Greyhound Racing Victoria (GRV) has welcomed the implementation of the new Joint Venture Agreement between Tabcorp and the Victorian Racing Industry (VRI) which commences officially today. 

The new agreement was signed at a ceremony in December 2011 and will be in place for the next 12 years, with GRV receiving a guaranteed 14.75 per cent on half of all VRI revenue from the Joint Venture, compared to the 9 per cent under the previous 18 year agreement.

The other half of VRI revenue, will be distributed to each of the VRI codes based on their market shares of wagering revenue (this includes pari-mutuel, fixed odds and on-course), with  GRV’s current share at 18.6 per cent.

GRV Chairman, Peter Caillard, commented that the relationship between Australia’s largest gaming and wagering service provider – Tabcorp - and GRV  has been a  positive one over many years,  adding that the new structure where the VRI and Tabcorp are  50 per cent joint venture partners, will only act to further  increase GRV’s continued engagement with Tabcorp.

“Under the previous 18 year agreement, greyhound racing enjoyed significant growth, with pari-mutuel market share rising from 9 per cent to just over 20 per cent. GRV looks forward to further growth under the new agreement, particularly with greater expansion of fixed odds coverage.

GRV Chairman Peter Caillard with Tabcorp Chairman Paula Dwyer and two adopted greyhounds

“Tabcorp, GRV and the rest of the Victorian Racing Industry have a positive working relationship, in which all Codes work together in order to garner the most interest - and therefore turnover - for the sport of racing.

“GRV’s current market share stands at 18.6 per cent with approximately one in four bets placed on greyhound racing in Victoria, which is a  recognition by punters that greyhound racing is an exciting product,” Caillard said.

In a Tabcorp press release yesterday, it was mentioned that Tabcorp’s previous Joint Venture Agreement with the VRI had returned more than $4.5 billion to the three racing codes (Greyhounds, Thoroughbred and Harness) and that the VRI would receive more than $1 billion between today and the end of FY15.

Tabcorp Chairman, Paula Dwyer, highlighted the longstanding commitment Tabcorp has to the VRI and spoke positively about continuing to grow the relationship into the future.

“We are committed to delivering the best possible experience for our customers, continuing to invest in our business and working with the three racing codes to strengthen Victoria’s position as one of the world’s premier racing jurisdictions,” Dwyer said.

From July 1, 2012 GRV as part of having negotiated a more equitable funding arrangement has applied a $6 million increase to stakemoney, taking total prize money to $36 million for 2012-13.