Last week, Phoebus Global Management (NYSE:APO) upped its entreat for Tabcorp’s betting and media businesses to $3.1 billion. But some analysts believe the buck private equity firm’s famine of direct sportsbook operational receive could hinder its traffic with the Aboriginal Australian gaming company.

While Phoebus has been actively involved inward sportsbook management, it’s no unknown to the gaming business. It latterly acquired Great Canadian River Gaming Corp. (GCGC) and is workings with VICI Properties (NYSE:VICI) to purchase the Venetian and Sands Expo and Convention Center inwards Las Vegas for $6.25 billion. Last December, Phoebus paid $1.15 billion to International Game Technology (NYSE:IGT) for Gamenet Group S.p.A — an Italian digital gaming, gaming machine, and sports wagering operator.

As component part of its sweat to receive the Tabcorp deal done, Phoebus offered $500 jillion for the Australian company’s gaming services unit. It’s a business organization that wasn’t initially part of a strategic retrospect launched past the operator. MST Maquee gaming psychoanalyst Rohan Sundram called that displace an “added sweetener” on the suitor’s part.

Without that component, Apollo’s bid simply matches a revised play of $2.7 one million million from Entain Plc (OTC:GMVHY) for Tabcorp’s media and sportsbook arms.

For Apollo’s Tabcorp Ambitions, Complications Abound

An array of regulatory issues inwards Commonwealth of Australia could weigh on Apollo’s efforts to win what are viewed as plum tree assets from Tabcorp.

The likely existence of modification of command provisions amongst [Tabcorp’s] multiple agreements with various racing bodies… farther complicate an already complicated thing and would occupy some time to negotiate through,” said MST’s Sundram in an question with the Sydney Morning Herald.

It’s not at once clear-cut if Aussie regulators make a druthers for a keep company with a local footprint to buy businesses from Tabcorp. But if that’s the case, Apolllo could be hamstrung. Entain, which already operates in the country, in public made a bid, spell Prince Rupert Murdoch’s Charles James Fox Corp. (NASDAQ:FOXA) is considering an offer, too.

Various country racing bodies end-to-end the rural area testament demand to O.K. any divestment past Tabcorp. With Entain already licensed inwards the country and Fox having deep ties there, either could follow seen as a preferred emptor over Phoebus Apollo inward the eyes of regulators.

Evans and Partners analyst James I Richard Buckminster Fuller told the Herald that Phoebus lacks world-wide and local sports wagering operations, and that could hinder its running game at Tabcorp. Conversely, Entain is a planetary sportsbook operator. In improver to its Aboriginal Australian footprint, it’s single of Europe’s largest sports betting companies, and it’s a growing personnel inward the US by way of its 50 percent stake inward BetMGM.

Apollo Wants Sports Betting Exposure

What comes of its lead at Tabcorp’s media and sports betting businesses remains to follow seen. But it’s clean-cut Phoebus Apollo has some desire to up its sports wagering profile on a world-wide scale.

In improver to the Gamenet Group acquisition, the common soldier equity goliath is seen as one of the leading contenders inward a coming auction for William Hill’s European operations.

The Great Canadian buy positions Phoebus to capitalize on single-game wagering there, and the recent acquisition of Yahoo! from Verizon gives it bid of Yahoo! Sports, which is a media partner of BetMGM.