Tabcorp Secures 20-Year Exclusive Betting Licence in Victoria
Date: 2023-12-20 Author: Dima Zakharov Categories: EVENTS
A Game-Changing License
Tabcorp, a key player in the gambling industry, has been granted exclusive rights to offer betting and wagering services in Victoria for the next two decades. The company, which has held its existing license since 2012, will make a substantial financial contribution to the Victorian government, exceeding AU$1 billion over the 20-year period.
Operational Transformations
Under the terms of the new license, Tabcorp will no longer be obliged to engage in joint ventures with the Victorian racing industry, and its current industry funding obligations will be terminated. Instead, the company will adhere to the same tax and fee structure as other operators in the region.
Financial Commitments
To secure this exclusive license, Tabcorp will pay a license fee of AU$600 million in June 2024, along with 19 annual payments of AU$30 million starting from August 2025. The initial payment in 2024 will be financed using existing debt facilities.
A Competitive Edge
Adam Rytenskild, Tabcorp's CEO, expressed the significance of these changes in the company's pursuit of competition with rivals holding Northern Territory licenses. He highlighted the positive impact on shareholders, the Victorian government, and industry stakeholders.
The Licensing Process
The licensing process began in June 2022, with organizations invited to express their interest. Formal applications were submitted in April 2023, with a focus on criteria like probity, harm minimization, and economic benefits.
Melissa Horne, the minister for casino, gaming, and liquor regulation, emphasized the government's commitment to minimizing harm and ensuring responsible gambling in the Victorian wagering and betting market.
This exclusive license marks a pivotal moment for Tabcorp, setting the stage for a new era of operations in Victoria.
