Issue N30, 2009
August 7, 2009
William Hill Confirms its Offshore Move
After months of speculation, the UK gambling group, William Hill confirmed on Tuesday that it will be moving its online division to the offshore location of Gibraltar. The group has already started moving some of its staff members to the island in a bid to consolidate its recently created William Hill Online, although the company has made no secret of the fact that it is also moving to avoid the heavy taxation levied on UK gambling groups. By moving offshore, William Hill will now be able to pay the same rates as other groups in its position of around 1.5%, instead of the 15% imposed on local companies.
Sports groups such as the Football Association have expressed their grave concern that William Hill’s move would now prompt other companies such as Gala Coral and Ladbrokes to also move offshore. Their greatest worry is that the cooperation enjoyed between UK authorities and local sportsbetting groups to fight match fixing and sports corruption will now come to an end, as offshore sites are not obliged to share information with the UK Gambling Commission.
“William Hill's move takes one of the UK's biggest betting operators outside the remit of the UK's licensing regime, including the information sharing requirements we campaigned for,” read a statement by the Sports Rights Owners Coalition (SROC). “It is a worrying development and we will be seeking an urgent meeting with Gerry Sutcliffe to discuss the effects this will have.”
Sportingbet Leaves Italian Market
After years of waiting patiently in the wings for changes to take place in the Italian gambling market, the UK based betting group, Sportingbet, has announced that it would be selling its Italian subsidiary, Sportingbet Italia to a local management team. While no price was noted, the group said that it was a “nominal consideration”.
When Sportingbet created its Italian arm in 2006, there were still clear expectations that the Italian government would introduce sweeping reforms to its gambling market. Among the things that Sportingbet expected was that maximum payouts would increase and that in running betting would be approved. However, the government has since adopted a new offline gambling model that has proven to be unsatisfactory with Sportingbet’s long term expectations.
“Consequently, the combination of this new alternative channel for the Italian customer together with the lack of operational synergies with the rest of the group's European business has mean Sportingbet Italia has been loss making since acquisition,” explained Sportingbet in a statement this week. “While these losses have been reduced to the minimum considered achievable, the board has concluded that significant financial and managerial investment would be required to generate a profitable business in Italy from its current base and, at this present time, such investment would be better placed elsewhere in the group's portfolio.”
New Buyer for World Poker Tour Enterprises
The Chief Executive Officer, founder and president of World Poker Tour Enterprises, Steve Lipscomb has confirmed that the group has found a buyer for the sum of $9.075 million. WPTE was bought by the private investment group, Gamynia Ltd. and has promised to push the successful brand to reach its maximum potential.
“We believe this transaction will enable the World Poker Tour to realize its full potential across both its existing businesses and the lucrative online gaming market,” said Lipscomb. “Gamynia and its partners possess highly complimentary resources which will help it invest in and effectively integrate with the World Poker Tour efficiently and profitably.”
Lipscomb also confirmed that WPTE will also seek out the services of Hardway Investments, a group that has a high success rate of creating revenues for some of the top gaming brands in the industry, including Platyech.
“Of particular importance for our partners is the fact that Hardway Investments has an established track record of creating revenues and value in the online gaming marketplace,” explained the CEO. “We should benefit for many years from our participation in those revenues streams. After the transaction, WPTE will move forward under a new name and will employ our cash in a new venture by developing a new business or combining, through one or more strategic transaction, with companies that have significant unrealized value or growth potential.”
New Games at Super Slots
One of the most popular online casino sites in the industry, Super Slots has released a number of new slot games to ensure that players can plunge right into summer fun and enjoy plenty of rewards. The three slot games – Dynasty, Grail Maiden and Karaoke Cash differ immensely from each other in terms of themes, but they certainly have on thing in common – the ability to entertain and reward on an equal scale.
The Vegas Technology platform brings an action packed Chinese theme right to players’ fingertips through Dynasty, which is part of the Dynasty Warrior series. The game takes players on an adventure of free spins, bonus rounds and huge payouts to make it one of the most sought after games this season.
Grail Maiden has some excellent graphics and a comfortable $1 max bet, while Karaoke Cash is modeled around the American Idol song competition and is a great music themed game to round off the new threesome found at Super Slots.