BLUE SQUARE BET SALE RUMOURS CONFIRMED
02nd April, 2013 at 12:54:51
Betfair acquires company from Rank plc for £ 5 million
Rumours earlier this year that Betfair
was about to acquire the troubled Blue Square sports betting subsidiary from Rank plc (see previous report) were confirmed Tuesday with an announcement from both companies that a consideration of £ 5 million has been agreed.
Rank triggered the rumours with the announcement in January this year that it was reviewing the under-performing enterprise.
In its announcement Tuesday, Rank advised that it has now "...completed the sale of the assets of its Blue Square Bet business to Betfair Group plc for £ 5 million" and intends to "....focus its resources on further developing the Grosvenor Casinos and Mecca brands in venues and via digital channels."
In its statement announcing the deal, Betfair plc said the acquisition of Blue Square "...is consistent with Betfair's strategy of focusing on regulated markets and growing its sportsbook and gaming operations alongside the exchange."
The statement noted that effective immediately all Blue Square customers will be automatically redirected to Betfair "...where they can access a full suite of sports betting and gaming products and receive a promotional welcome offer."
Blue Square Bet marketing affiliates received a communication from Betfair which advised them that with effect from 1am Tuesday April 2nd 2013 the Blue Square Bet brand and customer accounts have been sold to Betfair.
"Contracts including those relating to the Blue Square affiliate program were not included in this sale. As a result of this development we are terminating, with immediate effect, all Blue Square Bet affiliate partnerships. In accordance with our terms and conditions please accept this as formal notice of termination.
"Any revenues owed from your Blue Square Bet customers will be paid up until April 2nd and final affiliate payments in relation to Blue Square Bet activity will be calculated and paid between the 5th and 15th of this month as per the normal payment run.
"We sincerely regret the abruptness of this announcement and any inconvenience that it may cause."
Related News Tags: Betfair, Grosvenor