Tabcorp to invest $33 million into Dabble

Tabcorp has made a $33 million investment in online bookmakers Dabble in efforts to tap into a younger audience, as it pushes to grow its digital market share.

Dabble, an Australian online sports and racing bookmaker with over 150,000 customers, allows users to chat with other punters and build an in-app social following.

Tabcorp said it is buying a 20 percent equity interest on a fully diluted basis in Dabble, and will hold the right to appoint a director to the Dabble board.

It said the “strategic investment in Dabble provides Tabcorp with both exposure to Dabble’s innovative product capability and strength in the younger customer segment.”

“Tabcorp and Dabble will explore opportunities to create win-win innovation and growth for both TAB and Dabble,” it said in a statement.

The gambling company added the investment aligns with “Tabcorp’s strategy to grow digital market share” as it moves forward with the sale of its non-core eBet business for $62 million.

Tabcorp Managing Director and CEO Adam Rytenskild said the business is “transforming our company, with a clear strategy and united ambition to grow digital market share.”

“Dabble is one of the most unique and innovative wagering brands and our investment today fits perfectly with our transformation agenda.”

He added the investment follows as the company's new TAB app went live and has also seen “an 11 percent increase in weekly active customers compared to the 6 weeks prior to launch.”

Tabcorp released its app last month, using the open-source Flutter UI toolkit as the foundation for its mobile, web and retail offerings.

The Dabble investment is subject to customary conditions including Northern Territory Racing Commission approval.

The Director’s appointment to the Dabble board will be subject to probity approval.