Australian racing and wagering firm Tabcorp has announced a strategic investment in socialised digital wagering platform Dabble Sports Pty Ltd.
In an ASX filing early Monday morning, Tabcorp revealed it will invest AU$33 million (US$21 million) for a 20% equity interest in Dabble and will have the right to appoint a director to the Dabble board, subject to Northern Territory Racing Commission and probity approval.
Tabcorp described Dabble, founded in 2020, as one of the fastest growing wagering brands in Australia, with over 150,000 customers and June 2022 quarter annualized revenue of around AU$47 million (US$30 million). It also explained that more than 80% of Dabble’s customer base represents a “younger audience”.
The strategic investment therefore provides Tabcorp with both exposure to Dabble’s innovative product capability and strength in the younger customer segment, it added.
“We are transforming our company, with a clear strategy and united ambition to grow digital market share,” said Tabcorp Managing Director and CEO Adam Rytenskild.
“Dabble is one of the most unique and innovative wagering brands and our investment today fits perfectly with our transformation agenda. Our stake in Dabble will give us exposure to innovative product capability and ultimately to a younger customer base.
“The investment comes with the new TAB App now live, on time as promised. The launch of the App has had an immediate impact with customers, delivering an 11% increase in weekly active customers compared to the 6 weeks prior to launch.”