Entain named preferred partner by TAB New Zealand

The blue chip, which owns Coral, Ladbrokes, bwin and Sportingbet, among others, said on Tuesday that it had been selected by the state gambling monopoly to be its preferred partner.

Under the deal, which still requires approval from New Zealand’s racing minister, Entain will pay up to NZ$260m (£132m), with a first payment of around NZ$160m due this year. The remainder will be paid subject to the passing of certain legislative amendments.

In addition to the payments, ongoing gross profit share will result in minimum guaranteed funding to TAB NZ of over NZ$1bn in the first five years.

Dean Shannon, chief executive of Entain Australia, said: "This is a unique opportunity to shape the future wagering experience for customers, and to support New Zealand’s racing and sporting industries. We have a compelling vision for the future of TAB NZ, which includes a renewed focus on innovation and technology and a long-term commitment to all racing, sport and industry stakeholders."

Tab NZ is the only regulated racing and sports betting operator in New Zealand. Its statutory objectives are to facilitate and promote betting while minimising the risk of problem and underage gambling.