News UK to enter online sportsbook market with Tabcorp

UK, owner of The Sun and The Times newspapers, is set to launch an online sportsbook brand in the UK after signing an agreement to partner with Australian operator Tabcorp Holdings.

Sun Bets will launch next year and the business will be structured as a revenue share agreement, with News UK promoting the brand while being provided with a share of the revenue by Tabcorp.

Rupert Murdoch’s News UK already operates an online fantasy football brand, The Sun Dream Team FC.

David Attenborough, Tabcorp CEO and managing director, said: “Entering the UK market in partnership with News is an exciting opportunity for Tabcorp as we take our capability into the A$7bn UK online gambling market. The Sun has more than 10 million readers per week and over one million football fans actively engaged through The Sun Dream Team FC fantasy football competition.”

Tabcorp recently held discussions with fellow operator Tatts over a potential merger, but confirmed in November that the two parties had not been able to reach an agreement.

Profit after tax for Tabcorp for the year ended 30 June went up 158% to A$334.5m, while its revenue increased 6% to A$2.16bn.

News UK claims its titles represent approximately 33% of UK circulation with a weekly print reach of roughly 10 million readers.