The Coates family, founders of UK gambling powerhouse Bet365, is reportedly considering a sale that could value the firm at up to £9 billion. The online betting giant—led by CEO Denise Coates—has been in conversations with Wall Street banks and American advisers regarding a full or partial divestment of the business. These discussions may lead to a stake sale, a spin-off, or a future public listing in the U.S.

U.S. market emerges as new frontier:

Multiple sources, cited by The Guardian, confirmed that informal talks have entered the so-called “beauty parade” stage, in which banks compete to represent the company and secure the most favorable valuation. One potential scenario involves selling a stake to private equity now, while retaining family control until a potential initial public offering (IPO) later.

If the business were to sell at the projected valuation, 57-year-old Denise Coates, who owns 58% of the British online gambling company company, could personally earn more than £5 billion. Bet365 did not comment on the reported developments.

Originally built from a portable cabin in Stoke-on-Trent, England, Bet365 has grown into one of the world’s largest online sports betting firms, with operations in 13 U.S. states and licenses in over a dozen jurisdictions including Spain, Germany, and Argentina. Last year, the company launched operations in Illinois and opened a new U.S. headquarters in Denver, Colorado with hiring plans targeting up to 1,000 employees.

The move aligns with a broader industry pivot toward the American market following the U.S. Supreme Court’s 2018 repeal of a federal sports betting ban. Analyst Paul Leyland of Regulus Partners noted, “A sale in the US was ‘compelling for everybody’,” citing investor interest and the strategic fit. “There’s more money chasing gambling than there are gambling companies that are investable.”

Exiting China and streamlining legacy assets:

In preparation for a potential sale, Bet365 has also taken steps to streamline its global operations. In March, the company announced it would cease services in China, citing a need to refocus on “core markets” and sustainable revenue streams. The exit from China—which remains a controversial market due to its ban on gambling—has been interpreted by analysts as an effort to improve appeal to American investors.

Additionally, the firm transferred ownership of Stoke City Football Club to John Coates last August. Paul Leyland said, “It would be very difficult to have China exposure given the level of scrutiny that might be applied in the US, and why would you have a football club attached, that’s a family legacy.”

According to industry analyst Alun Bowden from Eilers & Krejcik Gaming (EKG), Bet365 may be trying to capitalize on favorable timing. “Now feels a very good time to explore exit opportunities, and the timing feels right with Denise turning 60 in two years’ time,” he said. EKG values Bet365 at up to $12 billion, based on a pre-tax profit of £627 million on £3.7 billion in revenue in its most recent fiscal year.

Racing and sports ties could face uncertainty:

Any potential change in ownership could raise concerns among British racing stakeholders. Bet365 is a significant backer of UK and Irish racing, sponsoring major events such as the Bet365 Gold Cup, the Cambridgeshire, and the Fillies’ Mile. The brand has also invested in greyhound racing and hosts a packed annual sponsorship calendar.

Analyst Ivor Jones of Peel Hunt reflected on the potential investor interest, saying, “If this remarkable business is looking for new investors I would expect the queues to stretch halfway round Stoke.”

Despite speculation, Bet365 had previously stated during its application for a New York license that it had “no plans to sell the company, merge the company, or to take the company public.” However, subsequent strategic shifts—including the China exit and internal asset transfers—suggest the situation has evolved.