Industry News
Entain: Capital Allocation Committee Update
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Entain, the global sports betting and gaming group, announced the conclusion of a strategic review by the Board’s Capital Allocation Committee (CapCo) of Entain’s portfolio of markets, brands and verticals, which commenced in January 2024.
With the objective of maximising shareholder value and reflecting the operational progress of the business, the conclusions of the review are:
- Entain has the appropriate portfolio of diversified strategic assets, brands, capabilities and geographic footprint to ensure it is well positioned to deliver high quality long term growth.
- There remains significant upside by focusing on delivery of the Group’s strategy of returning to organic revenue growth, expanding margins and winning in the US.
- Entain’s balance sheet and leverage position is robust and has been strengthened by the recent extension of Entain’s RCF and term loan repricing and add-ons.
- Crystalbet, the leading gaming brand in Georgia, is non-core to the Group. As such, strategic alternatives for this business will be considered, including interest already received from potential acquirers.
As part of this review, the CapCo considered developments in Entain’s key markets and the operational progress made towards its strategic objectives including:
- Brazil returning to strong double-digit revenue growth during Q2, with actions taken to improve customer acquisition and retention accelerating the performance.
- The levelling of the regulatory playing field in the UK with the new voluntary industry code on customer safer gambling checks and implementation of industry wide slots limits from September, together with improving customer offer, support expectation of returning to growth later this year.
- Delivery of the product roadmap for BetMGM is progressing well, including recently launched MLB and NBA sports betting markets supported by Angstrom’s unique capabilities, particularly in parlay products.
- On 16 May 2024, the Nevada Gaming Commission unanimously approved the applications of Entain and certain of its subsidiaries without limitation.
- Entain CEE is performing well and the outlook for online casino liberalisation in Poland is increasingly encouraging.
- Project Romer is on track to deliver targeted cost savings through simplifying Entain’s operations and improving efficiency.
Following the review, the CapCo will continue to regularly review strategic progress and consider options to maximise shareholder value, including ongoing oversight of all significant aspects of capital commitments.
Barry Gibson, Chairman of Entain, said: “I am delighted that the Capital Allocation Committee has concluded its strategic review of our portfolio. Whilst we still have more work to do to improve our operational performance, the Board is pleased with the progress Entain is making so far in 2024 in line with our strategy. The Group has the core strengths, brands and products to be competitive across its markets and continues to be a global leader in betting and gaming. The Board looks forward to updating the market further on its progress at the interim results in August.”
The post Entain: Capital Allocation Committee Update appeared first on European Gaming Industry News.
Industry News
IGT Achieves Improved ESG Score from FTSE Russell
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International Game Technology PLC announced that it has achieved an environmental, social and governance (ESG) Score of 4.3 out of 5.0 from FTSE Russell, positioning IGT in the 97th percentile within the Travel and Leisure sector of FTSE Russell’s ESG Scores. This was an improvement from IGT’s previous ESG Score of 4.2 out of 5.0 in 2023, demonstrating its ongoing commitment to enhancing ESG performance.
“As a company committed to continually elevating our sustainability practices and leadership, IGT is proud to once again achieve an improved ESG score from FTSE Russell. Through our global Sustainable Play program, we execute sustainable practices and policies throughout our company and this improved score validates our ongoing efforts,” Wendy Montgomery, SVP of Marketing, Communications and Sustainability at IGT, said.
FTSE Russell’s ESG Scores and data model allows investors to understand a company’s exposure to, and management of, ESG issues in multiple dimensions. The ESG Scores are comprises an overall rating that breaks down into underlying pillar and theme exposures. Scores built on over 300 individual indicator assessments are applied to each company’s unique circumstances. The ESG Scores align with the UN Sustainable Development Goals (SDGs), all of which are reflected in FTSE Russell’s ESG framework.
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Industry News
Super Group Appoints Merrick Wolman to its Board of Directors
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Super Group has appointed Merrick Wolman to its Board of Directors, effective from February 18, 2025.
Mr. Wolman is the Chief Executive Officer of a global finance company and has worked closely with the Super Group executive team for over two decades.
Neal Menashe, Chief Executive Officer of Super Group, said: “We are very pleased to welcome Merrick to the board. His deep understanding of the gaming industry, alongside his wide range of experience in executive roles, will be of great value as we continue to pursue our global growth strategy and build on our successes to date.”
This appointment brings the total directors on Super Group’s board to nine, including five independent directors.
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Industry News
Kindred Reports Decline in Revenue from High-risk Players for Q4 2024
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Kindred Group has reported decline in its share of revenue from high-risk players for the fourth quarter 2024 at 2.7% (Q3 2024 3.2%). The percentage of detected customers who exhibited improved behaviour after interventions showed an improvement at 92.2% (compared to 87.3% in Q3 2024). This positive trend is mainly the result of stricter measures across key markets, improved internal processes, as well as the exit from non-locally licensed markets as part of to the acquisition by La Française des Jeux (FDJ) in October 2024. This shift reflects Kindred’s broader commitment to maintaining high regulatory standards and fostering safer gambling practices.
“It is pleasing to see the decline in high-risk revenue during the fourth quarter of last year. We know that the share fluctuates between quarters, but the long-term trend is showing a steady decline. We remain dedicated and focused on improving our systems and processes to ensure we offer our customers a safe and fun experience,” Esther Scheepers, Head of Responsible Gambling at Kindred Group, said.
“The increased focus on responsible gambling by regulators and the industry is welcomed. From our end, we see that by combining our expertise with emerging technologies, we can further enhance detection capabilities. We are currently working on our existing detection system in combination with an additional system that will enable us to integrate more robust compliance features and optimize our overall approach to safer gambling. Furthermore, we are exploring opportunities to expand our research efforts, aiming to support data-driven discussions and looking at emerging trends in consumer protection. All these aspects are important to protect the integrity of the licence model and maintain a level playing field,” Esther Scheepers added.
The post Kindred Reports Decline in Revenue from High-risk Players for Q4 2024 appeared first on European Gaming Industry News.
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