Regulation round-up 13 November 2012
The biggest regulatory news from the egaming industry in the last seven days (7 November to 13 November 2012).
Playtech JV one of eight interested in OPAP stake
Other bidders for 33% stake include Chinese business conglomerate Fosun International.
A total of eight candidates have submitted expressions of interest to acquire the Greek government’s 33% stake in gaming monopoly OPAP.
Among the potential suitors is a consortium involving Playtech and German gaming machine manufacturer Gauselmann, and Fosun International, a Chinese business conglomerate with interests in and pharmaceuticals, property, steel, and mining.
The other offers are from BC Partners, Emma Delta Ltd, an Intralot Holdings Luxembourg and Intralot Investments Ltd consortium, Third Point LLC, TPG Capital, and Triple Five World Group Properties Ltd.
Based on OPAP’s stock price, the government’s 33% stake is worth around 500m, the top end valuation, according to analysts, for Playtech’s 29% stake in its joint venture with William Hill.
Analysis: The eight OPAP bidders in detail
Eight companies from around the world have submitted an expression of interest in acquiring the Greek government’s 33% stake in gambling monopoly OPAP. But who are they? eGaming Review gives you the run-down on those competing for the opportunity to cash in on Greece’s lucrative gambling market.
Betfair withdraws exchange from Germany
Betfair is to immediately withdraw its exchange product from Germany after calling the country’s 5% tax on sports betting stakes “unviable”, it announced in a statement to the market this morning.
Following a decision by 15 of Germany’s 16 Lander in July to implement a 5% turnover tax on a limited 20 sports betting licences, Betfair, after consulting a number of legal and tax advisors, has said that the current framework would render its “current exchange model unviable” forcing it to withdraw “almost immediately”, according to a spokeswoman.
The company generates around 4% of its “Core” revenues from Germany totalling around £6m a year before costs, however it explained that its on-going contribution from the EU Member State would be “de minimis”, or minimal, in future. It added that it is currently “reviewing its operations in the market” but that it would continue to offer a “small sportsbook, games and poker” despite casino and poker remaining unlicensed and prohibited products under the current State Treaty.
Seven days in regulation:
Single-event sports betting draws closer in Canada
Legislation which would allow Canadian operators to accept bets on single sports events is set for a final vote in the Senate after passing out of a Senate Legal and Constitutional Affairs Committee hearing yesterday.
Under current law, bettors can only wager on multiple outcomes, a provision designed to deter match fixing and corruption in the country’s professional sports leagues.
Bill C-290 is now set for a final hearing in the Senate “ the date of which is yet to be confirmed “ after which it would become law if given the green light. Its supporters argue it will attract a substantial new revenue stream as well as create new jobs in the provinces.
France: onshore gross win to rise 3.3% in 2012, H2 data shows
Onshore gross win generated by products permitted in the French market will grow to 694m this year, a rise of 3.3% on 2011, H2 Gambling Capital data has shown ahead of the publication of its new country market report.
Excluding Francaise Des Jeux’s monopoly on bingo and lotto games, and despite sports betting and poker revenues declining in the third quarter of 2012, the second calendar year of France’s regulated gaming market will show a rise of around 3.3% compared to 2011, H2 has found. Including FDJ’s contribution of 159m the total rises to 854m with onshore revenues rising by more than 3% between 2011 and 2015 compared to an offshore rise of just 0.5% in the same period.
Saskatchewan government opts out of egaming
The Canadian province of Saskatchewan has announced it will not pursue plans to launch an online gaming site, claiming there was not a “compelling business case” to do so.
Government officials had been analysing the merits of following the likes of British Columbia and Québec in launching a state-run online gambling site, however Donna Harpauer, the minister responsible for the Saskatchewan Liquor and Gaming Authority, announced yesterday that it would end such discussions.
“We have done nothing wrong”, NetEnt chief
The chief executive of Net Entertainment has insisted the company has done “nothing wrong” ahead of a ruling by the Swedish Tax Authority which could see the casino supplier face up to £8.2m in back taxes.
The Swedish Tax Authority yesterday issued a preliminary notice of assessment announcing it is “considering reassessing” the supplier’s taxable income between 2007 and 2010 and imposing additional taxes of SEK 67,492,226 and tax surcharges of SEK 20,595,576, a total of SEK 88,087,802 (£8.2m). The Authority is due to announce its decision at the end of this year.
Horse betting operator Eurotiercé has become the latest company to be awarded an online sports betting licence by the Belgian Gaming Commission (BGC). The non-profit group becomes the fifth F1+ licensee along with Betfirst, Vincennes, Bingoal and Unibet, and the BGC has suggested there is only room for a total of 10 licensees within the category.