Chief Stipe Posted May 23, 2023 Share Posted May 23, 2023 Tod resigns after selling the industry silver and the drawers. Who is Nick Roberts his replacement? Where was the job advertised? The stench is strong. Quote Link to comment Share on other sites More sharing options...
Chief Stipe Posted May 23, 2023 Author Share Posted May 23, 2023 TAB NZ CEO Mike Tod steps down amid greenlight for Entain deal TAB NZ and Entain have signed a 25-year strategic arrangement.TAB NZ and Entain have signed a 25-year strategic arrangement.05/23/23 Mike Tods’s resignation is effective immediately following approval of a major new deal with Entain. New Zealand.- Mike Tod, the CEO of TAB NZ, has announced his resignation after the company announced government approval of a strategic partnering arrangement with Entain. He’ll be replaced by Nick Roberts from June 1. TAB NZ board chair Mark Stewart MNZM, said: “As General Counsel and then Chief Transition Officer, Nick was a critical part of the team that worked tirelessly on securing the strategic partnering arrangement with Entain. “The retention of Nick’s commercial acumen and legal skills, particularly his experience and deep knowledge of the legislative settings in NZ, the wagering ecosystem, and the contract that underpins the Entain arrangement will prove extremely valuable to the TAB NZ Board, our regulators and indeed the stakeholders that rely on TAB NZ funding.” Roberts added: “The New Zealand racing industry remains world-class despite the funding challenges that have persisted for some time, but our place on the international map and the export revenue that racing drives for our great country requires a strong domestic industry. An industry that also makes a significant contribution to New Zealand’s gross domestic product and many regional communities through employment and investment. “We have secured a generational change in the fortunes of racing. It is now up to the leaders across the racing industry to seize this opportunity and deliver a sustainable operating model over the next five years and give customers a world-class product and experience. “Our sporting partners are also set to benefit from Entain’s investment in products and services. Some key National Sporting Organisations will be able to invest deeply in participation and elite performance as a result of the extra funding they will receive from TAB NZ. “Entain has demonstrated a significant commitment to New Zealand racing and sport, and to TAB NZ’s 250,000 customers who will benefit from an improved experience and global-leading harm minimisation tools that TAB NZ would not otherwise have been able to bring to market.” Quote Link to comment Share on other sites More sharing options...
Special Agent Posted May 23, 2023 Share Posted May 23, 2023 (edited) Who is Nick Roberts? Apparently Nick is a long standing employee of TAB NZ. Where was the job advertised? I'd say nowhere as it appears this was just an inside and possibly prearranged appointment. I note the $150million lost overseas in the form of Kiwi wagering is no longer an estimate but now quoted as fact by Nick Roberts and a figure they will be returning to the NZ racing industry. A big promise that may prove difficult to fulfill. Was it Centaur who trotted out past unkept promises from past CEO's such as John Allen? Nobody could be blamed for being skeptical. Edited May 23, 2023 by Special Agent Quote Link to comment Share on other sites More sharing options...
NZRacing Posted May 24, 2023 Share Posted May 24, 2023 (edited) Why any Company would sign a deal for 25 years is beyond me. McAnulty needs to give himself an upper-cut for allowing a NZ monopoly to be given away for that long a period of time. He should have said make the contract for 3 years plus 10 years if NZ is happy with how things have transpired. If Roberts legal skills were that good he wouldn't have allowed for a 25 year contract. Maybe they have a get out clause if Entain don't perform but that was probably out of their mental range to have consided including. The NZ Board has more sports related members than racing ones. I wonder what the deal was for sports to help the deal go through. I have heard a number and it its true it will mean a lot less for the NZ racing Industry. Did anyone from the Racing codes management ask what the deal for sports was going to include? The botom line is Entain are more concerned about their share price than the NZ Racing Industry. In March Entain said $1 billion dollars over next 5 years and yesterday they said $900 million? It's not good to read they are prepared offered an additional $100 million if Geo Blocking is introduced. Is that why over the past few weeks for the $100 million differential? Part of allowing a Company to be a monopoly was that prices were not uncompetitive to consumers. The NZ TAB should have lost their monopoly years ago because as we know race odd prices compared to Aussie have never been competitive. That is a bull#*& number by the TAB saying 250k customers, maybe 20 years ago today active customers be well under half of that as current turnover figures would confirm. Interesting to see the worst share price in last 12 months for Entain was just prior to the news that they had secured a deal with NZ. Two winners out of this will be NZ Sports and the Entain share price. Could be a worse deal than their last major #$#^ up. I wonder how much they have to pay to get out of the contacts with Paddy Power and Open Bet which amounts to around $17 million a year. Good luck to the NZ Racing Industry your going to need it. Edited May 24, 2023 by NZRacing spelling 3 Quote Link to comment Share on other sites More sharing options...
Huey Posted May 25, 2023 Share Posted May 25, 2023 On 24/05/2023 at 12:16 PM, NZRacing said: Why any Company would sign a deal for 25 years is beyond me. Only a couple fo reasons for that, that business (NZ TAB) is desparate (likely) or someone is making something out of it. 1 Quote Link to comment Share on other sites More sharing options...
curious Posted May 25, 2023 Share Posted May 25, 2023 On 24/05/2023 at 12:16 PM, NZRacing said: Why any Company would sign a deal for 25 years is beyond me. McAnulty needs to give himself an upper-cut for allowing a NZ monopoly to be given away for that long a period of time. He should have said make the contract for 3 years plus 10 years if NZ is happy with how things have transpired. If Roberts legal skills were that good he wouldn't have allowed for a 25 year contract. Maybe they have a get out clause if Entain don't perform but that was probably out of their mental range to have consided including. I'm reluctant to comment on this until we have further details but I think you and a number of others are barking up a tree here. Of course they wouldn't sign a 25 year contract without an exit strategy and I'm pretty certain that McAnulty said the other day that TABNZ can take back over at anytime during the period they see fit to do so? Whether or what exit arrangements Entain have is unknown to me. Quote Link to comment Share on other sites More sharing options...
The Centaur Posted May 25, 2023 Share Posted May 25, 2023 1 hour ago, curious said: I'm reluctant to comment on this until we have further details but I think you and a number of others are barking up a tree here. Of course they wouldn't sign a 25 year contract without an exit strategy and I'm pretty certain that McAnulty said the other day that TABNZ can take back over at anytime during the period they see fit to do so? Whether or what exit arrangements Entain have is unknown to me. Bookmakers have always operated in a competitive environment. Thats why on track the bookies form whats called the ring. You just can't have bookmaking without competition. The 25 years is an amateur hour decision. Its like giving Samsung a 25 year contract to supply government phones and banning everybody else from buying any other brand from overseas. I think a strong case can be made to the Commerce Commission to stop this deal as it stands at the moment. Quote Link to comment Share on other sites More sharing options...
The Centaur Posted May 25, 2023 Share Posted May 25, 2023 On 24/05/2023 at 12:16 PM, NZRacing said: The NZ Board has more sports related members than racing ones. I wonder what the deal was for sports to help the deal go through. I have heard a number and it its true it will mean a lot less for the NZ racing Industry. Did anyone from the Racing codes management ask what the deal for sports was going to include? As I mentioned before the conflict of interest of Sharrock, George and previously McKenzie is huge. People think just because Sharrock is from a racing family they forget Sharrock made his mark in professional sports and still involved with his firm which has links to Ladbrokes. 1 Quote Link to comment Share on other sites More sharing options...
Freda Posted May 25, 2023 Share Posted May 25, 2023 10 hours ago, curious said: I'm reluctant to comment on this until we have further details but I think you and a number of others are barking up a tree here. Of course they wouldn't sign a 25 year contract without an exit strategy and I'm pretty certain that McAnulty said the other day that TABNZ can take back over at anytime during the period they see fit to do so? Whether or what exit arrangements Entain have is unknown to me. I'm with you on refraining from comment etc....however I have a dubious faith in those who brokered this deal. Generally, a 25 yr contract would certainly have clauses either way...but how can one have faith in our mob? It would be unusual to say the least to think all is squeaky and professional. But, as you said, we don't know the details. However, I thought McAnulty stated that the TAB now has the structure to enable it to be taken back AFTER 25 years, if need be ? but I may have misheard. No doubt Messara would have preferred Tabcorp as the partner..but the value of the 'asset' has been run down even more in the ensuing four years. Tabcorp have their own issues atm. The deal with Entain - in whatever shape it turns out to be - is the best we could hope for. The alternative doesn't bear thinking about. Quote Link to comment Share on other sites More sharing options...
curious Posted May 25, 2023 Share Posted May 25, 2023 "Yeah, well one of the things that I was concerned about and wanted reassurance of was that there were provisions in place to ensure that for whatever reason - it might be just at the end of the 25 year term - that the TAB would be in a position to pick things up. That’s a requirement in the agreement. So, I was satisfied at the conclusion that the TAB and Entain must make sure, that at any point, the TAB is in a position to be able to pick things up, if…whatever happens." 1 Quote Link to comment Share on other sites More sharing options...
Freda Posted May 25, 2023 Share Posted May 25, 2023 (edited) Thanks. Clearly I heard only a part of it Edited May 25, 2023 by Freda Quote Link to comment Share on other sites More sharing options...
Chief Stipe Posted May 25, 2023 Author Share Posted May 25, 2023 2 hours ago, Freda said: The deal with Entain - in whatever shape it turns out to be - is the best we could hope for. The alternative doesn't bear thinking about. Quite frankly that's bollocks. Surely you are not suggesting it was a fire sale? Yes it wasn't too long ago that TABNZ was insolvent. Yes the Government bailed it out. Yes the great restructurer Dean MacKenzie did stuff all. But is TABNZ a basket case? No it isn't. Could it be better managed - absolutely and we didn't need to sell the silver to do that. Just have some managers with nous, skills and balls. On the positive side Entain probably won't piss around and not make hard decisions. But if there are agreements on staff retention and existing contract commitments then it ain't going to happen quickly. Now we are dependent on Entain remaining solvent. Yep a fantastic decision - not. 1 Quote Link to comment Share on other sites More sharing options...
NZRacing Posted May 25, 2023 Share Posted May 25, 2023 (edited) Did anyone hear that part of the deal was to hand over the gaming machine income because I was told that was part of the deal. Unbelievable if they got bluffed into doing that. If thats true there is $17 million a year gone which is needed to run the RIU. Edited May 25, 2023 by NZRacing 1 Quote Link to comment Share on other sites More sharing options...
Doomed Posted May 25, 2023 Share Posted May 25, 2023 11 minutes ago, NZRacing said: Did anyone hear that part of the deal was to hand over the gaming machine income because I was told that was part of the deal. Unbelievable if they got bluffed into doing that. If thats true there is $17 million a year gone which is needed to run the RIU. That was obviously a crucial part of the deal, they made a big thing of relinquishing the gaming machines in the announcement. No mention of where the money was to come from to replace the missing income. Obviously it will come out of the Ladbrokes contribution, so a little less for stakes and infrastructure. Also $5m odd for problem gamblers; take that bit off stakes as well. Might as well just give the problem gamblers $50,000 each if they stop betting. I'm half expecting a call myself as I seem to have a problem with my gambling most weeks. And it didn't sound to me like Todd resigned, sounded like he was told to not come Monday. 2 Quote Link to comment Share on other sites More sharing options...
Chief Stipe Posted May 25, 2023 Author Share Posted May 25, 2023 27 minutes ago, Doomed said: That was obviously a crucial part of the deal, they made a big thing of relinquishing the gaming machines in the announcement. Who have they relinquished the Gaming Machines to? I doubt the associated Gaming License would be transferable to an overseas entity. Quote Link to comment Share on other sites More sharing options...
curious Posted May 25, 2023 Share Posted May 25, 2023 10 minutes ago, Chief Stipe said: Who have they relinquished the Gaming Machines to? To the scrapheap where they belong. 2 Quote Link to comment Share on other sites More sharing options...
Chief Stipe Posted May 25, 2023 Author Share Posted May 25, 2023 6 minutes ago, curious said: To the scrapheap where they belong. Seriously - has the industry relinquished the Class 4 Gaming License? Quote Link to comment Share on other sites More sharing options...
NZRacing Posted May 25, 2023 Share Posted May 25, 2023 18 minutes ago, Chief Stipe said: Who have they relinquished the Gaming Machines to? I doubt the associated Gaming License would be transferable to an overseas entity. I guess they will still hold the license and transfer the proceeds to Entain. Did anyone ask 'so where is the money to run the RIB is now coming from?' Quote Link to comment Share on other sites More sharing options...
Chief Stipe Posted May 25, 2023 Author Share Posted May 25, 2023 1 minute ago, NZRacing said: I guess they will still hold the license and transfer the proceeds to Entain. Did anyone ask 'so where is the money to run the RIB is now coming from?' I doubt under the terms of the License they would be able to transfer the money to an overseas entity. Quote Link to comment Share on other sites More sharing options...
Doomed Posted May 25, 2023 Share Posted May 25, 2023 24 minutes ago, Chief Stipe said: Who have they relinquished the Gaming Machines to? I doubt the associated Gaming License would be transferable to an overseas entity. Part of the sinking lid policy. The machines won't go to anyone else. Quote Link to comment Share on other sites More sharing options...
NZRacing Posted May 25, 2023 Share Posted May 25, 2023 3 minutes ago, Chief Stipe said: I doubt under the terms of the License they would be able to transfer the money to an overseas entity. Creative accounting will come into play then. Quote Link to comment Share on other sites More sharing options...
curious Posted May 26, 2023 Share Posted May 26, 2023 45 minutes ago, Chief Stipe said: Seriously - has the industry relinquished the Class 4 Gaming License? For heavens sake did you not listen to the ministerial announcement before commenting on it here. Yes. The licences are gone. Quote Link to comment Share on other sites More sharing options...
curious Posted May 26, 2023 Share Posted May 26, 2023 “I am pleased to confirm that because of the financial security afforded to the TAB by this announcement, the TAB have told me they will be able to remove their roughly 500 class 4 gaming machines from our communities. Given the existing sinking lid policy the government has on these gaming machine licences, this is significant.” Quote Link to comment Share on other sites More sharing options...
Chief Stipe Posted May 26, 2023 Author Share Posted May 26, 2023 37 minutes ago, curious said: For heavens sake did you not listen to the ministerial announcement before commenting on it here. Yes. The licences are gone. Sorry for asking! Thanks for confirming for those of us that haven't had time to listen to the utterances of this Government. Quote Link to comment Share on other sites More sharing options...
Chief Stipe Posted May 26, 2023 Author Share Posted May 26, 2023 35 minutes ago, curious said: “I am pleased to confirm that because of the financial security afforded to the TAB by this announcement, the TAB have told me they will be able to remove their roughly 500 class 4 gaming machines from our communities. Given the existing sinking lid policy the government has on these gaming machine licences, this is significant.” Right so $17m to come from the promised revenue to pay the RIB. This is looking worse and worse. 1 Quote Link to comment Share on other sites More sharing options...
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