The recently announced deal that would see the merging of Paddy Power as well as Betfair would be classified as the biggest amalgamation ever in the history of online betting. This deal brings a clear example of how different companies are joining hands with attempt to clampdown governments as they take the centre stage in the betting markets. This has actually motivated other firms to initiate the step in attempt to maximize their profits.

The director to online betting research in Nottingham Business School in England believes that the merging together will expose companies in a vast technology and market scales as they try to push to digital platforms. This will keep the company in a fore front in the current stiff market. The amalgamation between Paddy Power and Betfair comes after the two firms had earlier strike a deal that was believed to be of $9.1 billion.

Warwick Bartlett, chief executive of researcher Global Betting and Gaming Consultancy claims that the ultra-competitive market is calling for its consolidation as various firms try to have an elaborated scale as well as being on the right track from the divides.

There is yet another deal that is on the brink of happening between Betsson a Swedish based firm as well as Unibet Group based in Malta. Several other firms have opted to merge in attempt to ease the burden as well as cost of keeping up with the competitive market. This comes after Ladbrokes claimed that it has acquired Coral group and is on the verge of acquiring Bwin.party Digital Entertainment after it tabled a bid.

According to betting analyst, the 20pc shared by the markets of both Paddy Power and Betfair would be instrumental in creation of the fastest growing business. After the completion of the merging deal, the Paddy Power stake holders will be entitled to a 52pc while 48pc will go to Betfair stakeholders.

His merging which is estimated to have a total of combined €1.2bn would only come second to Bet365’s €1.7 billion. David Jennings, an analyst at Davy in Dublin claimed that the combined product offers will be top in the list among others and this will be a fundamental place to create back their potential.

The newly announced deal that would involve the merging of Paddy Power as well as Betfair have received a warm welcome in the market with Betfair’s shares going up by 18% while those of Paddy Power rising by over 15%. On the other hand, there has been a decrease in shares for both William Hill and Ladbrokes.

A writer Jonathan Guthrie of the FT Lombard column claimed that the association is aimed at maximising profits deemed to reach over £5bn. He claimed that both firms have to do well considering their multifacetedintegrations of systems as well as cultures. However, this should not be given so much hope as it may end up like the case that was portrayed by the amalgamation of Quantities Easing which Lombard was giving much anticipation.

According to Cavendish Corporate Finance, there are more deals that are expected to be strike between various betting firms. Among them the Bwin and GVC/888 deal awaits as well as Ladbrokes and gala Coral deal.

Jonathan Buxton who is the Head of Consumer and a partner at Cavendish Corporate Finance claimed that the new merger between Betfair and Paddy Power forms the beginning of other expected deals to be strike by various betting companies. Increased regulations as well as tighter overheads are seen as two main loggerheads that affects M&A. This comes even after the betting business playing a bigger role in UK’s GDP with over £2 billion annually. However, this is not enough as parliamentarians have fought the non-complying betting firms that are based offshore in attempt to evade taxes. He added that to be on the gaining side, the betting firms have tried to make sure that securing economies of scale as well as cost saving is their number one priority.

Jason Trost, CEO and Founder of betting exchange Smarkets, is not pleased with the amalgamation processes and claims that Betfair should stick with its exchange model rather than indulging in other businesses. He added that it is not advisable Betfair to form alliances with antiquated bookmakers but instead should cuddle to the value added. This will definitely bring in short-term shareholder value as well as lack of innovations.

South Australian senator has been on the front line in fighting the illegal online sports betting as many shares his view and claim that credit by sports betting firms to clients should be abolished, there should be incorporation of tighter laws and existence of a national self-exclusion register.
Senator Nick claimed that many clients have been targeted as preys to these betting firms that give betting credit which is used as a hook to uninformed clients. The released Monday report referred to as the “Duds, Mugs and the A-List” claimed that for the better betting in Australia, credit extension by online betting companies to bettors should be abolished.
According to the Financial Counselling Australian Policy manager Lauren Kevin, the sport betting firms should be prohibited from according clients with credits and later in six weeks time sue them at the courts. This will be accompanied by the inclusion of tighter betting rules that would oversee successful betting as well as the incorporation of a national exclusion register. The wagering companies should also restrain from sharing personal information for its clients from one company to another. This comes as a result of client being manipulated and enticed by another betting firm in resuming betting after he becomes a cold bettor.
The Australian Wagering Council (AWC) who corresponds to Unibet, William Hill Group, Sportsbet, Bet365 as well as Betfair claimed that it would support the national credit register but opposed the abolishment of the credit arguing that it is not evident clear if sports betting have been the main reason that people are becoming problematic to their lives due to betting.
These betting firms have the tendency of incorporating credits to their clients and have subsidiaries everywhere in Australia. For instance, William Hill has its subsidiaries such as Tom Waterhouse, Centrebet and Sportingbet. On the other hand, CrownBet comes from its former brand BetEasy which is under the managerial hierarchy of James Packer’s Crown Resorts. UK based Ladbrokes has several subsidiaries among them Ubet and TabCorp. All these firms have been chasing bettor’s dollar day in day out and when ones runs out of money, he is accorded with credit for redemption which in essence will only inflict more harm and stress on him.
However, states in Australia should take up the initiative of banning credit offers by these firms and follow the footsteps of Victoria State.

This season Betfair has been on the brink of familiarizing itself to the public across the globe. It is only last Saturday that the betting company was yet involved in a third deal this time with London giants and Community Shield and English FA Cup winners Arsenal. This forms the third club in the English Premier League season 2015/2016 that the betting firm has strike deal with.

Stipulated in the deal which was struck moments before Arsenal took over London club rivals West Ham United, the Gunners as they are commonly referred to would have posters of Betfair across their 65,000 seat stadium The Emirates. Moreover, the company will have its name and products being advertised across all digital platforms at the stadium during match days. These adverts will be advertised across the LCD match panels.

The betting company also had previously struck identical deals with two English Premier League teams; Sunderland FC as well as Leicester City who avoided relegation on the last day of last season’s action.

Vinai Venkatesham who is the current Chief Commercial Officer for the gunners claimed that it was all happiness and respect to have such an amazing deal. He added that they would welcome Betfair into their football platform and this would provide a greater chance in renouncing the popularity of both the club and the betting company. He added that he was eager to work closely with Betfair in making sure that the two have a full engagement with Arsenal fans across Europe as well as paving way for the provision of Betfair innovative services and products which they would readily access.

On the hand, the Head of Media, Sponsorship and PR at Betfair Stephen Mault claimed that that his company was excited to have struck a deal with one of the Europe’s powerhouse that has a large number of fan base. He added that this deal will bring with it a variety of amazing new products, unique offers as well as promotions that would be guaranteed to fans throughout the season. He concluded by saying that this will be an exclusive moments where the two partners will have a strong relationship together with their loyal fans.

The English Premier League is the most watched football league around the world, with a broadcast of 4.7 billion people in over 200 countries. On the other hand, La Liga may have Real Madrid and Barcelona but fans find it predictable. In contrast, the premier league’s title can change often. This is evident by the championship victories in the past three years by Manchester United, Manchester City and Chelsea.

English Premier League is an intensely competitive league. This is what makes it even more engaging for its fans, who can even enhance their experience through betting on outcomes of various games. This is the main reason why the partnership of sports betting operators and football clubs is on the rise these days. The latest footballclub partnership is Aston Villa who has agreed to work with Betfair and Bet365.

New concept of co-exclusive betting rights

Aston Villa begun its partnerships with the two sports betting companies on 1 July,2015. This partnership will go on until the end of the Premier league season. However, the unusual bit about the partnership is that Aston Villa will be dividing responsibility between bet365 and betfair. This means that the two companies have co-exclusive rights for the club. This as a result, has changed the way the entire Premier league will do business in future.

Aston villa officially announced that bet365 and betfair have the right to be associated with them and both companies will appear on the Club’s interview backdrops and LED screens.

Aston Villa has a history of joining forces with betting operators. It previously partnered with Dafabet and William Hill. Dafabet was its official betting partner for the last two seasons.

Charlie Wijeratna, who is the chief commercial officer of Aston Villa, said that the co-partnership deal from Betfair and bet365 will have a significant commercial increase compared to last year’s partnership.

AFL Club Essendoncalls time on betting partnerships

While English football clubs are welcoming betting partnerships, An Australian team called Essendon does not share that spirit.

Xavier Campbell, the chief executive of Essendon acknowledges that gambling partnerships are highly lucrative. However, the team believes that sports betting have negative impression in Australia. In addition to that, he said that the decision of not partnering with sports betting would cause “short-term financial pain” to the club regardless of the club posting its revenue record for most of its financial year.