betr Withdraws Meeting Notice, Plans Combined Shareholder Vote on PointsBet Offer

Context of the Withdrawal

betr Entertainment Limited (ASX, BBT) has taken the notable step of withdrawing its previously issued Notice of Meeting and cancelling the scheduled Selective Buy-Back Meeting. This decision comes amid ongoing regulatory proceedings involving the Takeovers Panel and betr’s all-scrip, off-market takeover offer for PointsBet Holdings Limited (ASX, PBH). The move signals a strategic recalibration in how betr intends to secure shareholder approval for critical corporate actions.

The Takeovers Panel Undertaking

Central to this development is an undertaking betr signed with the Takeovers Panel, designed to align the approval processes for the takeover offer and the selective buy-back. The Panel’s involvement underscores the regulatory scrutiny surrounding the acquisition of PointsBet, a significant player in the Australian wagering market. By agreeing to the Panel’s terms, betr aims to streamline shareholder decision-making and ensure compliance with takeover rules.

What’s Next for Shareholders?

betr has committed to issuing a new notice of meeting that will convene an extraordinary general meeting combining approvals for both the share issuance under the takeover offer and the selective buy-back. Importantly, this new meeting will be accompanied by a report from an independent expert assessing the selective buy-back, providing shareholders with an additional layer of analysis to inform their vote. This approach may help mitigate concerns about the financial and strategic implications of the buy-back and the takeover.

Implications for the Takeover Timeline

While the cancellation of the initial meeting introduces some uncertainty around timing, it reflects a cautious and compliant approach by betr’s board, led by industry veterans Matthew Tripp and Michael Sullivan. The company’s focus remains on securing shareholder approval in a manner that satisfies regulatory expectations and supports the successful completion of the PointsBet acquisition. Investors will be watching closely for the release of the new meeting notice and the independent expert’s report.

Regulatory and Market Signals

The Takeovers Panel’s confirmation that it does not object to the form of betr’s announcement provides some reassurance to the market. However, the need to withdraw and reschedule the meeting highlights the complexities involved in large-scale digital wagering consolidations in Australia. betr’s actions demonstrate a willingness to engage constructively with regulators, which could bode well for the company’s governance reputation amid a competitive sector landscape.