(Alliance News) - GVC Holdings PLC on Monday said it has been awarded four sports betting licences in Germany.
The FTSE 100 sports-betting and gaming group said the German regulator issued licences for the bwin, SportingBet, Ladbrokes and Gamebookers brands, allowing each brand to offer sports-betting products to customers across Germany.
Licence terms include a wagering limit of EUR1,000 per month that can be increased to EUR10,000 subject to certain criteria being met as well as certain loss limits, the ability to increase betting limits further to EUR30,000 for 1% of customers, and a maximum annual bonus per customer of EUR100.
GVC noted that while the licences have been issued with immediate effect, the timing for implementation of the terms attached to the licences are yet to be formally agreed. It stated it is working with the regulator on an implementation plan and terms are epected to be in place in early 2021.
The company added that following implementation, it estimates group earnings before interest, tax, depreciation, and amortization will be reduced by up to GBP40 million on an annualised basis.
"The award of these licences is great news for GVC, bringing the clarity and certainty that we have long sought for sports-betting in Germany. Combined with the recent Tolerance Policy we can now look confidently to the future, building on our position as a market leader by delivering an unparalleled, innovative experience for our German customers," said Chief Executive Shay Segev.
Earlier in October, Germany introduced measures under a Tolerance Policy, turning off all table casino games until individual states choose to issue licences under the Interstate Treaty, limiting monthly deposits by customers across poker and slots to EUR1,000 per month, and imposing limits on in-play sports betting.
Shares in GVC were trading 1.7% lower at 1,072 pence each on Monday morning in London.
By Ife Taiwo; ifetaiwo@alliancenews.com
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