A private equity consortium led by the buyout firm had a £912m takeover bid knocked back by Betfair last month after the company said the offer “fundamentally undervalued” it.
The company’s share price has since risen to 863.5p, although that is still below the 880p per share offer from CVC.
The firm held preliminary talks with Betfair shareholders Richard Koch and Antony Ball about an offer for the listed company in mid-April, with the trio deciding to team up for a bid.
Koch, who is a co-founder of LEK Consulting, currently owns a 6.5 per cent stake in Betfair.
In December 2012 the company unveiled a new strategic plan to focus on regulated markets and cut costs.
Betfair has recently exited Germany and Greece due to regulatory uncertainties and high tax rates.
CVC had a busy April after agreeing a €3.1bn buyout of German metering company Ista and hiring nine banks to help it sell a stake in Belgian postal service bpost through an IPO.
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