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TATTS - TABCORP MERGER
Friday, April 22, 2016 : TATTS - TABCORP MERGER ON THE BACKBURNER FOR NOW (Update)
A$9 billion merger held up by competing bids for Western Australia’s TAB network.
Robbie Cooke, chief executive of the Australian Tabcorp group, has confirmed the accuracy of an advisory sent by Tatts Group to shareholders that a A$9 billion merger with Tabcorp is currently on ice.
The Tatts advisory explained that both companies are bidding in the A$1 billion sale of the Western Australian government's TAB network, the last of its kind in Australia to be privatised.
Cooke revealed that there was a degree of uncertainty regarding the reaction of the Australian Competition and Consumer Commission regarding a merged bid, and this had exerted some influence on events.
However, InfoPowa readers will recall that the mammoth deal was also shelved late last year, reportedly over disagreements regarding valuations.
Tabcorp bought up previous TABs sold off by provincial governments.
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