The World’s Online Gambling Authority

Numerous Australian MPs are calling for an urgent parliamentary inquiry into the impact of advertising on children and young people by industries deemed “harmful”. 

Gambling of concern

It has been reported that a 16 percent increase in young people seeking help for gaming in the last financial year has been recorded, prompting significant concern for gambling among this demographic.

Among the MPs calling for this inquiry is Dr Sophie Scamps who warns if action isn’t taken a generation of young people could become addicted to gambling, levelling particular criticism at unethical advertising. 

She stated on the matter:

“It’s staggering that we have allowed gambling to become so normalised and advertised so widely in this country that gambling harm is now increasingly common in school-age children.”

The extent of the issue

Many schools across Australia are witnessing the adverse effects of gambling on students’ education as well as their brain development. 

Public health experts have also advocated for independent, educational campaigns free from industry influence. 

In addition, many have also suggested a complete ban on gambling sponsorships during sporting events, and sporting uniforms along with an independent body to impose penalties for any ethical breaches.

Advertising

MP Kate Chaney has also weighed in on the situation, emphasising the need to understand how young people are targeted by harmful industries on social media.

Furthermore, she highlighted that gaming companies are becoming increasingly sophisticated when using personal data to their advantage. 

Teachers and underage gambling

The call for a parliamentary inquiry has come in lieu of the CEO of the Association of Heads of Independent Schools of Australia, Dr Chris Duncan, stating that addiction to gambling could be affecting children’s ability to learn and concentrate at school.

This tender age is a critical time for brain development and the copious presence of gambling advertising has clearly permeated the culture at schools, so much so, that teachers are claiming to have seen students gambling in classrooms.

Further support

Greens spokesperson, Janet Rice, has also begun calls for a National Independent Gambling Regulator and a total ban on all gambling advertising. 

Additionally, Independent MP, Andrew Wilkie supports the inquiry, shocked by the number of young people seeking help for problem gambling.

SiGMA Europe

The ultimate conference, SiGMA Europe 2023, returns from November 13th to 17th in Malta. Experience innovation and connection at the Mediterranean Maritime Hub (MMH) during Malta Week.

In the competitive world of online gaming, two London-listed giants, Flutter Entertainment and Playtech, are currently locked in a bidding war for the acquisition of PlanetWin365, a major Italian rival. This high-stakes contest for control over PlanetWin365’s parent company, SKS365, has drawn significant attention from industry insiders and market observers.

Auction magnitude

City sources with knowledge of the pending acquisition have indicated that this auction is poised to fetch a substantial sum, estimated to be in the region of £500 million, and potentially even surpassing £600 million. Such a substantial transaction would undoubtedly have significant implications for the gambling industry and the companies involved.

Playtech vs Flutter

For Playtech, a successful acquisition of PlanetWin365 would be a material move. With a market capitalization of approximately £1.4 billion, Playtech would see a notable expansion of its operations and market presence. Currently, Playtech operates under the consumer-facing brand Snaitech and already has established operations in the Italian market.

On the other hand, Flutter Entertainment, the parent company of well-known brands like Paddy Power and Betfair, has a market valuation of nearly £24 billion. For this industry giant, the acquisition of PlanetWin365 represents a strategic opportunity to further solidify its dominant position in the global gambling market. Flutter Entertainment, like Playtech, also maintains a strong foothold in Italy.

Lottomatica’s interest

Adding intrigue to this bidding war is the reported interest of Lottomatica, an Italian gaming group, in acquiring a stake in PlanetWin365. This indicates the competitive appeal of PlanetWin365 within the Italian gaming landscape.

PlanetWin365 is a versatile player in the gambling industry, catering to both online and brick-and-mortar audiences. With around 1,000 betting shops, it boasts a significant physical retail presence. In addition to its betting shops, PlanetWin365 also operates under the consumer brand PlanetSpin.

Financial expertise

The auction process for PlanetWin365 is being expertly managed by the financial advisory firm Lazard, which has a track record of handling high-value transactions in the corporate world. In related corporate news, Flutter Entertainment recently announced its acquisition of a controlling stake in MaxBet, a Serbian gaming group, for €141 million. This move further demonstrates Flutter’s commitment to expanding its global reach and market share.

Flutter Entertainment is also in the process of shifting its primary listing to New York. This strategic move is seen by some as a development that may impact the London stock market.

Both Flutter Entertainment and Playtech have chosen to maintain a discreet silence regarding their bids for PlanetWin365, declining to provide official comments on the matter. This silence only adds to the suspense surrounding this high-stakes bidding war. both Flutter and Playtech already maintain operational footholds in Italy, and PlanetWin365’s portfolio includes an online presence and approximately 1,000 physical betting shops. However, as of now, both Flutter and Playtech have declined to provide any official comments on the matter.

As the battle for control unfolds, industry insiders and investors are closely monitoring the situation, eagerly awaiting the outcome and the potential transformation it could bring to the dynamic world of online gaming.

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STOP PRESS! SiGMA Europe takes place in Malta between 13 to 18 November.

A national controversy – no end in sight for Okada Manila

RubyPlay, an innovative B2B iGaming development studio, has entered the US market for the first time after signing a content distribution deal with Yellow Social Interactive (YSI).

YSI is a fast-growing social gaming operator and has bold ambitions to become one of the leading players in the casino entertainment space. As part of this new partnership, RubyPlay will deliver over half of its expansive portfolio to the social casino across numerous US states.

This launch marks RubyPlay’s first foray into the realm of social gaming. The studio worked closely with YSI in order to optimise all games to a social gaming setting, adapting the look and feel of each title accordingly.

Players will be able to engage with two types of in-game currency: Gold Coins and Sweepstakes Coins. This offers a risk-free gaming environment, all whilst holding the promise of redeemable real-world prizes for a blend of entertainment and potential rewards.

The agreement represents a significant step forward in RubyPlay’s intentions to raise its presence in the US, as the company has plans to enter regulated iGaming states in the near future.

Dr. Eyal Loz, CPO of RubyPlay, said: “We are absolutely thrilled to embark on this exciting journey with Yellow Social Interactive. This partnership not only marks our first entry into the US, but also underscores our commitment to delivering innovative, responsible and engaging gaming experiences.

“We want to provide an exceptional social casino experience that resonates with a broad audience, which is why we’ve worked hard to adapt our offering accordingly.”

A spokesperson for Yellow Social Interactive said: “Gaining a portfolio as expansive and as high-quality as RubyPlay’s is a real honour for us. Our players are now able to enjoy a whole host of fantastic, multi-faceted titles – without having to spend a dime.

“RubyPlay is renowned for creating forward-thinking and engaging content, and we’re certain our customers are going to love discovering these games. Here’s to a long and successful partnership!”

Join us in Malta between the 13 – 17 November for SiGMA Europe 2023

SiGMA Europe’s Malta Week festival brings together a diverse and international group of industry leaders for a convergence of expo, conference, and networking. The event will be held at the Mediterranean Maritime Hub (MMH), a larger, more dynamic venue that promises a raw, industrial, and unconventional space unlike anything ever used before.

In the words of SiGMA Group founder Eman Pulis, “We’re redesigning your entire experience, from the minute you land in Malta until the very last moment. I look forward to welcoming you with open arms to this iGaming festival.”

Find all the details here.

MGM Resorts and Orix Corporation reached a pivotal agreement with Osaka Prefecture and Osaka City, advancing the development of Japan’s eagerly awaited casino project. The collaborative effort, carried out through the Osaka IR Corporation – a joint venture between MGM Resorts and Orix Corporation – solidified plans for an integrated resort on Yumeshima Island in Osaka.

While the casino itself had already received approval, this meeting was convened to determine the precise location and plan for the comprehensive tourist facility within the Osaka-Yumeshima area. The signing of the agreement took place at the Osaka Prefectural Sakishima Government Building, with representatives from all involved parties present.

The signatories of this significant agreement included Hirofumi Yoshimura, Governor of Osaka Prefecture (in photo on the right), Hideyuki Yokoyama, Mayor of Osaka City and Bill Hornbuckle, CEO and President of MGM Resorts International, (in photo on the left).

Bill Hornbuckle expressed his sentiments, stating, “This marks a momentous occasion for our company as we conclude the certification process and shift our focus towards realizing our vision in partnership with Orix – to construct a world-class integrated resort in Osaka. We are unwaveringly committed to this endeavor and eagerly anticipate delivering top-tier gaming, entertainment, dining, and retail experiences to Japan and Osaka. Our aspiration is to bring MGM’s signature ‘wow’ factor from Las Vegas to Osaka and create a resort that will instill immense pride within the community.”

Nationwide poll

The area is known as the Specified Integrated Resort Facilities Area Development Plan and this venue is the pioneering establishment of its kind in the country.

Japan’s gambling industry has recently experience significant attention, with the country having passed legislation a few years ago, but only greenlighting the opening of its inaugural casino in April.

It is estimated that the casino project will receive an investment of JPY¥1.8 trillion (US $13.5 billion), with MGM and Orix both holding a 40 percent stake in the venture. The remaining 20 percent ownership will be distributed between local Osaka-based companies, including those involved in the railway and electric power sectors.

Background of historic decision

Six months ago, SiGMA News reported that Japan had made a historic decision to greenlight its first-ever casino complex situated on the artificial island of Yumeshima, featuring a hotel and wide array of amenities like restaurants, conference facilities, exhibition spaces, shops, spas, a theatre and entertainment outlets. This decision, however, stirred a mix of anticipation and controversy at the time. On the positive side, it promised a boost in tourist spending, but concerns arose regarding the potential for increased gambling addiction and organized crime.

Support groups for gambling addiction expressed “grave concerns,” citing a surge in requests for help from young individuals addicted to online gambling. To address these worries, Japanese citizens were to pay a 6,000 yen fee for every 24 hours spent in the casino, with a portion of the fee allocated to combat gambling addiction.

Showcasing the charm of Japan

In April this year, Prime Minister Fumio Kishida anticipated that the complex would stimulate development in the broader Osaka region and serve as a tourism hub to showcase Japan’s charm to the world.

Japan’s gambling market, estimated at US $20 billion annually, could see substantial growth with the construction of three casino complexes. Leading casino operators had been lobbying for the approval of the first complex, anticipating significant profits and increased tax revenue for Japan’s government.

Japan, as the world’s third-largest economy, previously maintained a ban on casinos. The approval process was championed by Kishida’s Liberal Democratic party, which dedicated years of effort to securing it. In 2016, a law was passed to legalise the gambling industry, followed by legislation allowing the construction of purpose-built integrated resorts like the forthcoming Osaka complex.

Over 20 local firms confirmed that they would play roles as subcontractors.

The Osaka government predicted that the project would generate 15,000 jobs and attract up to 20 million visitors annually, both from Japan and abroad. Sales revenue was expected to exceed 520 billion yen, with 80 percent stemming directly from the casinos. Japan, known for its avid gamblers, has already seen a substantial increase in revenue from publicly run racing events and pachinko parlours.

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STOP PRESS! SiGMA Europe takes place in Malta between 13 to 18 November.

A national controversy – no end in sight for Okada Manila