Betfair: the first firm to have officially agreed ABP status

 PICTURE: Edward Whitaker (racingpost.com/photos)

Betfair become first firm to sign up to ABP status

BETFAIR have been named as the first official authorised betting partner for British racing having reached an agreement on a three-year deal – with further announcements on other operators having followed suit expected soon.

When the controversial policy was first officially announced by racing in October, the sport said Betfair, bet365 and 32Red were deemed to already have ABP status as they had a “fair and mutually sustainable funding relationship with the sport”.

Betfair have agreed terms and the other two firms are expected to be announced as ABPs imminently.

The new deal will involve Betfair contributing an agreed percentage of their racing revenues from its exchange and sportsbook for three years from April 2016.

The percentage is based on a new rate card developed by the BHA, the Racecourse Association and Horsemen’s Group operating under the new members’ agreement.

Until April Betfair will continue to contribute under the existing five-year funding commitment with British racing.

The first year of this ABP deal will then replace the fifth and final year of the existing commitment, which was due to expire in March 2017.

‘Enlightened approach’

BHA chief executive Nick Rust said: “We are delighted to have signed up our first authorised betting partner under a multi-year deal, and welcome the enlightened approach taken by Betfair.

“They clearly value our sport and recognise the interdependence between Racing and Betting, as well as the benefits associated with being an authorised betting partner, in particular from the commercial parties in British Racing that are signing up to the model.

“It is vital for the sport, and the tens of thousands of people deriving their livelihoods from it, that we move our funding from our biggest customer group on to a more sustainable footing, including taking the necessary steps prior to the introduction of the horserace betting right to incentivise digital businesses to make a contribution back to British racing.”

Paddy Power not involved

Paddy Power, who are due to complete a merger with Betfair next year and whose opposition to the concept has been such that they have raised legal concerns with the BHA and others, are not involved.

The major retail firms have come out strongly against the idea which has put an end to Betfred’s sponsorship of the Cheltenham Gold Cup and Sprint Cup at Haydock and placed other prominent deals under threat.

The Jockey Club, Arena Racing Company and Scottish courses have said they will not enter into new commercial arrangements with bookmakers who are not ABPs, a move which has put the future of William Hill’s sponsorship of the King George VI Chase at Kempton, Ladbrokes’ backing of the World Hurdle and Coral’s support of the All-Weather Championships in doubt.

Such was Betfred founder Fred Done’s anger at what he regarded as the disrepectful way he had been treated he said he would “walk away” from racing.

 

Coral: sponsoring Leopardstown card on January 17

Coral sign landmark Irish sponsorship deal

CORAL on Thursday announced a landmark deal to sponsor their first races in Ireland at Leopardstown on January 17.

The firm will back the entire seven-race card, which now includes the €100,000 Coral.ie Hurdle and the €100,000 Coral.ie Handicap Chase.

The move is particularly significant as Coral, who have recently obtained an Irish betting licence, are one of many firms who do not meet the new authorised betting partner (ABP) criteria in Britain, meaning they will not be able to sponsor races at many tracks once their current deals run out.

Betfair became the first firm to officially sign up to ABP status on Thursday.

New bonus

Coral are also offering a new €100,000 bonus to any horse that can win the Coral.ie Hurdle and go on to land the Coral Cup at the Cheltenham Festival, a big-handicap hurdle double that was achieved by Xenophon in 2003.

While the ABP debate rolls on, affected bookmakers have sought other sporting avenues to promote their brand with Betway and William Hill choosing to sponsor tennis tournaments in recent months, funding the Davis Cup and Australian Open respectively.

‘Perfect platform’

Coral PR director Simon Clare said: “We are thrilled to be sponsoring one of Leopardstown’s biggest race meetings of the year, including one of the most prestigious and valuable hurdle races staged in Ireland.

“This is Coral’s first sponsorship venture in Irish horseracing and it gives us the perfect platform to promote the Coral name, our passion for horseracing, and the benefits of our online and mobile betting service to Irish racing fans and punters.”

Leopardstown chief executive Pat Keogh said: “The Coral.ie Hurdle is always an extremely competitive race and the bonus with the Coral Cup at Cheltenham adds a new dimension that will be very popular, while the Coral.ie Chase is one of our oldest races which the legendary Arkle won three times.

“We hope that this is the start of a very long relationship with Coral and thank them for their support of Leopardstown.”