iGaming Weekly Wrap-Up #13
#Breaking News
1.??????Sportradar bolsters US muscle to match Nasdaq vision
Sportradar finished its first year and first full quarter as a US Nasdaq listed company citing a strong commercial performance, capitalising the growth of the US sports betting industry.
Updating investors in its Q4 and full-year 2021 trading report, the sports data and technology group revealed that its total revenue for the full year stood at €561.2 million, an increase of 39% on the previous year’s figure of €342.3 million.
Full year Adjusted EBITDA rose by 33% to €102.0 million (2020: €68.6m), as?Q4 revenue stood at €152.4 million (2020: €62.4m) – an increase of 41% – with an Adjusted EBITDA growth rate of 14% to €21.4 million (2020: €18.5m).
Sportradar was able to offset these financial obstacles as a result of major partnerships with a range of sporting authorities, such as the International Tennis Federation (ITF), Bundesliga International, International Cricket Council (ICC) and UEFA.
?2.??????Tabcorp secures approval to spin-off Tatts lottery business
Directors of the Australian lottery, gaming and wagering corporation Tabcorp have ‘unanimously recommended’ that shareholders vote in favour of the proposals to demerge its Tatts lottery and keno operations from its gaming and wagering business.
Publishing its ‘Demerger of The Lottery Corporation – Briefing Presentation’, the firm detailed the proposed new business structure which would see Tabcorp separate into two ASX-listed entities, named The Lottery Corporation and New Tabcorp.
Introducing what it labelled as the ‘next phase’ in Tabcorp’s evolution, the board of directors noted that creating two separate companies would be beneficial to shareholders, given that it would create two ‘focused executive leadership teams’ and afford both businesses to create a tunnel-visioned outlook on the profile of both entities.
It laid out its vision for the new lottery business, explaining that, despite the demerger, it would create ‘Australia’s leading lottery and Keno operator with a portfolio of exclusive and/or long-dated licences’ including a 20-year contract in Victoria.
?3.??????Novibet to go public on Nasdaq in $696m SPAC merger
Novibet has reached an agreement with special purpose acquisition company (SPAC) Artemis Strategic Investment Corporation to go public on Nasdaq.
The Malta-headquartered operator has struck a deal whereby Artemis will merge into a new wholly owned subsidiary of Novibet in an initial $625m transaction.
The proposed transaction has been unanimously approved by both boards and is expected to close in H2 2022, subject to approval by Artemis shareholders and closing conditions.
When the deal completes, Novibet shares will be listed on Nasdaq and Artemis founders and existing Novibet stakeholders will hold approximately 75% of the combined company.
On a pro forma basis, the implied enterprise value of the transaction is approximately $696m, assuming there are no redemptions from Artemis shareholders.
Artemis, an Arizona-based blank check company, will provide around $205m of cash-in-trust and Novibet’s shareholders will roll at least 92% of their equity into ordinary shares of the combined public company.
Novibet owner Rodolfo Odoni will be named chairman of Novibet PLC while current chief executive Georgios Athanasopoulos will stay on as CEO.
?4.??????New York could greenlight three downstate casino licenses this week amid location lobby, local control concerns
As New York State nears the approval of the state budget, set for April 1, odds indicate that, by the end of the week, the Empire State will move to authorize three casino licenses for the New York City area. Gov. Kathy Hochul first announced in January a plan to speed up the licensure process under the budget, as the permits were originally slated for next year.
According to The New York Times, New York City Mayor Eric Adams wants the city to get two of the three licenses, his spokesman said, instead of seeing the second end up somewhere else, like Long Island.
Additionally, the cited source reports that Frank Carone, Adams’ chief of staff, has recently met with Robert Goldstein, chief executive officer of Las Vegas Sands. The gaming giant is among a number of casino companies with an interest in pursuing a project in New York.
?5.??????Oak View Group acquires 25 acres in Las Vegas to build $3bn entertainment arena
Oak View Group is planning to build a $3bn entertainment district in south Las Vegas with a casino and a hotel.
US.- Oak View Group, a global venue development, advisory, and investment company for the sports and live entertainment industry, has announced plans for an entertainment district including an arena in Las Vegas. The group has acquired 25 acres of land in the south of the city and plans to break ground in 2023.
The new entertainment hub will feature an 850,000 square foot arena, a casino, a hotel, and an additional entertainment venue amphitheater. The project will cost $3bn. The company says it will focus on the prioritisation of technology, sustainability, and green initiatives and create thousands of permanent and temporary jobs.
“South of the Las Vegas strip represents one of the few areas of potential future growth of the gaming and entertainment corridor,” said Tim Leiweke, CEO of Oak View Group. “This unprecedented project is an industry game-changer, and we will usher in the evolution of Las Vegas as the new entertainment AND sports capital of the world.
#US / Canada
6.??????Nevada hits $1bn gaming win mark for 12th straight month
The Nevada Gaming Control Board has announced that the state’s casino gaming win (revenue) for February reached $1.1bn.?
This represents the 12th straight month that Nevada’s casinos have hit the $1bn winnings mark, and a 44% increase in total winnings from the prior-year period.
What’s more, February’s 2022 numbers are a record for the state of Nevada and have topped the total winnings for January, despite the month consisting of only 28 days.?
These figures are attributed to bets placed on sporting events such as the Super Bowl and a high number of concert performances in Las Vegas during February.
Despite this significant financial momentum, however, Control Board Research Analyst Michael Lawton believes future takings will inevitably slump.
?7.??????Betsson launches sportsbook under Betsafe brand in Colorado
Betsson has announced the launch of its mobile sportsbook app product under the Betsafe brand in Colorado, via a partnership with Dostal Alley.
The Betsafe app will allow consumers in the state to place bets across a range of sports and competitions, offering a number of betting and payment options.
Betsson said the launch in Colorado was made possible by conducting significant regulatory and technological preparations, while its sportsbook also secured the GLI 33 certification from Gaming Laboratories International.
The operator added that the launch of its B2C sportsbook in the state would serve as an opportunity to showcase its proprietary, US-adapted sportsbook for new and existing operators in the country, which would in turn support its B2B strategy in the US.
As such, Betsson has also opened an office in downtown Denver to support its regional B2B operations, while its B2C operations will also be run from the new site.
?8.??????California Gov. signs new gaming compacts with two tribes; legal dispute with other five still on
California Governor Gavin Newsom announced on Monday that he has signed new tribal gaming compacts between the State of California and the Middletown Rancheria of Pomo Indians of California and the Santa Rosa Rancheria Tachi Yokut Tribe. The announcement comes as five other California tribes, including two based in Mendocino and Lake counties, are locked in a legal dispute with Gov. Newsom’s office over renewing their gambling compacts with the state.
The newly signed compacts are set to reflect a mutual commitment “to a respectful government-to-government relationship,” as well as the promotion of tribal economic development and self-sufficiency.
Their terms intend to respect the parties’ interest in improving the quality of life of tribal members through a framework that generates revenue for governmental programs while, at the same time, “fairly regulates gaming activities” and affords patron and employee protections.
#Ontario-Special
9.??????FanDuel withdraws daily fantasy product from Ontario
FanDuel will withdraw its daily fantasy sports product from Ontario from 1 April, in line with the Canadian province’s regulations for when its online betting and gaming market opens to licensed operators.
Ontario is set to launch licensed sports betting and igaming on 4 April, ending a state monopoly. Earlier this month, the Alcohol and Gaming Commission of Ontario (AGCO) released a guide for operators that revealed that businesses which apply for registration before the 4 April launch must cease operations in Ontario from the moment their registration is approved by AGCO.
FanDuel is among the operators that has received a licence, and as a result it has opted to withdraw its daily fantasy sports brand, including both free and paid games, as this vertical is not permitted under the new regime.
The operator did note, however, that its daily fantasy sports brand would still be available in other provinces.
?10.??FSB secures ‘another leap forward’ in North America with Ontario approval
FSB has further expanded its international presence, securing regulatory approval from the Alcohol and Gaming Commission of Ontario (AGCO), as the provincial betting space continues to grow.
In doing so, the London-based software developer has become one of the first betting and igaming suppliers to secure a Gaming Related Supplier licence in Ontario.
The firm is preparing to be licence-ready ahead of the opening of the Ontario online gambling market next Monday, 4 April. FSB will make its omnichannel sportsbook and web casino aggregation platforms available to operator partners in the territory.
Dave McDowell, FSB CEO, said: “This hugely exciting news is a landmark moment for FSB and adds further fuel to our aggressive, forward momentum in the North American region.
“The pre-market opening approval from the AGCO pays a huge tribute to the quality of our technology, services and people as we push forward in global regulated markets in 2022.”
领英推荐
The expansion of the Ontario’s gaming market – which some commentators have projected to become one of the most prominent sectors on the continent – has seen European operators such as 888 and most recently Fitzdares secure licences.
?11.??Relax Gaming lands Ontario licence
Relax Gaming will enter Ontario’s newly regulated market when it goes live on 4 April.
The supplier has received a licence from the Alcohol and Gaming Commission of Ontario (ACGO) as the Canadian province prepares to launch regulated online betting and iGaming next week.
Ontario, Canada’s most populous province and home to more than 10 million potential players, is expected to be a highly lucrative opportunity when it launches in a few days’ time.?
Already, many companies have lined up looking to get a piece of North America’s newest market, which will be, population wise, second only to New York for online sports betting and first for iGaming.
Based on Ontario’s attractiveness, Relax expects to debut with 130 games across multiple operators, with almost half of these games coming from 16 of its partner studios.
?12.??Unibet prepares for Ontario launch after securing igaming licence
Kindred's Unibet brand has detailed its plans to launch in Ontario, having received a licence to do so.
This marks Unibet’s seventh licence in North America.
Kindred will launch its online gaming and sports betting products through Unibet under Ontario’s open regulatory model.
Ontario’s online gaming market will launch on 4 April and will be overseen by iGaming Ontario, a subsidiary of the Alcohol and Gaming Commission of Ontario (AGCO).
“This is an exciting day and a significant milestone for both Kindred and Unibet,” says Amanda Brewer, country manager Canada, Kindred Group. “We are proud to have received permission to launch in Ontario on the first day the market opens and look forward to building long-term relationships with our customers and partners.”
Several other operators secured licences ahead of the market launch, including Bet365, Flutter-owned FanDuel and PointsBet.
“Ontario is full of sports teams and passionate fans, which is no surprise given the history and popularity of the NHL, NBA and MLB leagues,” continued Brewer. “There will be no shortage of sports for fans to wager on when the market opens on 4 April.”
?13.??Google allows certain online gambling ads in Ontario
Google has adjusted its advertising rules in Canada to allow operators that hold a provincial licence to serve online gambling adverts on its platform. The policy change will now allow operators to run adverts related to online sports betting, online casino and daily fantasy sports. Ontario’s legal online gambling market is scheduled to launch next week on 4 April, with a number of operators having secured licences ahead of the opening.
However, operators are required to first secure a provincial online gambling licence being able to legally place these ads. Ontario will be the only Canadian province where these forms of online gambling are permitted for licensed operators.
Operators can apply to Alcohol and Gaming Commission of Ontario and iGaming Ontario for a licence, and should they secure a permit, they would then need to apply for and secure a Google Certificate in order to place the ads.
Ontario’s legal online gambling market is scheduled to launch next week on 4 April, with a number of operators having secured licences ahead of the opening.
Bet365, Flutter Entertainment-owned FanDuel, Unibet, BetMGM, PointsBet and the Ontario Lottery and Gaming Corporation.
Other named licensees include LeoVegas, Rush Street Interactive, Rivalry, theScoreBet, 888, Coolbear and Fitzdares. Annexio Limited will operate as Lottogo while NSUS Limited will be active under the WSOP brand.
?#M&A & Finance
14.??P2P sports betting startup Lucra raises $10M in funding round led by Raptor Group
Peer-to-peer sports gaming platform Lucra Sports has raised $10 million in a Series A venture capital funding round, the business announced on Wednesday. The round was led by alternative investment firm Raptor Group, which is founded by James Pallotta, businessman and former chairman of Italian football club A.S. Roma.
The funding round also included participation from esports and sport-oriented venture capital company SeventySix Capital, and early-stage consumer companies investor Victress Capital. Individual investors Milwaukee Bucks owner Marc Lasry, pro tennis player John Isner, and NFL Pro Bowl Wide Receiver Emmanuel Sanders also participated in the round.
Lucra Sports describes itself as making social-first wagering possible, allowing fans to legally wager across 37 states with their friends in a safe and fun environment “with no traditional sportsbooks involved.”
?15.??Boyd Gaming agrees $170m acquisition of Pala Interactive to expand US iGaming capabilties
Boyd Interactive Gaming, the online subsidiary of Boyd Gaming Corporation, has agreed to purchase 100% of Pala Interactive in an all-cash deal worth $170m.
Pala Interactive is an online B2B and B2C gaming technology company founded in 2013 and majority owned by the Pala Band of Mission Indians.
The firm offers both real-money and social casino and poker platforms, in addition to its PAM system and a full suite of managed services.
Pala currently provides B2B services in eight US states as well as Canada and operates B2C offerings in both New Jersey and Canada.
Boyd Interactive currently offers mobile sports betting in six states, in addition to real-money online casino in Pennsylvania and New Jersey. Its Stardust Social Casino brand is available nationwide.
In 2021, the subsidiary generated $24m in EBITDAR, with more than $30m projected for 2022. Pala Interactive, meanwhile, declared $5m in EBITDA in 2021, with further growth expected this year.
?16.??Crown board: Blackstone bid lets shareholders escape regulatory uncertainty
The board of Crown Resorts has urged shareholders to back Blackstone's proposed acquisition of the company, noting that selling would let shareholders avoid “the uncertainties and risks” of the business.
The comments came in a scheme document, a document released ahead Crown’s scheme meeting in which shareholders vote on the deal. The document contains a number of reasons why shareholders may wish to vote for or against the acquisition.
The board outlined that the multiples implied by Crown’s valuation are reasonable when compared to market competitors.
The Blackstone bid prices Crown at AUS$13.10 (￡7.48/€8.81/$9.84) per Crown share. In the document, the board noted that the revenue multiple of this deal will match those of other casino operators across Australia and the US. It would also be more than casinos in New Zealand, Macau and Singapore.
For why shareholders may wish to vote against the scheme, the document states several examples- such as that shareholders may disagree with the Independent Expert’s assessment, or that they may wish to take part in future Crown financial decisions.
#Legal:
17.??Germany’s New Gaming Regulator Promises to Take a Closer Look at Gambling Rules
Germany is rolling out its new online gambling industry as a result of the Fourth Interstate Treaty on Gambling (GlüStV). The framework also includes a new gambling regulator, which plans on taking a closer look at all of the rules to ensure they adequately serve consumers and the industry.
Last September, Ronald Benter and Benjamin Schwanke were appointed to the new gaming regulator as its leaders. Benter, who is the former head of the Department of Gambling and Municipal Economic Law in the Ministry of the Interior in Schleswig-Holstein, has provided an update on what’s coming once the body takes over.
The Glücksspielbeh?rde will launch a “data-based evaluation” of player protection measures included in the treaty. Benter adds that the goal of the evaluation will be to “gauge the effects of the player protection” measures the treaty authorized.
?18.??UK minister: Gambling white paper is being “finalised”
A UK government minister says the government’s white paper on gambling reform is being “finalised”, and hinted that a single customer view and affordability checks will be included.
Nigel Huddleston – the Parliamentary Undersecretary for Digital, Culture, Media and Sport, who also previously oversaw the gambling brief that is now the responsibility of Chris Philp – addressed MPs after a Westminster Hall debate led by Carolyn Harris on gambling-related harm.
Harris – who represents Swansea East and is the chair of the All-Party Parliamentary Group on Gambling-Related Harm (APPG) – said that a number of areas of British gambling laws were in “urgent need” of reform. She added that she hoped to see these addressed in the white paper that forms part of the Gambling Act Review.
In response, Huddleston said the government was just putting finishing touches on the white paper.
19.??MP accuses gambling industry of failing to present alternatives
In a debate in the House of Commons, Carolyn Harris said the industry had not offered viable alternatives to a “broken state of affairs”.
British MPs held an almost two-hour debate in the House of Commons this week ahead of the delayed publication of the government’s gambling white paper. Anti-gambling campaigner and Labour MP Carolyn Harris led the debate commenting on the big response to government’s consultation on gambling legislation.
Harris, who chair’s the All-Party Parliamentary Group on Gambling-Related Harm, accused gambling operators of seeking to avoid an evidence-led debate on reforms and of failing to offer viable alternatives to fix a “broken” system.
She said: “For years, colleagues across the House and I have faced an onslaught of opposition from the gambling industry, for which the status quo is the perfect mix of outdated legislation, weak sanctions and limited scope. The reforms that we propose would fix that broken state of affairs.
“Rather than enter into a proper dialogue with those who are looking to reform and improve our gambling laws, the industry has come forward with very little in the way of remedies.