At the end of March, it was announced that the betting company Entain won over several global gaming operators, including Australia’s Tabcorp, in the race for a licence with TAB New Zealand. The partnership between the two companies is set to provide TAB NZ’s wagering and broadcast operations while also ensuring funding of more than NZ$1 billion in the first five years of their 25-year licence agreement.
After the Government approved the partnership between TAB NZ and Entain, it was announced that Mike Tod will step down from his position as chief executive of TAB. Starting June 1, Nick Roberts will take up the role of chief executive of the entity as he was chosen for the position by the board of TAB NZ.
Government Approves Agreement Between Entain and TAB NZ, Entain to Take Over TAB’s Operations
On Tuesday, Minister for Racing Kieran McAnulty announced his approval of the recent arrangement between Entain and TAB NZ, which will see the British gambling giant taking over the betting operations of TAB. The Government’s approval was given despite the Problem Gambling Foundation voicing its concerns about the agreement.
Last week, The Guardian reported that gambling company Coral, now owned by Entain, was paying blogs targeting new mothers to promote the company’s online casino games. However, the cases which were revealed in the report had happened prior to Coral’s acquisition by Entain in 2018.
McAnulty added that the Cabinet approved the strategic partnership due to the potential of extending TAB NZ’s sports and race betting monopoly in the online gambling sector. The Racing Minister suggested this may be achieved by using geolocation tools to block access to overseas gaming and betting websites.
Entain agreed on aiding the monopoly agenda by making a generous additional upfront payment if the legislation was amended to introduce a ban on unlicensed offshore betting operations in NZ.
Mike Tod Steps Down as TAB’s Boss, Nick Roberts to Become New TAB Chief Executive
Mr Tod confirmed he will step down as chief executive of the organisation after McAnulty announced the strategic partnership between Entain and TAB NZ was approved. The deal between the two entities is expected to bring record value for the organisation and its stakeholders.
According to Mark Stewart, TAB NZ’s board chairman, the new CEO of the statutory entity will focus on supporting the partnership with Entain and helping the transition towards the future more successful state of TAB NZ.
With Entain taking the lead, TAB NZ’s new model will have smaller operations, which will focus mainly on the retained functions of the entity. These include meeting its respective legislative requirements, revising Entain’s regulatory and commercial performance, developing new commercial strategies for its partnership with Entain, and providing the Government with the required support for the revision and implementation of any online gambling reforms.
Mr Stewart ensured Mr Roberts was a great fit for the position of chief executive as he was heavily involved in the process of ensuring the partnership between TAB NZ and Entain. What is more, Mr Tod’s expertise in the legislative system in NZ, the wagering industry, and the contract that supports the arrangement between the organisation and Entain, will be of great value to Tab NZ’s board and stakeholders.
- Author
Olivia Cole
