Betsson Bails from Dutch iGaming Purchase: Regulatory Delays to Blame
Betsson abandons plans for acquisitions in the Netherlands due to hold-ups in regulatory approval
Curses βn' Clicks - Sonja Lindenberg, Next.io
It's a rough break for Betsson, who've pulled the plug on their plans to snag a piece of the Dutch iGaming market by way of acquisition. The culprit? Inflexible regulatory delay from the Netherlands Gambling Authority (KSA).
In a heart-wrenching revelation, Betsson confirmed they're calling off the deal with Holland Gaming Technology Ltd and Holland Power Gaming B.V. due to KSA's inability to make a timely decision before the deadline.
The initially enticing acquisition announced early 2024 hinged on KSA's approval, but this arduous process fell short of progress before the long-stop date. Consequently, the transaction will be undone.
As the dust settles, Holland and Power Gaming B.V. will fall back into the hands of their original owners, with Betsson pocketing a β¬26.7m refund from the original β¬27.5m purchase priceβa fair amount less, thanks to a break fee deduction (roughly β¬800k).
This regulatory speedbump won't dent Betsson's financial figures significantly, but the KSA's indecision certainly played a pivotal role in Betsson's re-entry strategy into the Dutch market hitting the skids [1][2][5].
- The delay in regulatory decisions by the Netherlands Gambling Authority (KSA) has impacted not only Betsson's re-entry strategy into the Dutch market but also the overall trends for casino-and-gambling businesses looking to expand into the region.
- Despite having to relinquish control of the Dutch iGaming market acquisition due to KSA's regulatory delays, Betsson's financial portfolio remains robust, demonstrating their resilience amidst the turbulent business landscape in the gaming sector.
