Insights

PointsBet (ASX:PBH) share price lifts on acquisition news

The PointsBet Holdings Ltd (ASX: PBH) share price is on the rise after the company’s US$2.9 million acquisition of Premier Turf Club.
The post PointsBet (ASX:PBH) share price lifts on acquisition news appeared first on The Motley Fool Australia. –

rising asx share price represented by investor listening excitedly into smart phone

PointsBet Holdings Ltd (ASX: PBH) shares are on the move this morning after the company provided some acquisition news. In early trade, the PointsBet share price is trading 3.54% higher at $14.04.

Let’s take a closer look at the company’s news.

What’s driving the PointsBet share price?

The PointsBet share price is responding positively after the company revealed it is acquiring United States-based account wagering provider Premier Turf Club for US$2.9 million. Premier Turf Club is an active pari-mutuel Advance Deposit Wagering (ADW) operator with a license to operate in Oregon. The company provides legal telephone and online betting services, handling over $375 million in wagers through its online platform since 2007. 

Pari-mutuel betting, also known as pool betting, takes a different spin on the traditional customer vs. bookmaker style of betting. Instead of going against the bookmaker, customers are placing wagers against other bettors who have placed wagers on the same event. All wagers go into a pool, and the pool is shared equally between those who win. A small percentage of total wagers is deducted for the house. 

PointsBet believes Premier Turf Club’s extensive industry expertise and relationships, customer-focused operations, and excellent reputation will be of immediate value for the company and its growth aspirations in the United States. 

The racing industry in the US generates more than US$12 billion in turnover annually. PointsBet aims to be at the centre of innovation and premium products within the US horse racing market. The addition of Premier Turf Club adds to the company’s growing portfolio of proprietary wagering products which already includes its fixed-odds sportsbook and online casino. 

Management commentary 

PointsBet USA CEO Johnny Aitken commented on the acquisition, saying: 

The combination of Premier Turf Club’s excellence in the space with PointsBet’s mature market Australian racing expertise favourably positions us as we prepare to enter the U.S. horseracing market. Today’s noteworthy acquisition complements our inhouse approach while growing our premier product suite, and we are excited to welcome Premier Turf Club to the PointsBet team.”

PointsBet share price snapshot

The PointsBet share price is currently trading around 19% higher in 2021 and has also climbed by 231% over the past 12 months. Based on its current valuation, PointsBet has a market capitalisation of around $2.5 billion.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of February 15th 2021

More reading

Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Pointsbet Holdings Ltd. The Motley Fool Australia has recommended Pointsbet Holdings Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post PointsBet (ASX:PBH) share price lifts on acquisition news appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!