Who will be the next CEO of Tabcorp?

It was one month on Sunday since the shock announcement that Tabcorp chief executive Adam Rytenskild had resigned after allegations of inappropriate language in the workplace.

Once the shock had subsided and interest over who said what about whom dissipated, there has been a burning question as to who would replace Rytenskild, who had held the role since Tabcorp was split in 2022.

Bruce Akhurst, Tabcorp chairman since June 2022, has assumed the role of executive chairman on a temporary basis, assuming the day-to-day duties Rytenskild held in the publicly listed company.

Akhurst has a wealth of board experience and was previously executive chairman of Adstream, chief executive of Sensis and Group managing director of Telstra, but given his role on the Tabcorp board, his executive function at the wagering company could only ever be temporary.

Maritana Partners have been charged with the task of finding a new CEO and given the size and profile of the company, it is likely to be an extensive search. Tabcorp has a current market capitalisation of $1.71 billion.

It is also a company in flux, having given up significant market share in the wagering space during the pandemic wagering boom. Over the past 12 months, its share price has dropped from a peak of $1.15 to 75c.

Under Rytenskild, it targetted an ambitious market share rebound to a figure of 30 per cent by FY25. At the end of 2023, that stood at 24.5 per cent.

Alleged offensive remark about regulator led to Rytenskild’s downfall

Fallen Tabcorp chief executive Adam Rytenskild is alleged to have made an offensive comment about a Victorian-based gambling regulator.

The StraightBren O’Brien

This is in the context of a challenging wagering market, where everyone is reporting drops in turnover and revenue, while dealing with higher taxation and fee regimes. And that is before the impacts of any federal government regulation on marketing and promotion foreshadowed by the “You Win Some, You Lose More” report, are factored in.

Those who The Straight spoke to about the most desired traits in a new Tabcorp CEO said it’s a job with significant challenges, and requires someone with ASX experience who can prove they can right the ship

There are few candidates internally, with a lot of change at senior executive level over recent years. From all reports, Rytenskild was a long way from succession planning when his tenure was unceremoniously ended. He oversaw a series of departures from people who would have suitable replacements had they remained.

Paul Carew, the chief operations officer, survived that exodus and has been at Tabcorp since 2006, but is not likely to be in the hunt, nor are any other fellow senior executives. So it would appear looking outside the tent is the way to progress.

Andrew Vouris – COO at Entain Esports

Vouris worked for Tabcorp for almost a decade from 2008 until 2018. He headed up the Luxbet business before taking over as general manager of wagering and was then deputy chief operating officer of wagering and media.

Since leaving Tabcorp six years ago, he was COO of unikrn, an Esports, wagering and crypto outfit that was acquired by Entain in 2021.

He has since been COO of Esports with Entain and recently founder a private investment fund called 3 Kings Capital.

Lachlan Fitt  – CFO and Deputy CEO of Entain Australia and New Zealand

Fitt is another who has substantial Tabcorp experience, having worked as general manager of investor relations and corporate strategy from 2014 to 2017 and then as chief commercial officer for Sun Bets from 2017 until 2018.

He joined Entain in early 2019, first as corporate development director, then as CFO before assuming joint duties as deputy CEO to Dean Shannon in the middle of the next year.

Fitt has been a crucial figure in the establishment of the deal to take over the New Zealand TAB, which has been hailed as a success. He also recently assumed the role as chairman of New Zealand Thoroughbred Marketing.

Cormac Barry

Irish-born Barry was a crucial player in Sportsbet’s emergence as the market leader in the online wagering space in Australia.

Having worked for a decade for Paddy Power, he came to Australia to be commercial director and then took the Sportsbet CEO job, which he occupied for seven years from 2011 until 2018.

He then returned to Ireland to work as CEO of car rental firm Cartrawler. Before leaving that role in late 2022.

Barry was recently appointed chairman of Fintech company Sambla. His wife, Ruth, is Australian and he is well-regarded and respected in the local wagering industry.

Andrew Menz – betr chief executive

Menz has been a long-time ally of wagering pioneer Matthew Tripp, and only last week was confirmed as the CEO of the betr/Bluebet merged company when that happens in July. With a legal background, he had roles at Responsible Wagering Australia, Betfair, CrownBet and then BetEasy where he succeeded Tripp as CEO in 2019 when the Stars Group took over.  

He was chief commercial officer as Sportsbet before leaving there to help Tripp set up his new venture with Newscorp, which would eventually launch as betr in 2022.      

Sam Swanell – Managing Director and Group CEO- PointsBet

Any discussion of a senior executive role in Australia would not be complete without mentioning Swanell.

His extensive career in wagering began with Tote Tasmania in the late 2000s before he joined Tom Waterhouse as chief operating officer for four years from 2009 to 2013.

He worked extensively as a wagering consultant before taking up the challenge of spearheading PointsBbet in 2016.

Publicly listed Pointsbet led the charge for Australian companies into America, after the landmark US Supreme Court ruling in 2018 paved the way for state-based legalised sports betting.

It gave it a mighty crack but the cost of competing with the world’s biggest betting companies there proved prohibitive and it has since exited the United States with a $225 million deal with Fanatics to sell out in 2023. Since then, it has focused on its Australian business, which has about 5 per cent market share, and its opportunities in Canada.

Gillon McLachlan

The former AFL CEO has been strongly linked with the vacant chairman position at Racing Victoria and is widely expected to take up a role in private equity after nine years in charge of one of the country’s leading sports bodies.

He doesn’t have pure wagering experience but worked closely with the industry in his time with the AFL and does have excellent knowledge of the growing sports sector as well as connections within the racing space.  

Jason Scott – Racing Queensland CEO

Scott, the one-time CEO of Ladbrokes Australia, a bookmaker and one-time form analyst, spent three years working for Bet MGM when the gold rush of legalised American sports betting began in 2019.

Scott returned to Australia to take the CEO role at Racing Queensland in April 2023 and has immediately placed a priority on using his wagering nous to sort out a variety of challenges with all three codes.

He has a rare skills crossover as someone who has worked on both sides of the fence, wagering and with PRAs.