Month: January 2023

Pierce succeeds former CEO, A. Lorne Weil, who has subsequently been promoted to executive chair of the supplier’s board.

Besides his CEO duties, Pierce will also continue in his role as chief operating officer and have additional oversight on company strategy.  

As part of the promotion, Pierce’s terms of employment have been extended to 31 December, 2026. His base salary has increased to $585,000 with a bonus eligibility of up to 110% of his annual salary, meaning he could earn up to $1.2m depending on performance.  

Alongside Mr. Pierce’s promotion, Inspired executive chairman A. Lorne Weil’s terms of employment have been extended until 31 December, 2027.  

Mr. Weil’s updated terms of employment include a salary increase to $800,000 per annum, and an 80,000 yearly limit on shares.  

The business said the leadership changes were part of a wider plan to streamline strategic oversight and reconfigure the office of the executive chair.

This news follows Inspired’s November 2022 announcement of “significant” cost-cutting regarding its Q3 revenue and profit decrease.

Playtika is offering €9.05 (£7.90/$9.77) per Rovio share, a slightly raised amount an the initial bid of €8.50. The bid was submitted on 19 January 2023, while the initial offer was made on 16 November 2022.

Rovio’s board of directors have not yet agreed to or dismissed the offer. It is subject to customary conditions.

Robert Anokol, chief executive officer of Playtika, said that the deal would be valuable for Rovio’s shareholders.

“We firmly believe the combination of Rovio’s renowned IP and scale of its user base, together with our best-in-class monetisation and game operations capabilities, will create tremendous value for our shareholders,” said Anokol.

The announcement comes just a month after Playtika revealed it will lay off around 600 employees, representing 15% of its headcount, as it winds down its “non-core products”.

In a filing with the US Securities and Exchange Commission, Bally’s said the layoffs would help it reduce operating costs and continue its commitment to achieving profitable operations in its North American interactive segment.

Bally’s said the elimination of positions within the interactive business are subject to local law and consultation requirements in certain countries, as well as the operator’s business needs.

Read the full story on iGB North America.

The business said its 2027 revenue should be two to three times higher than the amount recorded in 2022. Kambi reported that its 2022 revenue for the first nine months of the year came to €108.2m, though Q4 revenue is likely to be higher than other quarters due to a busy sporting schedule.

As a result, the projected revenue figure for 2027 may be somewhere between €300m and €500m.

Kambi’s earnings before interest and tax, (EBIT), meanwhile, is projected to be €150m by 2027. 

With the supplier reporting EBIT of €16.1m for the first three quarters of this year, this would represent very significant growth over the next five years.

Kambi said the main reason for the growth of its revenue and EBIT was an expected expansion of its total addressable market, especially in the US. The supplier expects a global addressable market of around €50 billion GGR by 2027.

Kambi strategy change

Kambi CEO Kristian Nylén also noted the supplier’s new focus on selling modular services rather than an entire sportsbook would play a major role in its growth.

“Kambi is well established as the market leading B2B sportsbook with a product only few operators can compete with,” Nylén said. “As we look to push product boundaries even further and deliver high-quality modular services, we are in a strong position to evolve our business model and capitalise on the growing revenue opportunity of an expanding global sports betting market.”

Markets responded positively to the announcement, with Kambi’s share price rallying after a collapse earlier this month when US sports apparel business Fanatics revealed it would use technology provided by Amelco to power its sportsbook. After closing at SEK169.15 per share yesterday (19 January), Kambi’s share price rose by more than 10% in the first hour of trading, before settling at SEK180.90 at the time of writing, a 7.0% rise.

Kambi will publish further details of its long-term plan at a capital markets day later today.

The group expects revenue from Q4 to reach €21.5m (£18.9m/$23.3m) from its operations in North America, which accounted for 78% of Catena’s total revenue during the quarter.

The affiliate also expects total revenue from continuing operations to come to €27.4m for the same period, a 15% increase from 2021. The total including discontinued operations is €31.5m.

Adjusted EBITDA is expected to reach €10.8m, a rise of 14% from Q4 2021, while the total for discontinued operations is €12.7m.

The discontinued operations figures include the divested European assets the group decided to sell in its strategic review in 2022, including AskGamblers, which it agreed to sell to GiG this year.

Catena also announced a reduction in its projected operating profit. This is due to non-cash impairment of its goodwill of €7.3m and other intangible assets of €9.9m. Much of this was due to a writedown of one of Catena’s casino assets following a restructuring process.

Further impairment charges relate to its financial trading assets, which are being held for sale.

Michael Daly, Catena CEO, said that he was pleased by the group’s performance in the North American market.

“We gained uplift from the launch of licensed online sports betting in Maryland in November and a strong run-in to the go-live for online sports betting in Ohio on 1 January 2023, which delivered our strongest ever launch period for a US state sportsbook launch.

“We successfully delivered on our strategy of further expansion in North America while completing our strategic review with the sale of AskGamblers and related assets. These preliminary results reaffirm our strategy and provide a solid platform as we enter 2023.”

Catena may be sold

This news comes after it was announced that Catena has appointed Carnegie Investment Bank AB as a financial advisor. The bank will assist the business in assessing strategic options for the potential sale of the remainder of its business.

Under the arrangement, Carnegie will participate in talks with third parties that have shown interest in acquiring certain assets from the affiliate company.

Last month, the affiliate agreed to sell off AskGamblers to Gaming Innovation Group for €45.0m, after iGB in November reported that a deal to offload the flagship brand was close to completion.

This occurred after a strategic review that launched in May of last year, in which Catena explored the possibility of a sale.

This review was later expanded as Catena considered divesting all its European betting and igaming assets in order to focus on North American markets, with the business having confirmed that 25% of all its European staff base had been laid off as part of the process.

Catena recently announced record revenue from the Ohio sports betting launch, which went live on 1 January 2023.

The group also recently announced a policy to repurchase shares on the Nasdaq Stockholm stock exchange to return value to shareholders.

In recent months, the WPBSA has issued suspensions to a number of players as part of ongoing investigations into match-fixing and betting on snooker. 

WPBSA rules strictly prohibit all players from placing bets on snooker matches, while any approaches or reports of match-fixing or other corruption should be reported to the WPBSA at the first opportunity. 

The WPBSA said 10 players have a case to answer for, including former Masters champion Yan Bingtao of China, who was charged with fixing matches on the World Snooker Tour (WST) and betting on snooker.

Zhao Xintong was charged with the same offences, while Chen Zifan, Bai Langning, Chang Bingyu and Zhao Jianbo were also charged with fixing a match on the WST.

Meanwhile, Zhang Jiankang was charged with fixing a match on the WST, failing to report approaches for him to fix matches and betting on snooker matches. The WPBSA also charged Liang Wenbo with fixing matches and approaching players to fix matches on the WST, seeking to obstruct the investigation and failing to cooperate with the WPBSA probe.

In addition, both Li Hang and Li Ning were charged with fixing matches and approaching players to fix matches on the WST, as well as seeking to obstruct the WPBSA investigation and betting on snooker matches.

“The players are currently suspended from attending and competing on the World Snooker Tour and in other WPBSA governed events until the conclusion of the hearing or hearings and the determination of this matter,” the WPBSA said.

The matter will be referred to a formal hearing before an independent disciplinary tribunal that will take place at a venue and on a date to be confirmed by the WPBSA.

The latest grant of £375,000 (€428,217/$461,963) will be paid over three years and used to support the network’s development, with GLEN to operate independently of a development partner after this period.

This ongoing development will include the production of publications, tools, and resources, researching and developing position statements, and a consensus statement, all of which will support GLEN in the longer term.

In addition, the funds will allow GLEN to continue its policy and advocacy work including responding to consultations, taking part in political discussion and discourse, amplifying membership’s voice and releasing publications.

Community support

“As the largest network of its type, GLEN has diverse and democratic infrastructure allowing it to speak with a representative voice across the whole of Great Britain, underpinning GambleAware’s commitment to championing and supporting the lived experience community at large,” GambleAware chief executive Zoe Osmond said. 

“GLEN’s continued contribution to our processes, their participation in the broader debate and discourse, and the network’s representatives’ attendance at events and visibility across the sector and in the community will allow GambleAware – and the whole sector – to be truly accountable to the lived experience community.”

GLEN’s acting chairperson David Quinti added: “As a network representing people who have lived experience of gambling harms in Great Britain, we want to support others in our community to come forward and amplify their voice through our network. 

“GLEN is an independent voice of the gambling harm lived experience community, raising awareness and championing support for all people who have experienced gambling harms. 

“We can truly make a difference and by adding your voice to ours: together, we can challenge stigma, break down barriers, and collaborate to make a real difference in the sector, and across Britain.”

Lived experience 

The commitment comes after GambleAware last month established a new Lived Experience Council, a group of people impacted by gambling harms, to support its short- and long-term plans.

The lived experience council comprises people with lived experience of gambling harms, including those affected by other people’s gambling habits, and will offer advice to GambleAware’s activities, programmes and strategic development.

Quinti, who has been in recovery from problem gambling for seven years, is a member of the new council, as is Mark Conway, another founding member of GLEN.

The deal will run for a further four years, with Betsson to remain as title sponsor of the competition and the corporate identity of the division to continue as Liga1 Betsson.

Betsson branding will appear on a range of official league visual and digital materials, while the operator will also continue to work with Liga 1 on activities to promote responsible gambling among fans.

The operator initially acquired title sponsorship rights to Liga 1 in 2021, having first linked up with the league and Peruvian Football Federation (FPF) in 2020.

“This reaffirms our dedication as a company to support national soccer talent and to continue contributing to the development of local football,” Betsson commercial director Ronni Hartvig said. “Additionally, being the proud name sponsor of Liga1 gives Betsson the opportunity to highlight our passion for the sport and our commitment to fair play, values we share with the FPF.”

FPF competitions director Héctor Lara added: “Better sponsorships allow us to continue optimising the economic value of the first division of professional football, investing in sports infrastructure, preparation of minors and expands the scope and visibility of Liga 1.”

Betsson has in recent years been seeking to expand its presence across the Latin American region. During its Q2 announcement last year, the operator revealed Latin America was its largest market for the three-month period, generating record revenue in the region. 

Last August, the operator also linked up with Gaming Innovation Group to launch a new sports betting offering in Colombia.

The European Betting and Gaming Association (EGBA) submitted the proposal with the aim of “supporting safer online gambling and strengthening player protection in Europe.”

The motion – submitted by the trade body in December – came after a number of academics signed an open letter in support of the development of such a standard.

In April, EGBA announced the outcome of a study which found “significant differences” between European countries in how markers of harm were defined and monitored.

Markers of harm

Markers of harm can be used to identify risky or harmful gambling activities by monitoring certain aspects of the player’s behaviour. By observing certain indicators – such as the speed, time or duration of play – intervention can occur at earlier times that it would have otherwise.

Another common marker of harm is the use or increased use of safer gambling tools. According to EGBA – 50% of European consumers use at least one such tool during their gambling activities.

While markers of harm are already in use with some organisations such as the within health sector and by some gambling operators, there is as of yet no commonly agreed list of behaviours that compose a common markers of harm framework across different countries. The CEN’s mission will be to solve this issue at the European level.

European framework

“We’re delighted that CEN has approved EGBA’s proposal to establish a standardised list of markers of harm, and we thank its members for their support,” said EGBA Secretary General Maarten.

“This decision is a milestone and a significant step forward for safer gambling in Europe. We also thank our members for their strong commitment to safer gambling and unwavering support to make this proposal possible.”

The vote approving the EGBA proposal took place in December 2022 – with work expected to begin during Q1 2023. The process will allow space for a number of European stakeholders – such as consumers bodies, regulators, operators, health experts and academics – to contribute to discussions.

The resulting standard will be a voluntary tool – it can also be made legally binding through legislation.

“The CEN process will provide a unique and valuable opportunity for key European stakeholders to pull together their resources and expertise to support safer gambling,” added Haijer. “We look forward to contributing the sector’s knowledge and experience to the process.”

The service will be available to anyone across the East Midlands and Leeds who has experienced gambling-related hardship.

GamCare operates the free 24-hour National Gambling Helpline as well as free one-to-one support sessions through the Leeds Community Gambling Service and throughout the East Midlands. Services span across Lincolnshire, Peterborough, Nottingham, Derby, Leicester and Northampton.  

The Money Guidance Service will be available to those engaged in support services throughout the company’s different treatment centres, and will provide guidance on spending habits, managing budgets, recognising spending triggers and establishing boundaries in order to invoke change.  

Notably, GamCare’s service will also be open to those affected by a someone else’s problem gambling and advise them on their rights and improve their finances.  

Bryn Mostyn, team leader at the Leeds Community Gambling Service, said: “With a cost-of-living crisis impacting households across the Leeds region – especially off the back of a World Cup, a challenging Christmas period and almost five weeks since payday – we know many people may turn to gambling and end up in a worse situation. This new service will work with those whose finances have been negatively impacted by gambling, sharing day-to-day guidance they can put in place to help them get back on the right path.”

Nicola O’Neill, service manager, East Midlands at GamCare, said: “With one in seven people who called the National Gambling Helpline last year doing so due to someone else’s gambling, it’s important that there are services available to support others who are affected.

“Understanding the financial implications of someone else’s gambling is vital to helping these people in their longer-term recovery. We hope the Money Guidance Service is a way to help people who have been negatively impacted by someone else’s gambling, not just the gambler themselves and help improve their situation.”