here is the full article While Tabcorp takes its time reviewing...

here is the full article

While Tabcorp takes its time reviewing strategic options for its ugly duckling wagering and media business, there’s plenty of behind-the-scenes scheming by potential acquirers.

The contenders seem to be working off the same M&A playbook: assume Tabcorp announces a demerger, and then engage with the company and its bankers at UBS to try to snatch the business.

There willl be extra attention on the Autumn carnival from a bunch of Tabcorp suitors and their bankers. Getty

If you listened to racing types, the short priced favourite is bookie Matthew Tripp, who has had plenty of success taking on Tabcorp’s wagering business over the years and has been waiting for his chance to take the reins.

Tripp’s got some big backers, including the Murdochs who are looking for an entry into Australia’s $4.7 billion a year betting market, and financial investor types, and the goodwill of the racing industry.

It is understood the consortium has also mandated Goldman Sachs for advice – the same investment banking giant that has done plenty of work for the Murdochs/News Corp/Fox over the years. It has Goldman Sachs bankers in Sydney and Melbourne keeping their ears to the ground.

Of course the other known contenders for Tabcorp’s $3 billion-odd wagering and media business include the UK’s Entain, which owns Ladbrokes and has Macquarie Capital and Morgan Stanley on board for advice, and Jefferies-advised rival Apollo Global Management.

Tabcorp’s wagering and media unit reported $1.19 billion revenue in the six months to December 31 and $227 million EBITDA. Both numbers were materially consistent with the prior year.