Month: April 2021

In a trading update, Entain said retail revenue was down 99% – covering its land-based operations in the UK, Italy, Belgium and the Republic of Ireland – while the number of sports wagers placed at these facilities also dropped 98%.

Each of these markets had in place measures preventing shops from opening for almost the entire quarter, as part of national efforts to combat further spread of Covid-19.

However, despite the significant decline in retail, Entain experienced growth in its online business, with revenue here rising 33% year-on-year – the 21^st consecutive quarter of double-digit growth for this area of the group.

Revenue for Entain’s online sports betting division climbed 47% in Q1, helped by a 45% jump in the amount of sports bets place during the three months. Online gaming revenue also increased 23% in the period.

Entain said online growth was helped by the performance of BetMGM, its US-facing joint venture with MGM Resorts.

According to Entain, BetMGM has an overall market share of 19% in the states where it is active, and is also the leading igaming operator for the entire US, with a market share of 23%.

Entain chief executive Jette Nygaard-Andersen spoke positively about the overall performance in Q1, praising growth in the online business and highlighting that with Covid-19 restrictions being eased in its operating markets, this will allow its retail sites to reopen and recover in Q4.

“This has been another very successful and productive quarter with Entain making excellent progress across a number of our strategic priorities,” Nygaard-Andersen said. “This is testament to the hard work and dedication of our people across all aspects of our business.

“We saw excellent growth across all our major markets other than Germany where regulatory changes have impacted the market. BetMGM continues to exhibit outstanding momentum with impressive market share growth.

“With some easing of Covid restrictions, we are delighted to be welcoming customers back into our shops. While it has only been a handful of days since the re-opening in parts of the UK on the 12 April, we look forward to returning to more normal trading across our whole business.”

Nygaard-Andersen also highlighted the acquisitions of operators Enlabs AB and Bet.pt in Q1, saying these will support its strategic expansion into new regulated markets.

Entain finalised its acquisition of Baltic-based Enlabs in March after 94.6% of shareholders backed the deal, while Entain also completed the acquisition of Portuguese operator Bet.pt, having initially agreed a deal in October last year.

Other key developments for Entain in Q1 included launching new measures as part of its Advanced Responsibility and Care (ARC) initiative, which will be fully implemented in the market this summer.

New affordability checks will help the Ladbrokes and PartyGaming operator identify customers at risk of running into financial difficulty as a result of their gambling, and implement staking limits and tighter affordability checks.

“In line with our expectations, the momentum from the end of 2020 has carried into 2021,” Nygaard-Andersen said.

“Although Covid creates some near-term uncertainty, by maintaining our focus on the customer, providing them with great products and services, we remain confident and excited in our long-term prospects.”

Today, Entain also launched a share ownership plan that would allow its employees to acquire shares. Through the scheme, Entain staff can contribute between £5 and £100 per month and, after three years, can buy shares in Entain for 20% less than their market value.

“Entain has been one of the highest performing companies in the FTSE-100 over the past year, which is the result of hard work and efforts from teams across our international business,” Nygaard-Andersen said. “Building a strong customer-centric culture where everyone contributes and shares in our continuing success is really important, so this plan is designed to be attractive and accessible to all.”

Figures released by national gambling regulator Spillemyndigheden showed that revenue in 2020 amounted to DKK6.00bn (£701.2m/€806.7m/$966.0m), down from DKK6.57bn in the previous year.

Revenue had climbed steadily ever since regulation in 2012, but the closure of land-based gambling facilities, coupled with the cancellation and postponement of many sports events as a result of Covid-19, meant the market suffered is first year-on-year decline.

Online casino overtook sports betting to become the primary source of gambling income, for the first time since regulation, with revenue here rising by 4.5% to DKK2.45bn.

Spillemyndigheden said this was due to players switching to igaming while land-based facilities were closed, but noted that the 4.5% increase was lower than the average annual increase of 13.0% since regulation in 2012.

“One might have expected that there would have been a marked increase in online casino games when the physical gaming halls and casinos were closed down and the opportunities to bet on sports were severely limited,” Spillemyndigheden director Anders Dorph said.

“However, that is far from the case. Although online casino increased a bit, it is the smallest increase since 2012, and it therefore far outweighs the massive decline we have seen in the other areas.”

Revenue in all other sectors was down as a result of Covid-19 retail closures and significant disruption to the sports calendar both in Denmark and overseas.

Sports betting revenue declined 8.9% year-on-year to DKK2.29bn, while retail slot machine revenue dropped 29.3% to DKK986.0m. Revenue at land-based casinos was also down 31.7% to DKK239.0m.

Figures for monopoly lotteries and non-profit lotteries were not available and as such were not included in the final total.

Adrian Hyde, Adrian Rabet and RH Toone of Begbies Traynor have been appointed as joint administrators and will handle the process.

Customers must complete an online form to notify administrators and BetIndex of their potential claim, but have been advised that this does not verify the validity of their claim.

The GB Gambling Commission suspended BetIndex’s operator licence last month following concerns over whether activities carried out on its licence were in accordance with the licence conditions.

On the same day, BetIndex suspended its platform and went into administration.

The administration announcement specified that Football Index account funds were held in a separate trading account from BetIndex’s accounts, and although arrangements were made to protect these funds, BetIndex stated there was “no guarantee that all funds will be repaid in the event of insolvency”.

The Gambling Commission later received a promise that player funds would be paid before other commitments, though it noted that this was not binding.

However, Football Index’s terms and conditions said that funds invested in players through bets on the platform have no such protection, as these were considered sums at risk.

In March the GB Gambling Commission defended its decision not to suspend BetIndex’s licence earlier following a review into the company.

In addition, law firm Leigh Day Solicitors announced an investigation into Football Index as part of a group claim from customers.

Streak accepted five charges of breaking the ICC Anti-Corruption Code and will be banned from all cricket for eight years.

The ICC said the breaches related to when Streak was coach of Zimbabwe from 2016 to 2018, as well as when he was coaching a number of domestic teams.

Charge 2.3.2 was in reference to the disclosure of inside information under both the ICC Code and domestic Codes, in circumstances where he knew or should have known that such information may be used for betting purposes

In particular, he disclosed information in relation to matches in the 2018 Tri-Series involving Zimbabwe, Bangladesh and Sri Lanka, the Zimbabwe vs Afghanistan series in 2018, the 2018 Indian Premier League 2018 and the 2019 Afghanistan Premier League.

Charge 2.3.3 related to soliciting, inducing, enticing, persuading or intentionally facilitating participants to breach the Code. This included Streak attempting to introduce four different players to someone who may have wanted to approach them for information for betting purposes.

The ICC also noted charge 2.4.2, in reference to failing to disclose the receipt of any gift, payment, hospitality or other benefit in breach of the Code, as well as 2.4.4, where he did not disclose the full details of any approaches related to corruption.

In addition, the ICC said Streak breached Article 2.4.7 of the Code, which relates to obstructing or delaying an ICC investigation, including concealing, tampering with or destroying evidence.

Streak admitted to the charges and agreed the sanction with the ICC, in lieu of an Anti-Corruption Tribunal hearing. He will not be able to return to cricket in any form until 28 March 2029.

“Heath Streak is an experienced former international cricketer and national team coach, who had participated in numerous anti-corruption education sessions and was fully aware of his responsibilities under the Code,” ICC Integrity Unit general manager Alex Marshall said.

“As a former captain and coach, he held a position of trust and owed a duty to uphold the integrity of the game.

“The offences did not affect the outcomes of any relevant matches and Mr Streak has agreed to assist the ICC anti-corruption education programme for which we are grateful.

“He has also expressed his remorse and contrition and entered this agreed sanction decision to avoid the need for a full disciplinary process. The sanction reflects this cooperation.”

These two operators, alongside fellow market leaders Bet365 and William Hill, pledged to donate a total of £100m to improving treatment services for problem gamblers by the end of 2023.

In its first full year since acquiring the Stars Group to become the largest operator in Great Britain, Flutter Entertainment rocketed into first place in terms of money donated, with £9.3m, up more than 800% from 2019-20.

While Flutter overtook previous leader Entain, the Ladbrokes Coral operator still drastically increased its own donations, by 200% to £4.3m.

William Hill donated £1.0m, roughly level with 2019-20 Bet365 donated £763,000, down 11.8% year-on-year. In total, these four leading operators donated £15.4m.

The £15.4m in donations from these operators vastly exceeds the total predicted by then-chief executive Mark Etches in January in a letter to the All-Party Parliamentary Group (APPG) on Gambling-related Harms.

GambleAware chief executive Zoë Osmond said the leading operators’ commitment to increase funding had been a major benefit to the charity.

“This growth in donations is the largest year-on-year growth we’ve seen, driven largely as a result of the commitment by the ‘Big Four’, Osmond said. “This will enable us to continue and expand our work to ensure evidence-informed services are developed according to need within a robust and accountable system. 

The largest donation from a software supplier was £50,000 from Playtech.

GambleAware received donations from almost 700 different businesses in total, each donating at least £250, which is GambleAware’s minimum donation.

The charity received a further £8.8m from regulatory settlements, made up of a £3m settlement from WIlliam Hill after its Mr Green brand was found to have breached rules over preventing harm and money laundering, plus a £5.8m settlement paid by Betway for VIP failings.

Osmond added that GambleAware will soon lay out plans of how it hoped to spend this money.

“We will shortly be releasing our commissioning strategy which will detail how we plan to use this increased funding to help keep people safe from gambling harms,” she said.

“It is estimated that two million adults in Great Britain are experiencing some level of gambling harm, and research published this year indicated that more than one in three people with a gambling disorder have not accessed any support or treatment. 

“With these donations, we will continue to fund and improve the National Gambling Treatment Service to provide support for those who need it, while working in partnership with many other organisations to increase awareness of support available.”

Arizona’s Senate this week passed House Bill 2772, which will allow consumers in the state to wager on sports at tribal casinos and sites owned by major league sports teams and professional sports organisations.

The bill is currently awaiting signature from Governor Doug Ducey.

Ahead of the bill’s expected passage into law, DraftKings and the PGA Tour have expanded their existing commercial relationship to provide DraftKings market access for retail and mobile sports betting in Arizona.

This will include DraftKings and the PGA Tour and DraftKings jointly opening a new retail sportsbook at the TPC Scottsdale PGA Tour venue in Arizona.

DraftKings will also become the exclusive sports betting partner of the Waste Management Phoenix Open annual golf tournament at TPC Scottsdale, while DraftKings and the PGA Tour will collaborate on co-marketing initiatives and exclusive hospitality experiences in the state.

Read the full story on iGB North America.

The National Operations Department (NOA) carried out the arrests today (April 14) following an ongoing investigation by its anti-corruption group. The NOA also searched several homes.

The alleged match-fixing is said to involve substantial sums of money, though the amount was not revealed.

The Swedish Police Authority previously condemned match-fixing as a “significant threat” to sport.

“We can see that all sports risk being affected by match-fixing, and we work intensively against this through, among other things, preventive efforts and collaboration at several different levels to access the problem,” says Stefan Erkensjö of NOA’s anti-corruption group.

The arrests follow a recent crackdown by the International Tennis Integrity Agency (ITIA), which handles integrity issues in the sport, against betting and match-fixing offenses. The alerts that lead to ITIA investigations are typically provided by the International Betting Integrity Association (IBIA).

Earlier this week, the ITIA handed a lifetime ban to Argentine player Franco Feitt after he admitted to nine counts of match-fixing.

The ITIA handed Slovakian player Barbora Palcatova a three-year ban in early April after she was found guilty of match-fixing. She was the tenth player the ITIA banned this year.

In his new role, Angiolet will be responsible for overseeing and optimising the operator’s content creation and media strategy

Angiolet joins DraftKings having most recently served as senior vice president and chief business officer at Verizon Communications, a role in which he led a number of high profile, multi-billion-dollar content and advertising initiatives.

These included partnerships with major sports leagues the National Football League and the National Basketball Association, as well as overseeing Verizon’s 5G mobile edge computing partnership program.

“The DraftKings arrow is pointing straight up and I see massive opportunity to unleash this platform and integrate it with the world of content,” Angiolet said.

Read the full story on iGB North America.

McKenzie has led the organisation since it transitioned from the Racing Industry Transition Agency (RITA) in August last year, but will now move into a full time management role.

As chief transition officer, McKenzie will lead day-to-day responsibilities at TAB NZ and help ensure a smooth transition to a permanent board once they are appointed.

Minister for Racing Grant Robertson approved the two appointments earlier today (14 April).

Dawson said McKenzie taking on the new role would help ensure surety and consistency through this period for the business, as TAB NZ transitions to its new focus, following the passing of the Racing Industry Act last year.

“By the end of this year the TAB will need to have supported the finalisation of racing reforms, developed a five-year strategy and a statement of intent, and ensured a smooth transition to a new, permanent board once they are appointed,” Dawson said.

“For various reasons the appointment of a new board has taken a bit longer than anticipated, so provide surety to the business, its staff and racing and sport stakeholders, we’ve acted now to appoint Dean until a permanent CEO is appointed by a new board.”

McKenzie added: “I’m looking forward to focusing on managing the business through this period of change and delivering on our immediate objectives while ensuring a smooth transition to a new board and chief executive when it happens, said McKenzie.

“From a day to day perspective, I don’t anticipate much change to our activities but I am looking forward to having a more hands-on role and working with the current leadership team to deliver great betting products for our customers and maximise profit for racing and revenue for sport.”

Earlier this month, Tab NZ reported NZ$26.5m (£13.6m/€15.7m/US$18.8m) in comprehensive profit for the first half of its financial year, thanks to growth in staking and revenue.

Sportaza will allow customers to choose from 30,000 different betting markets and access a range of special wagering-related features.

These include the option for players to collect specialised football cards based on their favourite teams, with the chance to win prizes for every full team gathered, while weekly challenges and exclusive sports tournaments will also be available.

Sportaza will also feature casino offering with slots, live casino and table games content from almost 50 providers.

“’We’re immensely proud of our new brand, Sportaza, created to fully optimise the user journey and exceed even the most ambitious of expectations,” ButOn founder and chief executive Denys Butko said.

“Sportaza maintains the impressive momentum we have generated this year, with an all-in-one entertainment experience of the highest quality, complete with pioneering features and an intuitive layout. We have no doubt that it will prove popular.’’