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Africa

SportPesa rejects IPO rumours

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SportPesa rejects IPO rumours
Photo Source: soka.co.ke
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SportPesa, an Africa-based online betting platform, has denied the news that it is going to issue an initial public offering (IPO). Bloomberg, among others, had reported the news.

Ronald Karauri, the company’s chief executive officer, has revealed the company does not have any intentions to issue an IPO.

Mr. Karauri was recently asked by news agency Reuters whether the company was planning an IPO. He answered curtly: “No” he just answered a reporter’s question.

However, Reuters reported that a market source informed about discussion between SportPesa and Nairobi-based Kestrel Capital. The Bloomberg report that created the rumours also suggested that SportPesa had appointed Kestrel Capital East Africa Ltd to advise on the IPO process that would have it listed its shares on the Nairobi Securities Exchange sometime in the first quarter of 2019.

Beside the bare “no” from the company’s CEO, SportPesa issued a statement saying that it is “constantly exploring opportunities that will create value for our stakeholders” and advanced that it will inform about any decisions “when appropriate.”

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Africa

South Africa: Tribunal Grants Lottoland Interim Relief – Orders Google to Grant Lottoland Access to its Advertising Platform

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The Competition Tribunal (“Tribunal”) has issued an interim order directing Google Ireland Ltd and Google South Africa (Pty) Ltd (collectively, “Google”) to permit Lottoland South Africa (Pty) Ltd (“Lottoland”) to access its advertising services known as “Google Ads”, for so long as Google permits any firm in South Africa to utilise Google’s Ads Services to advertise fixed-odds betting on the outcome of lotteries. The Tribunal’s order applies for a period of six months from its date, or the conclusion of a hearing into the prohibited practices alleged by Lottoland, whichever is the earlier.

This platform enables advertisers to display ads to users who utilise Google search, with Google Ireland acting as the service provider for Google Ads in South Africa.

The Tribunal’s order follows an interim relief application by Lottoland, a licensed bookmaker, which, inter alia, offers fixed-odds bets on the outcome of various lotteries around the world, including the South African national lottery, sporting events and other betting contingencies. Lottoland competes with other licensed bookmakers in South Africa such as Hollywood Bets, World Sports Betting, Betway, Betfred (which owns Lottostar) and Netbet (which trades as Sportingbet).

In summary, Lottoland alleged that Google terminated its access to Google Ads without justification while allowing access to its competitors, causing it financial harm and distorting competition in the market that Lottoland operates in, to the detriment of consumers.

Google contended that Lottoland’s offering of fixed-odds bets on the outcome of the national lottery in South Africa contravenes sections 57(1) and 57(2)(g) of the Lotteries Act. It submitted that in terms of its online advertising policies, which are designed to protect users, restrictions are placed on the promotion of certain gambling activities. Of particular relevance, the promotion of lotteries is limited to state-licensed entities and that this restriction is in place to ensure compliance with the provisions of the Lotteries Act.

Reasons for Decision

A non-confidential version of the Tribunal’s reasons will be published in due course once any confidentiality claims in relation to the reasons have been finalised with the parties involved. In deciding the matter, the Tribunal considered the following three factors holistically, balancing each factor against the other to determine what is reasonable and just:

• Evidence relating to the alleged prohibited practice;

• The need to prevent serious or irreparable damage to the applicant (Lottoland); and

• The balance of convenience.

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Africa

Booming Games Partners with Hollywoodbets to Launch Immersive Slots Games in South Africa

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 Booming Games proudly informs about its newest partnership with leading operator Hollywoodbets.

Booming Games is thrilled to announce this significant collaboration with Hollywoodbets, one of the largest operators in Africa.  The South African online gaming market is one of the world’s most exciting and rapidly emerging regulated markets. This tier-one partnership will allow Booming Games to provide its entire portfolio of slot games, ensuring a broad and engaging selection for players. Among the top-performing titles included are Ronaldinho Spin, Burning Classics, Gold Gold Gold 5000, TNT Bonanza 2, and Cash Pig. Both companies are confident that this partnership will bring unparalleled gaming experiences to the South African market.

Solomon Godwin, Head Africa at Booming Games, said: “South Africa, a robust market on the continent, offers tremendous opportunities for Booming Games. Partnering with a top-tier operator like Hollywoodbets enhances this potential. Hollywoodbets exemplifies the tier-one client we seek to support our growth ambitions in the region, and we are thrilled to collaborate with them.”

Wayde Dorkin, Head of Product at Hollywoodbets, said: “We are excited to partner with such a progressive slots provider. We expect our customers to take well to Booming Games and are planning to launch some of their groundbreaking new content exclusively in South Africa.”

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Africa

SunBet Extends Online Betting Platform Contract with Bede Gaming Amid Record-Breaking Performance

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SunBet Extends Online Betting Platform Contract with Bede Gaming Amid Record-Breaking Performance
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SunBet Extends Online Betting Platform Contract with Bede Gaming Amid Record-Breaking Performance

Bede Gaming has secured a further contract extension with South African online sports betting brand SunBet, the digital arm of Sun International and one of the fastest growing operators in the SA online market.

The new contract renewal comes as SunBet reports record-breaking digital growth in its H1-24 performance report, including a 72% year-over-year (YoY) growth in revenue and 72% increase in active players, driving an 89% improvement in EBITDA.

As a leading supplier of software to the igaming industry, Bede has supported the ambitions of this customer with tailored features and services to achieve SunBet’s business objectives while delivering the highest cost efficiencies.

Since the launch of the SunBet Slots offering in 2022, Bede has provided various additional optimisations, including integrating 7 new game providers to SunBet.co.za, releasing enhancements to the existing Kambi Sportsbook integration functionality, and delivering bespoke training on product features such as Bede’s powerful rules engine and bonusing suite.

This year alone, Bede has partnered with SunBet’s operations to –

  • Optimise environmental infrastructure, aiming to deliver run cost efficiencies that will reduce the total cost of ownership by 30% by the end of the year.
  • Develop a bespoke aggregator tool to achieve cost-effective game content customisation via a streamlined South Africa-specific solution.
  • Enter into the new regulated markets of Namibia and Botswana (due to launch in 2024).

Colin Cole-Johnson, Bede Chief Executive Officer.“It’s been fantastic to see SunBet grow throughout the course of our partnership, and I’m delighted by their commitment to Bede at this crucial point in their journey. Securing another extension on this contract is testament to our dedication to our customers.”

SunBet’s partnership with Bede dates back to 2017, when digital offerings to this market were restricted to sports betting and live casino. With the change to slot content regulation in the South African market in August 2022, SunBet has expanded its online offering through Bede’s platform environment and has seen substantial growth in revenue and performance as a result.

Simon Gregory, SunBet Chief Executive Officer Bede has been a strong long-term partner for us, supporting and delivering on SunBet’s growth ambitions with quality and expertise. I’m very much looking forward to these next steps, especially now as we approach new African expansions.”

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