DraftKings and Apple Sports unite to launch a game-changer in sports betting

The Swedish government has recently proposed to discontinue the Casino Cosmopol land-based casino business of state-owned operator Svenska Spel. In a memorandum filed on 7th May 2024, the government stated that Casino Cosmopol “no longer fulfils its purpose” and highlighted the ongoing challenges for the business to reach profitability.

The government does not anticipate the proposed closure to have any “major impact” on illegal gambling in Sweden. If the measure passes, a condition in for the right to operate land-based casinos would be removed. Consequently, e, located in Stockholm. The closure, expected to occur on or before 1 January 2026, would impact approximately 200 jobs.

Svenska Spel has acknowledged the struggles of Casino Cosmopol. The company shares the government’s assessment of reasons for closure, noting the lack of opportunity to reach profitability as visitor numbers fall with more people opting to gamble online.

Svenska Spel once operated four casino locations in Sweden. The first to close was the casino in Sundsvall in 2020. More recently, the company announced the permanent closure of its casinos in Gothenburg and Malmö due to limited profitability. The decision was announced in January of this year.

Svenska Spel CEO Erik Strand stated, “The movement from gambling in land-based casinos to gambling online accelerated after the reregulation of the gambling market in 2019 and the subsequent pandemic, when Casino Cosmopol remained closed.” He added, “We share the assessment that it is no longer possible to run Casino Cosmopol profitably.”

CEO Ola Enquist also accepted the news but described the move as an “end of an era”. He said, “Although we share the government’s assessment, it is emotional to take part in the bill. If it is adopted, it means that our last casino is closing and that an era is over.”

Recent financial results published by Svenska Spel show where Casino Cosmopol sits compared to its other businesses. In 2023, the Casino Cosmopol and Vegas arm posted a 12.0 percent drop in revenue to SEK942m (£69.3m/€80.7 million/$86.9 million). This decline was attributed to a decrease in casino visitors in response to the rising popularity of online casino gaming.

In contrast, Svenska Spel reported growth elsewhere. Revenue from the Tur lottery division climbed 0.6% higher at SEK4.92bn, while revenue from Sport & Casino was up 4.6 percent to SEK2.17 billion. Looking at net gaming revenue per sales channel, casino revenue fell 11.4 percent to SEK473million, while the online sector saw revenue grow 7.2 percent to SEK4.20 billion.

As for the most recent quarter, the closure of the two casino sites hit the Casino Cosmopol & Vegas segment, with revenue down 31.6 percent to SEK169 million. In addition to the closures, the group also reduced the operating hours of its remaining Stockholm venue.

In addition to these challenges, Casino Cosmopol has faced regulatory issues in recent months. In December, the casino was fined SEK2m for anti-money laundering failings after a probe by Swedish regulator Spelinspektionen. Svenska Spel was also warned over the matter.

The search for a new CEO can be daunting and unpredictable. This is the situation currently faced by Entain as it seeks to fill its vacant CEO position. As the helm of Entain remains unclaimed, one cannot help but wonder why there isn’t a long queue of ambitious leaders ready to steer the ship. The role has been vacant for months, a period long enough to raise eyebrows in the corporate world. It would naturally be assumed that such a position would be seen as a golden opportunity for those with the right corporate profile, those who thrive in boardrooms, basking in the thrill of leadership.

Yet, the role of CEO at Entain seems to lack the allure typically associated with such high-stakes positions.

The question then arises: Why does the role not seem attractive to suitable contenders? Why is there no line of experienced leaders ready to pick up the pieces, to salvage a sinking ship before it is dismantled and sold off in pieces?

The company, which owns Ladbrokes, has been rebuffed by the former bosses of bookies Coral and Sky Bet in its hunt for a new chief executive.

Entain has already approached Andy Hornby, (pictured above), who now runs Wagamama’s parent company, and Richard Flint, who holds a portfolio of roles, about the job. However, both Hornby and Flint have declined the offer. This comes as no surprise given investors’ demands for a leader with extensive gambling sector expertise.

The longer the CEO position at Entain remains vacant, the more challenging it will become to find a suitable candidate. A potential stigma may already be attached to the role, creating a deterrent for prospective applicants. After all, who would willingly step into a situation where they are expected to clean up and reorganize the aftermath of Jette Nygaard-Andersen’s acquisition frenzy? This daunting task is discouraging potential leaders from taking up the role, explained a corporate finance specialist to The search for a new leader therefore becomes not just about finding the right person, but also about overcoming the perceived obstacles associated with the role, he explained preferring to remain anonymous.

Dan Taylor, chief executive of Flutter Entertainment’s international operations, was also among the potential candidates for the role. However, Entain, which has been under mounting pressure from activist investors because of its poor performance, declined to comment on Friday.

Last month, Entain announced that and be replaced by . The company also ousted Jette Nygaard-Andersen, its former chief executive, late last year.

Entain, which has seen its shares nearly halved in the last 12 months, and other non-core operations. As well as Ladbrokes, Entain owns Coral and a stake in BetMGM, a major US betting player.

Entain has also endured a torrid period as activist hedge fund investors have built an increasingly prominent position on its share register. The company has faced a deluge of regulatory problems, triggering sharp criticism of its governance and business practices.

Shares in Entain has been trading at around 797.4p giving the company a market capitalisation of £5 billion. The future of Entain remains uncertain, but one thing is clear: the company’s next leader will have a challenging task ahead.

Century Entertainment International Holdings has announced it has signed an agreement to operate a VIP gaming room at a casino located in Dara Sakor, Cambodia. This move marks a strategic shift for the Hong Kong-listed company, as it terminates a prior arrangement with Lion King Entertainment and establishes a direct partnership with the casino proprietors. 

Under the new deal, 's subsidiary, Wisdom Ocean Group Limited, will manage all seven VIP gaming tables at the Dara Sakor casino for an initial three-year term. The company will make monthly payments of $35,000 (€32,502) to LongBay Entertainment, the casino's owner, in exchange for full operational control, including management of winnings and losses, as well as staffing expenses. 

LongBay Entertainment will provide essential gaming licences, cover operational costs such as utilities and dealer wages, and ensure regulatory compliance.  

Century Entertainment didn’t push through with its previous agreement with Lion King Entertainment due to challenges accessing comprehensive financial records necessary for regulatory compliance. Negotiations with LongBay Entertainment followed, resulting in the current partnership aimed at revitalizing Century Entertainment's gaming operations. 

Situated in the growing Dara Sakor district, the designated VIP Rooms are viewed as a strategic venture with significant potential in Cambodia's gaming market. Century Entertainment remains committed to offering baccarat across all gaming tables, anticipating favourable prospects in the area. 

Last March, Cambodia’s Prime Minister Hun Manet has measures to stop the spread of gambling activities in the nation, citing their negative impacts. Hun Manet declared a suspension on issuing new licences and raised the possibility of revoking existing ones. 

While previous plans to relocate from Sihanoukville to Dara Sakor faced challenges such as pandemic-related disruptions and implementation delays, Century Entertainment remains optimistic about the revenue-generating potential of its renewed gaming business. The company is poised to navigate challenges and capitalize on opportunities in Cambodia's evolving gaming landscape. 

Upcoming SiGMA event: SiGMA Asia 2024, 2 – 5 June. Find all the details .

Brokerage firm CLSA anticipates a 6 percent month-on-month increase in Macau's gross gaming revenue (GGR) for May, reaching MOP19.7 billion (€2.27 billion). While slightly below market consensus, CLSA's projection aligns with Morgan Stanley's forecast and indicates continued recovery in the region's gaming sector. 

Analysts Jeffrey Kiang and Leo Pan highlighted the robust foot traffic observed during the Labour Day holiday, citing positive trends in average daily visitation and hotel bookings. 

Throughout the holiday period, key establishments such as Grand Lisboa Palace, MGM Cotai, The Londoner, and others experienced significant foot traffic, including busy gaming floors. Minimum bets on baccarat tables ranged from MOP1,000 to MOP1,500, with higher stakes in high-roller rooms ranging from MOP3,000 to MOP10,000. 

Despite during the Labour Day break, Macau remains optimistic about its tourism prospects. The city welcomed a total of 604,395 tourists over the five-day holiday, averaging 120,000 visitors per day, falling short of authorities' projections. 

The Macao Government Tourism Office (MGTO) attributed the lower arrivals to adverse weather conditions, dampening travel enthusiasm. However, the agency assured that the government is gearing up for the upcoming summer holidays to boost tourism. 

To stimulate tourism, Macau launched the for Chinese nationals on tour groups on Monday. The initiative aims to facilitate integrated development between Macau and Hengqin, offering tourists more choices and enhancing the region's attractiveness. 

The new visa allows tour group visitors to stay at budget hotels in Hengqin and visit Macau during the day. As Macau continues to navigate recovery post-pandemic, initiatives like the multi-entry visa signal proactive measures to revitalize the tourism sector and promote integrated development with neighbouring regions. With gaming revenue forecasts showing promising signs, stakeholders remain hopeful for sustained growth in Macau's economic recovery. 

Upcoming SiGMA event: SiGMA Asia 2024, 2 – 5 June. Find all the details .