As announced by FansUnite Entertainment Inc, BestOdds.com’s operator Stram Entertainment has signed a strategic deal to acquire BetPrep. The decision was made as a result of FansUnite’s strategy to optimize its operations, focus on profit, and accelerate its revenue growth.

The international entertainment and sports company that offers technology for regulated online gaming had previously expressed its plans to make its business more streamlined. Accordingly, FansUnite announced it would shift the focus on its Chameleon business-to-business technology platform as well as a number of additional business units that would generate higher revenue values and higher gross margins.

BestOdds to Pay 30% Revenue Share for Three Years 

According to the terms of the new deal, BestOdds has agreed to pay FansUnite a revenue share of 30% over the course of the upcoming three years. The respective revenue share will be subject to a minimum monthly guarantee, once the previously agreed ramp-up period will come to an end on September 1, 2023. 

BetPrep, the leading affiliate brand in the sports betting and iGaming industries with a focus on North America, enables bettors to try out various wagering strategies. This is done by comparing them to data and analysis pertaining to the most profitable betting conditions in history for all spots, player props, or sports leagues.

Unlocking Fresh Synergies

FansUnite believes the acquisition agreement will help it cut its operating costs without harming its planned growth while unlocking fresh synergies expected to generate revenue.

Speaking about the acquisition news, FansUnite’s chief executive officer Scott Burton said the new deal would allow them to keep benefitting from BetPrep’s revenue upside without having to tackle the operational costs. Burton also spoke about BestOdds’s good positioning on the market with a clear potential to turn BetPrep into a “successful product within their existing properties”. 

Finally, he expressed their excitement regarding the new door that the partnership would open for FansUnite and BestOdds to keep working together.

BestOdd’s co-founder Will Armitage expressed similar feelings of excitement regarding the news of the acquisition. He added that the company was eager to collaborate with the FansUnite crew in the upcoming years while reaping their shared rewards. 

In December 2022, FansUnite obtained a license to supply sports gaming services in Ohio. The license was issued by the Ohio Casino Control Commission and it was received right on time, ahead of the grand opening of the state’s sports gaming market on January 1, 2023.

The operator released its unaudited results for H1 FY23, revealing strong performance but an overall drop in revenue. The Star explained that for H1 FY23, the domestic revenue of The Star Gold Coast increased by 30% when compared to the corresponding period pre-COVID or H1, FY19. This result marked an achievement for the company as it set an all-time high record.

Moreover, The Star’s latest trading update provided details regarding the performance of its Treasury Brisbane location. The revenue from this segment in H1 FY23 increased by 9% when compared to pre-COVID levels. According to the company, the revenue was favorably impacted by strong performance within its hospitality segment, as well as record results for slots and table games.

In contrast to the aforementioned increases, The Star Sydney saw a drop in revenue. The Star acknowledged that NSW Casino Control Act changes in combination with the Bell probe and operating restrictions ultimately impacted the result of the location.

The hospitality and entertainment operator said that the factors that impacted The Star Sydney’s performance also led to a decrease in the number of complimentary services for private gaming areas and an increase in the number of excluded visitors. As a result, judging by the latest report, the revenue of the property decreased by 13.5% when compared to pre-COVID results.

The Company Remains Committed to Ensuring License Suitability

Given the expected performance for H1 FY23, The Star provided an update for H2 FY23. The trading update revealed that the entertainment giant anticipates underlying EBITDA between AU$ 330 million ($229.5 million) and AU$ 360 million ($250.4 million) for the year ending on June 30, 2023.

“We have been pleased with the ongoing strength of trading across our Queensland based properties, while trading at The Star Sydney has been impacted by operational changes associated with the outcome of the Bell Review as well as competition from Crown Sydney.“

Robbie Cooke, CEO and managing director of The Star Entertainment

Robbie Cooke, The Star Entertainment’s CEO and managing director, acknowledged that The Star Sydney’s operations are still impacted by different operational changes. At the same time, he pointed out that the company is pleased with the performance of its Queensland venues.

“Our key priority is to regain the trust of our community and demonstrate to our regulators that we are suitable to hold our casino licenses,“

added Cooke

Cooke pointed out that in light of the uncertain legislative developments and regulatory changes, the company has taken “a prudent approach to assessing the carrying value of our assets, which has resulted in a non-cash impairment charge which will be recognized in our H1 FY23 results.” In conclusion, he confirmed that The Star remains committed to collaborating with the Queensland Special Manager and NSW Manager to ensure the suitability of its businesses.

The global casino-entertainment company with a constantly growing offering of sports betting and iGaming products has announced its current chief executive officer Lee Fenton will be replaced by its interactive department president – Reeves. 

Fenton Will Also Leave Bally’s Board of Directors

The decision will come into effect starting March 31, 2023. Besides stepping down from the CEO role that he accepted in October 2021 when Gamesys Group PLC was acquired by Bally’s, Fenton will be also leaving the corporation’s Board of Directors.  

Bally’s outgoing CEO thanked board director Soo Kim along with the rest of the board’s members for his time spent there and the good work put into easing Robeson’s transition to his new position. 

He also described Bally’s as being an “extraordinary business with extraordinary people” while thanking everyone for their support and commitment to the growth of the business. 

Fenton and Robeson have spent 14 years working together, making the transition even more “special”. Fenton spoke about Robeson’s unique talent, explaining that it was the right time for him to be leading Bally’s.

Chairman Kim also took the time to thank Fenton “for his excellent leadership and valuable contributions to Bally’s.” Kim also spoke about Lee’s contribution to the “effective integration of Gamesys” that left the corporation well-prepared for the future. 

The chairman also spoke about Fenton’s contribution to determining the purpose and values of the currently integrated group, while wishing him all the best in his upcoming endeavors.

Reeves, “Honored” and “Grateful”

Speaking about his new appointment, Reeves said that he was honored and grateful to be chosen to lead Bally’s and for receiving his fellow Board members’ support and trust. 

Reeves, who described Bally’s as a company with a robust core and an amazing set of opportunities, expressed his eagerness to start working “hard” with his new executive team to optimize their growth.

Reeves was appointed president of the interactive division on October 1, 2021. Before that, he was Gamesys’ chief operating officer since July 2015. 

He originally joined Gamesys in September 2005 and held a series of important positions there, including director of gaming operations since May 2010 and member of Gamesys’s board of directors since August 2010. 

Ever since he joined Gamesys, Reeves worked on bringing together player and product experiences with marketing and business key performance indicators as a means of guaranteeing sustainable growth. 

Reeves graduated in 2005 with a Bachelor of Science in Statistics, Operations Research, and Management Studies from University College in London.

Last August, Bally’s donated $600,000 to the International Center for Responsible Gaming. 

Geolocation technology supplier Xpoint had its motion to dismiss related the patent infringement case filed by competitor GeoComply granted by a federal court in a key decision for the geolocation market.

Case Dismissed by Court

The ruling issued on Friday, February 10 by Judge William J. Bryson from the Federal Circuit in the District of Delaware found the geolocation patent of GeoComply to be invalid on the grounds that it attempts to claim a patent on subject matter that cannot be patented and represents a complete win for Xpoint and the entire geolocation market which will now be free and open to competition.

“From the beginning of this litigation Xpoint has maintained that it has conducted its business legally and appropriately,” commented Marvin Sanderson, chief executive officer of Xpoint, feeling “extremely pleased” with the ruling.

GeoComply launched the legal case against Xpoint in September last year, claiming that Xpoint violated its patent dated back to 2016 covering a geolocation engine technology invented by GeoComply chief executive officer and co-founder Anna Sainsbury.

GeoComply turned to the Delaware District Court seeking an “injunction to protect GeoComply’s investment-based risk” in the name of the public interest and “to enforce the Patent Act’s statutory right to exclude others from practicing GeoComply’s patented invention.” Xpoint’s initial reaction was that the patent infringement claims are meritless.

Attempt to Maintain Monopoly

“As a company, we remained confident that we would prevail in this matter as GeoComply’s allegations were false, meritless, and a thinly veiled attempt to improperly maintain its monopoly on the gaming geolocation marketplace,” Sanderson added.

Utilizing its position as an early geolocation market entrant following the legalization of online sports gambling in the US, GeoComply managed to acquire a large market share but last year its smaller competitor grabbed the attention with significant market growth.

Last month, it became obvious that GeoComply has no material evidence against Xpoint and has built its case on a third party after GeoComply filed a motion requesting the court to compel the online gaming company Out The Gate (OTG) to provide materials related to an internal online presentation during which it had been allegedly revealed that Xpoint had identical code processes to GeoComply.

The court ruling was also commented on by gaming industry expert Christian Goode, who is convinced that the decision would have an industry-wide impact, encouraging all disruptive startups and entrepreneurs.

“Geolocation is the only business-critical service provided to online gaming companies that previously lacked full and free competition,” Goode said, adamant that “gaming providers, players and regulators will benefit from open competition for this important service.”

A critical service for both operators and regulators, geolocation service providers guarantee that only players located in the state will have access to online gaming activities.

Canadian sports betting company NorthStar Gaming announced it has received a strategic investment of C$12.25 million ($9.19 million) from Playtech by way of a convertible debenture loan.

Accelerate Growth, Expand User Base

The funds provided by Playtech completed the concurrent financing NorthStar Gaming needs in connection with its reverse takeover of Baden Resources. Once the RTO is complete, the Canadian gaming operator plans to apply to begin trading on the Toronto Stock Exchange (TSX) Venture Exchange.

Michael Moskowitz, chief executive officer of NorthStar Gaming, noted that “Playtech’s unparalleled expertise in the gaming industry” would help NorthStar “accelerate growth” and further expand its user base.”

“With the additional investment, we look forward to expanding our market share across Ontario and further enhancing our premium, content-driven experience for consumers,” Moskowitz concluded.

Convertible Debenture Terms

According to the terms of the financing, the debenture loan will convert into units of the company comprising one common share, and two half warrants with different exercise prices – C$0.85 ($0.64) and C$0.90 ($0.67) – and each C$0.50 ($0.37) of the outstanding principal of the debenture will convert into one unit.

The two half warrants will have a term of five years from the date of the conversion of the debenture while in relation to the RTO, the common shares given to Playtech on conversion will be exchanged for Baden Resources common shares on the same terms. In connection with the RTO, Playtech will be issued replacement warrants of Baden Resources on substantially similar terms as the warrants issued to Playtech on NorthStar Gaming.

An amendment to the Software and Services agreement with Playtech was introduced that would expand the partnership across the entire Canadian marketplace, includes a 10-year extension and changes to certain commercial terms.

Deepen Their Partnership

Mor Weizer, chief executive officer of Playtech commented on the deepened partnership with NorthStar as the company is seeking to establish a foothold in Canada as a market leader in online gaming.

“As a key partner of NorthStar in their early stages, we understand and were impressed by NorthStar’s unique business model and product offering and are excited to further expand our partnership,” Weizer added.

Playtech’s chief financial officer Chris McGinnis will join the Board of Directors of NorthStar as a non-executive director and will act as Playtech’s representative following the strategic investment agreement.

The proceeds of the debenture, together with the previously issued subscription receipts and subscription by Torstar Corporation brought the capital raised in connection with the RTO to C$22.325 million ($16.74 million).

Supplier of technology and solutions to the global gaming industry International Game Technology (IGT) announced it has signed a new PlaySports technology agreement with sports betting operator Betfred.

Experienced Team, Proven Technology

The new multi-year partnership will see Betfred enter the Nevada betting market by leveraging IGT’s PlaySports solution to power sports betting operations at the Mohegan Sun Sportsbook inside Virgin Hotels Las Vegas, part of Curio Collection by Hilton.

“IGT PlaySports’ remarkable reputation and influence in the US sports betting market, coupled with their ability to navigate complex regulatory environments, give Betfred supreme confidence in our choice to partner with IGT in Nevada,” said the chief operating officer of Betfred USA Sports, Bryan Bennett.

Bennett also hailed the “experienced, in-market team and proven technology” utilized by IGT’s PlaySports that will help Betfred create “a competitive and engaging betting experience” in the world’s most exciting gaming destination and give the option to scale operations by pursuing additional market opportunities.

The retail sportsbook at Mohegan Sun will be the first Betfred sportsbook in the US powered by IGT’s PlaySports technology, and while the partnership will start with retail sports betting, Betfred intends to launch a PlaySports-powered mobile sportsbook in the future.

Sportsbook to Appeal to Fans and Visitors

Joe Asher, president of Sports Betting at IGT, also commented on the partnership with Betfred, stressing the influence Fred Done had on the final decision to partner with the betting operator. He outlined that he had personally attended the recent Nevada Gaming Control Board hearing to be able to see the owner of the UK-based sports betting operator.

“He is a legend in bookmaking and Betfred is one of the most legendary brands in the sports betting industry,” Asher said about Done and his sportsbook brand, feeling honored “to work with Fred’s team in the US and they introduce the Betfred product in Nevada” and help the brand to “create a successful sportsbook that will appeal to local sports fans and visitors alike.”

Providing sports betting solutions to power more than 80 gaming venues across the US and Canada, IGT’s recent partnership with Betfred is set to further expand the technology supplier’s footprint in the sports betting market in Nevada.

Last month, IGT signed an agreement with UBetOhio and deployed its PlaySports QuickBet Kiosks at restaurants and bars across Ohio and further announced that its PlaySports Pad would follow suit with deployment in the coming months.

In Europe, IGT extended its contract with Société de la Loterie de la Suisse Romande to continue to power the lottery operator with its world-class lottery technology until 2031.

New Jersey is now appealing the Court’s most recent ruling in favor of Atlantic County and nonprofit Liberty and Prosperity 1776. The ongoing dispute has raised accusations of preferential treatment and depriving local communities of much-needed income. With millions on the line, each side will fight to the end to secure what they believe is their just dues.

The State Butts Heads with Atlantic County

In 2021, the state administration passed an amendment to the PILOT taxation system to help casinos deal with the fallout of the pandemic. The new legislation had the strong approval of Gov. Phil Murphy and saved the casino industry $55 million in 2022. However, the tax break had an immediate and direct impact on Atlantic City schools and communities which strongly depend on these funds, driving a wedge between Atlantic County and the state.

A conservative NGO named Liberty and Prosperity 1776 quickly filed a lawsuit against the amendment. Atlantic County followed suit, arguing that the amendment violated the state’s constitution’s banning of preferential taxation. The two parties also argued that the Atlantic City Casino industry did not even require the tax breaks, drawing attention to its rising revenue.

Judge Joseph Marczyk of the Superior Court eventually ruled in favor of Atlantic County, agreeing that the new PILOT amendment was unlawful. However, the Murphy administration is now appealing the Superior Court rulings in a final effort to save the amended legislation and preserve their image in the face of ongoing controversy.

A Swift Resolution Is Nowhere in Sight

Gov. Murphy, a staunch proponent of the contested tax breaks, was, until recently, conspicuously silent regarding the growing debacle. He finally addressed the matter on 2 February during an interview with WNYC, promising that the casino industry would pay its fair share as part of his efforts to create a more robust and equitable economy.

Tax fairness is really important to us… If we don’t quite get it right, we’ll come back at it and do everything we can to get it right.

Gov. Phil Murphy

The Governor’s comments immediately sparked criticism from his opponents, who again drew attention to the State Constitution prohibiting preferential taxation. If the amended PILOT remains in place, Atlantic County will lose roughly $19.3 million by 2026, placing an unequal burden on local taxpayers compared to the rest of the state. Liberty and Prosperity and Atlantic County plan to respond to the state’s recent appeal, so a final decision is likely still months away.

The executive authority that is busy guaranteeing the protection of Danish gamblers against illegal and unfair forms of gambling first discovered the unnamed gambling operator’s illegal services in 2019. 

The Operator Breached the Danish Gambling Monopoly Rules

Supervised by the Danish Ministry of Taxation, Spillemyndigheden found that the respective company was offering illegal games of bingo and banko to its members while lacking the necessary license for these services. According to the Danish regulator’s discoveries, the illegal activities took place on a daily basis for several years. 

The country has a monopoly on bingo and banko games. Accordingly, Danske Spil is the sole operator owned by the state that is allowed to provide these services. Found in 1948, Danske Spil is the country’s national lottery that offers instant games, number games, knowledge games and machine-based gambling options.  

Danske Spil’s license is issued for one year at a time. According to the terms of the license, the operator has to supply popular and engaging games that comply with the current demand for gaming allowed by the Danish legislation as part of ethical frameworks. 

The operator is not allowed to create any new gaming products or promote them to a bigger extent that may go over its obligations. The only exception to the monopoly regulations in the country refers to games that are run by a non-profit lottery that directs its proceedings to charities and good causes.

The Court Determined the Operator Breached Denmark’s Gambling Laws

On February 2, a Danish court determined that the gambling operator in Odense had breached the national gambling laws by offering the bingo and banko games to its registered members for several years. Accordingly, the operator was given a fine of DKK15,000 ($2,153) and it also had to cover the court expenses.

Last December, the regulator that issues gambling licenses, supervises operators and monitors the gambling industry as a whole announced it would improve the Gambling Authority’s Register of Voluntarily Excluded Players. The decision was made as a means of allowing users to simplify their navigation on the website. 

During the same month, the authority announced it would release version 1.4 of its policies and guidance on responsible gambling. Among the changes brought to the guidance, the regulator announced the implementation of a series of changes to players’ deposit limits, along with changes brought to bonus amounts.

Last week, Spillemyndigheden reported a 7.9% rise in gambling revenue in 2022 compared to the previous year’s numbers across all sectors.