Bet365 on the Market: Coates Family Ponders Selling Sports Gambling Giant
The Coates family explores a potential gigantic sale of sports betting corporation, Bet365.
Get ready for some major moves in the gambling world, folks! According to the latest scoop, the British Coates family is contemplating a full or partial sale of their online gambling titan, Bet365. Remember, this family controls the online gambling juggernaut.
Sources close to the situation have revealed that talks with US investment banks and advisors about strategic options like an IPO on a American stock exchange or a partial sale to private equity investors have already taken place, as reported by the British daily The Guardian. A whopping valuation of about £9 billion (approximately €10.6 billion) is up for grabs.
Still, no decision has been made yet, but the process is far along. Alongside a classic IPO or partial sale, discussions about a potential spin-off of individual business units are also happening, where certain business areas could be carved out and managed independently.
Strategic Moves and International Ambitions
Experts believe that both strategic and personal reasons of Bet365’s CEO Denise Coates, the 57-year-old who banks 58% of the shares and stands to earn around £5 billion (roughly €5.9 billion) in the event of a sale, could be driving the potential sale.
Denise has been making some strategic moves of late. She pulled Bet365 out of the tricky Chinese market in March 2025 and handed over control of the family-owned football club Stoke City FC to her brother John.
Bet365: The Rise of a Global Betting Giant
Beginning in a container office in the English town of Stoke-on-Trent two decades ago, Bet365 has ballooned into one of the world's largest online betting providers. Under the leadership of Denise Coates, the company is now eyeing its next major step: a potential billion-dollar sale or public offering.
Key facts and figures at a glance:
- Foundation: Established in 2000 by Denise Coates in Stoke-on-Trent, UK
- Ownership: Denise Coates owns 58%, with the remaining shares primarily in the hands of other Coates family members
- Employees: Over 7,000 worldwide
- International Presence: Active in over 20 jurisdictions, including Germany, Spain, Argentina, and 13 US states
- Sponsorship: Long-time sponsor of Stoke City FC and since 2024, official global partner of the UEFA Champions League
- Technological Strength: Trailblazer in live betting, now a vital part of the offering
- Regulatory Issues: In April 2024, UK Gambling Commission imposed a fine of £582,120 (around €683,000) on Bet365 for breaches of anti-money laundering regulations
These steps could signify the Coates family preparing for a deal with American investors. Consider the exit from the Chinese market; it could indicate that the company might want to steer clear of risks that complex overseas operations could pose to an American IPO.
Moreover, Bet365 has heightened its presence in regulated markets like the USA, Brazil, and Peru. The company is active in 13 US states and has recently formed partnerships, such as with the St. Louis Cardinals baseball team in Missouri.
Financial Health and Potential Valuation
Financially, Bet365 is in a strong position. For the fiscal year ending March 2024, the company reported a 9% increase in revenue to £3.72 billion (about €4.36 billion) and a pre-tax profit of £626.6 million (about €735 million) - a turnaround from a loss in the previous year.
An American IPO would make Bet365 the largest gambling company stock market listing in the world and could signal that online gambling has finally hit the mainstream. Industry experts might even view it as a new benchmark for valuation of competitors like Flutter or Entain, as a successful Bet365 IPO could demonstrate the potential value of a large, profitable online betting company. This, in turn, would have a significant impact on the market value of similar firms.
At the same time, an IPO would significantly enhance the company's disclosure requirements - a notable departure from the company's previously low-key culture.
Prospects: A New Chapter or a Fade?
Although the prospects are enticing, it remains unclear whether a sale will actually materialize. As the sole owner, the Coates family isn't under pressure to act and can take their time to find the best moment. However, the increasing market maturity and mounting competitive pressure, particularly from US giants like DraftKings, suggest that Bet365 may be gearing up for its next phase of growth under new leadership.
For years, industry experts have been clamoring that the only company they'd like to invest in is Bet365. Although there's a general consensus in the industry that the company is a fading star, it remains one of the best, if not the best, online sports betting companies in the world, according to analyst Alun Bowden from EKG, The Guardian.
There are also whispers that personal considerations within the Coates family may play a role: Denise Coates will soon celebrate her 60th birthday, and this could be the perfect time to pass the company onto new ownership after two decades of aggressive growth. According to industry analyst Paul Leyland, Coates may have decided not to let her company stagnate, but to prepare it for the next stage of development.
- Online casinos in Germany could potentially witness a shift in ownership as the Coates family explores the possibility of selling their stake in Bet365, one of the world's largest online betting providers, which is already active in multiple jurisdictions, including Germany.
- The strategic steps taken by Denise Coates, such as investments in technology, sports sponsorships, and expansion into regulated markets, hint at a focus on both financial growth and company valuation, which may increase as a result of a sale or IPO, influencing the future of online investing in the gambling industry.
