Regulation round-up 24 May 2016
The biggest regulatory news from the egaming industry in the last seven days (18 May to 24 May 2016)
Ladbrokes Coral merger given provisional green light
Competition and Markets Authority says full clearance dependent on the sale of between 350 and 400 retail shops
The proposed merger between Ladbrokes and Gala Coral was given the provisional green light last week by the UK Competition and Markets Authority (CMA), subject to the sale of 350 to 400 high street shops.
The competition watchdog’s provisional report highlighted 659 local areas it deemed were likely to find a “substantial loss of competition”, which could lead to a potential worsening offer for customers in the long-term and added shop sales may be needed “for the merger to be conditionally cleared”.
As part of its phase two investigation into the merger, the CMA also considered whether the operator’s online and retails businesses were “substitutable” but concluded there wouldn’t be a sufficient number of punters migrating to online to result in a deterioration of the retail product.
The CMA has invited comments on its report and possible remedies by Monday 6 June and has extended the investigation’s final reporting deadline by eight weeks from 24 June to 19 August in order to fully consider, among other things, third-party responses and shop disposal locations.
ASA scolds BoyleSports for Easter crucifixion ad
The Advertising Standards Authority (ASA) has reprimanded BoyleSports over an Easter email ad campaign it said may have caused “serious offence” to Christians.
The Irish bookmaker sent out an email on 25 March showing a hand nailed to a length of wood, with blood dripping from where the nail entered the hand.
Text below the image stated: “In memory of the dearly departed JC, we are offering you a sacrilecious Bonus this Easter weekend … So don’t just sit there gorging your own body weight in chocolate, that’s disrespectful. Get on BoyleSports Gaming and get your nailed on bonus”.
Seven days in regulation:
Richard Flint joins Senet Group board
Sky Betting & Gaming (SB&G) CEO Richard Flint has joined the Senet Group board, three months after his company became a member of the self-regulatory body.
Flint was named an independent director of the Group alongside former NHS professional, Stephen Thornton, who previously worked in senior roles at major healthcare delivery and regulatory organisations.
Chair of the Senet Group, Wanda Goldwag, welcomed the two new members and was particularly pleased to have appointed the CEO of an online-only operator.
Mansion rapped for “misleading” welcome bonus offer
Mansion Group has been reprimanded by the UK Advertising Standards Authority (ASA) over a “misleading” promotion run by its slotsheaven.com site.
The welcome bonus offer said it would triple a new customer’s first deposit and included a link to the “Welcome Bonus Terms & Conditions” below the text, which revealed the terms and conditions of the offer.
The text, which appeared on the site last September, stated: “Your divine Welcome Bonus is ready and waiting for you! We’ll triple your money, so you can have triple the fun in the casino! Get a massive 200% up to $/?/?400 on your first deposit to play on our heavenly array of games.”
Delaware sets new monthly revenue record in April
Delaware’s three online casino operators posted a record game win of $267,801 in April, marking the highest figure ever from the state.
The total was more than twice the figure recorded in April last year and also represented a 2.79% increase compared to March 2016.
Video lotteries contributed more than half of the total at $142,735, while table games accounted for $90,313.
Deloitte: FanDuel future in “significant doubt”
Ongoing regulatory struggles in the US has placed FanDuel’s future in “significant doubt”, leading accountancy firm Deloitte has warned.
In FanDuel’s most recent financial report, which revealed the firm lost $77.8m in the 18 months to June 30, auditor Deloitte questioned the company’s ability to weather these kind of losses in the long term.
Around 25% of the US population are unable to play DFS, with FanDuel and rivals DraftKings forced to suspend operations in New York, Texas and Nevada among others.