PointsBet Chief Executive Sam Swanell explained last month in the annual meeting that it currently controls about 5% of the online market in Australia. Swanell said that the company is on track to be profitable by the next financial year.

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• Source: https://www.vegasslotsonline.com/news/2023/12/11/stake-founders-secretly-building-up-equity-in-pointsbet-to-gain-a-foothold-in-australia/