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Affiliate giant Raketech has appointed Johan Svensson as its permanent chief executive with immediate effect.

Svensson has been leading Raketech as acting CEO since Oskar Mühlbach stepped down as CEO in January.

A co-founder of Raketech, Svensson was previously CEO of the group before stepping aside in 2017. After this, he became chief commercial officer with responsibility for partnerships, mergers and acquisitions, and business integrations.

“I am excited to return to the role of CEO at Raketech,” Svensson said. “I look forward to working with our talented team to build on our strong foundation and drive further innovation and growth. 

“Our focus will remain on delivering exceptional value to our customers, employees, and shareholders.”

Raketech chairman Ulrik Bengtsson also welcomed Svensson’s return as CEO. He said: “We are excited to officially name Johan as our permanent CEO. His deep connection and commitment to Raketech and proven leadership abilities make him the ideal choice to steer the company into its next phase of growth.”

Raketech misses Q1 targets

The appointment comes off the back of Raketech last week publishing its financial results for Q1. Figures show that despite a 20.1% rise in revenue to €19.0m (£16.3m/$20.6m), adjusted EBITDA and net profit fell.

Revenue from sub-affiliation, the part of the business that includes Raketech Network and AffiliationCloud, increased 149.8% to €9.0m. However, affiliation marketing revenue fell 18.5% to €8.8m and revenue from betting tips and subscription income dropped 14.9% to €1.2m.

Total sports betting revenue hit €3.5m, down 7.5% year-on-year and accounting for 18.4% of all Q1 revenue. However, this was more than offset by casino growth, with revenue up 28.8% to €15.5m, or 81.6% of total revenue.

However, revenue growth was more than offset by an increase in costs, with total operating expenses up 47.5% higher year-on-year at €17.7m. When also including finance-related costs and tax, bottom-line net profit dropped 93.8% to €174,000.

Adjusted EBITDA, meanwhile, fell 17.2% to €5.1m.

GambleAware chief executive Zoë Osmond has defended the charity’s work following a complaint by the Good Law Project.

In March, the Good Law Project submitted a complaint to the Charity Commission over how GambleAware spreads information. The Good Law Project accuses GambleAware trustees of not meeting the charity’s objectives to offer adequate gambling harm education.

The complaint asserted that GambleAware’s poor performance was down to its connections with the industry and its “reliance on industry funding”.

At the time, Osmond responded in a statement issued to iGB stressing GambleAware was “robustly independent” from the industry.

Now, Osmond has again defended GambleAware and is confident the complaint will not be upheld. It is understood that the Commission’s assessment of whether it needs to intervene is still ongoing.

Osmond said: “Our robust governance and commissioning practices ensure that the industry has no influence over our operations. GambleAware’s independence has been widely recognised by a range of stakeholders including the Government, as evidenced in the Gambling White Paper.

“The complaint lodged to the Charity Commission by the Good Law Project is based on misleading and outdated information. While we are confident that this complaint will not be upheld, we are deeply concerned that inaccurate headlines and misleading newspaper articles may have a damaging impact on our services and the people that rely on them.”

GambleAware concerned over effects of complaint on vulnerable players

While GambleAware has accused the Good Law Project of basing its complaint on inaccurate information, the charity is also apprehensive over the impacts of such claims on at-risk players who may need its services.

“The deeply stigmatised nature of gambling harms often makes it difficult for individuals to reach out for help,” Osmond continued. “Maintaining the credibility and reputation of essential support services is crucial to reaching people before their gambling issues become catastrophic.

“Undermining these services, and the dedicated workers and experts who operate them, risks not only those directly relying on them but also the many indirectly affected by a loved one’s gambling problems.”

GambleAware defends effectiveness of its treatment

GambleAware pointed to the annual National Gambling Support Network statistics to defend its work. The data showed that nine out of 10 vulnerable players who complete their treatment see an “improvement in their condition”.

For those who don’t see their condition improve, 69% of the time it is because they did not complete their treatment.

Additionally, GambleAware pointed to the reach of its website, which has 6.5 million visits a year, as well as its national stigma public health campaign, which reached over 95% of the population.

PointsBet has upgraded its full-year EBITDA guidance after projecting a smaller loss for FY24.

PointsBet’s normalised EBITDA loss for FY24 is now expected to be between AU$4m (£2.1m/€2.4m/US$2.6m) and $6m. Previously, the normalised EBITDA loss was estimated between $9m and $14m for the year. In FY23, the normalised EBITDA loss was $49m for continuing operations.

PointsBet attributed this to ongoing, improved year-to-date trading in the second half of the year. It also highlighted its improved operations and productivity.

Sam Swanell, managing director and CEO of PointsBet, said the positive outlook was particularly impressive due to the sale of PointsBet’s US business in August last year.

“Today’s guidance upgrade is a result of the company’s continued strong trading performance together with improved efficiency and productivity,” said Swanell.

“It is particularly notable to see that the company has been able to continue to deliver such impressive results, while simultaneously undertaking a complex technical and operational migration, separation and re-organisation, with the recent completion of the sale of the US business.”

Fanatics Betting and Gaming (FBG) ultimately acquired PointsBet US for $225.0m, successfully fending off proposals from DraftKings.

FBG initially agreed to acquire PointsBet US for $150.0m in June 2023 – however, DraftKings then submitted an offer worth $195.0m. PointsBet said that it would engage with DraftKings on the proposal, which it dubbed as “superior”.

Further growth

Swanell added that PointsBet is focusing on investing in its core technology offerings and products.

“We continue to invest for further growth, in particular in our core technology and product capabilities and our outsized marketing investment,” he continued. “This is driving our market share growth and setting the company up for further success in FY25 and beyond.”

The sale of PointsBet US has had an ongoing positive impact on PointsBet’s operations. It was lauded as a driver for success for PointsBet’s H1 results. Over H1, net loss was reduced by 79.6% to $36.4m. Statutory revenue for the first half of the year was $117.9m, an increase of 6.7% from H1 2023.

The first half of the year also represented the first EBITDA-positive half for PointsBet, hitting $900,000. This was a significant improvement from the $20.2m loss year-on-year.

Since the deal, FBG has slowly seized control in states PointsBet was already active in. This was completed with a launch in New Jersey earlier this month. The launch means that the Fanatics Sportsbook is now available to 95% of the US online market.

The sportsbook was already available in Arizona, Colorado, Connecticut, Illinois, Indiana, Iowa, Kansas, Kentucky, Maryland, Massachusetts, Michigan, New York, North Carolina, Ohio, Pennsylvania, Tennessee, Vermont, Virginia and West Virginia.

As the federal investigation into the Wayne Nix illegal gambling ring expands, Major League Baseball is opening its first investigation. The league so far has declined to do its own investigation into Shohei Ohtani or his ex-interpreter Ippei Mizuhara.

But ESPN Friday (17 May) linked former Angels infielder David Fletcher and ex-minor leaguer Cody Shultz to the Southern California illegal betting ring. Monday morning, ESPN reported that MLB is opening a betting investigation into Fletcher, now in the Atlanta Braves farm system.

Fletcher reportedly bet with Mathew Bowyer, the same illegal bookmaker Mizuhara used. Fletcher did not bet on baseball, according to ESPN.

His high school friend, Shultz, reportedly did, though, including on Angels games in which Fletcher played. According to ESPN, Schultz is the person identified as “Bookmaker 3” in the Mizuhara complaint.

Major League Baseball has not officially acknowledged an investigation. It previously declined to open one on Ohtani, after the federal government referred to Ohtani as a ‘victim’. The league previously said the federal government had more resources available, so it would wait to see what was uncovered.

MLB: Betting OK, just not on baseball

MLB rules allow players to bet on sports, just not baseball. Sports betting is illegal in California, which means if Fletcher or Schultz did bet with Bowyer, they broke the law. If Fletcher or Schultz bet on baseball, either would face a lifetime ban, per league rules.

MLB’s gambling policy requires a minimum one-year suspension for a player who “operates or works for” an illegal bookmaker. The penalty for betting with an illegal bookie is at the commissioner’s discretion.

Fletcher and Ohtani were teammates from 2018-23, and Fletcher told ESPN that he and Ohtani were “good friends”. During that span, the Angels did not have a winning season, and did not break .500. In 2021, Fletcher signed a $26 million five-extension, but the Angels then traded him to the Braves.

Mizuhara to change plea in June

Fletcher previously told ESPN that he was at the poker game where Mizuhara met Bowyer but denied introducing the two. Mizuhara plans to plead guilty for stealing nearly $17m from Ohtani to pay off gambling debts incurred with Bowyer.

He pled “not guilty” last week, but a change-of-plea hearing is set for 4 June. Mizuhara is charged with bank fraud and signing a fraudulent tax return. The maximum penalties for his crimes are 33 years in prison and $1.25m in fines.

The federal betting investigation stemming from the Nix gambling ring is wide reaching. Former Dodger Yaiel Puig and ex-Chicago Bull Scottie Pippen have been in ensnared. LeBron James’ manager also bet with the Nix ring.

Fletcher and Schultz grew up in Orange County, the same county Bowyer and Mizuhara live in. He played college baseball at Loyola Marymount in Los Angeles, and the Angels drafted him in the sixth round in 2015. He made his MLB debut 13 June 2018.

Fletcher played five games for the Braves this season, 16 April-25 April. He went 2-for-8 and was sent back to Triple A Gwinnet.

IGB takes a look at what happened in gambling news over the weekend.

NY casino process: Let’s get a move on!

New York state Senator Joe Addabbo and Assemblyman Gary Pretlow dropped a bill that would speed up the current NY casino timeline. Regulators earlier this year said they would award licenses for three downstate casinos by 31 December 2025. The bill would require bids to be filed by 31 July and the New York State Gaming Commission to award licenses by 31 March 2025. The bill outlines 17 areas applicants must address from capital expenditure to proposed partnerships to workforce training, demographic plan, and “harmony.”

The New York Post reported that a shortened timeline could help out certain parties and hurt others. Addabbo’s district borders Aqueduct, which is the location for the Resorts World bid. Pretlow’s district is near the Yonkers race track.

On the flip side, Steve Cohen’s Citi Field NY casino proposal would benefit from a longer runway. That project needs legislative action to move forward. Any project would mean new jobs and a new revenue stream for the state.

“I’ve been trying to get the process moving,” Pretlow told the Post. “It’s taking too long. We’re leaving $2bn on the table.”

NCAA: 1 in 3 high-profile athletes harassed over betting

An NCAA report released Friday (17 May) revealed that one in three high-profile athletes received abusive messages from someone with a betting interest. Of 54,000 flagged “online abuse and threats,” 1% were betting related and directed at men’s and women’s basketball players. The NCAA contracted with Signify Group for the study during March Madness. The company examined 1,000 student-athletes, 280 coaches, 120 officials and 64 teams.

According to the study, in “sports with a high volume of betting,” 15-25% of abuse is betting related. In addition, women’s basketball players are three times more likely to be threatened than their male counterparts.

New in New Mexico

Caesars Sportsbook opened three locations in New Mexico for in-person betting, the company announced Monday (20 May). Bets are now being accepted at Route 66 Casino Hotel and Casino Xpress west of Albuquerque and Dancing Eagle Casino east of Grants. Caesars gained market access through Laguna Development, the commercial arm of the Pueblo of Laguna tribe.

New Mexico does not allow digital sports betting, and its tribes have exclusivity for gaming.

Virginia governor says no to games of skill

A bill that would have legalized games of skill was among 48 vetoed by Virginia Governor Glenn Youngkin Friday (17 May). The games, which are not regulated in the state, have been garnering attention in Pennsylvania and other states. Youngkin wrote that the state must “proceed with a robust set of safeguards.” He added that it was “regrettable” that the legislature did not adopt his suggestions, and that he’s open to continued discussion.

The American Gaming Association released a statement in favor of Youngkin’s veto. The move “will protect communities from illegal gambling machines and uphold not only the original ban passed by the General Assembly in 2020 but subsequent judicial determinations in Virginia’s courts,” CEO Bill Miller said.

In other news …

The Chicago Tribune made its final press run at the Freedom Center. The newspaper will move its print runs to a suburban location as construction of the Bally’s Casino Complex is set to begin.

Iowa’s Q Casino and Resort will debut its renovated casino floor beginning 24 May. Grand opening ceremonies will last through Memorial Day weekend, and will feature live music and giveaways.

Wisconsin’s Potawatomi Tribe is developing an on-site mobile app that should be ready for use in early 2025. The tribe opened its retail sportsbook earlier this month.

The North Carolina State Lottery Friday (17 May) issued its first full-month legal online sports betting report. Bettors in the state wagered nearly $649m in April and gross gaming revenue (GGR) was $105.3m.

Operators went live in North Carolina 11 March, ahead of the NCAA men’s and women’s basketball tournaments. Consumers wagered $659.3m during the three-week span in the opening month. But during that time, three North Carolina teams — Duke, NC State and UNC — were all playing in March Madness. Across the US, sports betting handle often dips in April, after the NCAA’s marquis event comes to a close.

Operators had a higher hold in April vs. March, paying out $538.4m in winnings on the $649m handle vs. $590.8m on $659.3m handle in March. North Carolina taxes digital operators at 18 percent of GGR, but the state did not release a number for tax revenue.

Promos down

Promotional betting dropped significantly in April, according to the report. Operators wrote off $79.7m in promos for the month vs. $202.6m in March. Historically, operators offer the biggest and most competitive promotions at launch.

The lottery does not break down its revenue numbers by operator or sport. On 11 March, eight platforms went live, including all of the major operators. Underdog Sports made its wagering debut in North Carolina, and Bet365 went live in its 10th state.

BetMGM, Caesars Sportsbook, ESPN Bet, DraftKings, Fanatics and FanDuel all went live on the same day. Operators in North Carolina are required to be tethered to professional sports venues or tribal casinos. There are two tribal casinos in the state, and Caesars is the only live operator tethered to a tribe (Tribal Casino Gaming Enterprise Cherokee).

Law could be tweaked sooner than later

Less than two months in, North Carolina lawmakers are already looking to tweak the new sports betting law. The Tar Heel State is among those considering a ban on college-player prop bets. In addition, Governor Roy Cooper is calling on lawmakers to allow bettors to write losses off on their taxes.

Both bills are still in committee. North Carolina’s legislative session opened 24 April, significantly later than most others. It is set to close 31 July.

The Pennsylvania gaming industry generated revenue of more than $500m in April but fell just short of the previous month’s record.

Some $504.6m (€464.8m/£398.1m) of revenue was recorded for the month, according to figures published by the Pennsylvania Gaming Control Board (PGCB). That was up 5.9% compared to April 2023.

The figure was down on the record $554.6m registered in March 2024. However, the figures were close on a day-by-day basis considering the extra day in March.

Pennsylvania gaming’s biggest segment stalls

Retail slots remains the biggest generator of gaming revenue, although the $205.4m was down 3.5% compared to April 2023. The number of slot machines in operation in April 2024 was 24,890 compared to 25,555 at the casinos in April 2023. Parx Casino, the state’s most popular venue, saw a 4.9% decrease to $31.6m.

iGaming slot revenue was the second biggest segment within Pennsylvania gaming at $126.0m, which was up 31.8%.

Sports betting back to growth

iGaming tables and sports wagering both experienced double-digit rises, with the former up 15.8% to $45.0m.

Following two successive months of year-on-year decline, sports wagering revenue was up 14.5% to $42.4m. Total sports wagering handle was $646.0m, which was up 12.9% year-on-year.

Valley Forge Casino Resort, along with partner FanDuel, was the state’s biggest sports betting business, with total revenue of $25.4m. This was almost three times the size of the next biggest, FanDuel’s Hollywood Casino at the Meadows.

Welcome to iGB’s State of the Union, a look at the biggest North American sports betting stories we’ve covered over the week and briefs on others we found interesting.

Nevada to Dave & Buster’s: No betting

The Nevada Independent reported that Nevada is the latest state to take notice of Dave & Buster’s plan to offer betting among friends. Gaming Control Board agents met with Dave & Buster’s executives to say betting at the amusement centers wouldn’t be allowed.

Board chair Kirk Hendrick said in a statement Monday (13 May) the board “opposes activities that could promote underage gambling, as well as wagering activities by businesses catering to a significant number of minor clientele.” Other states have reacted, as well. An Illinois lawmaker filed a bill that would prohibit the idea and regulators in Ohio and Pennsylvania are considering action.

Date set for Mizuhara plea change

The US Attorney’s office said Wednesday (15 May) that Ippei Mizuhara’s change-of-plea hearing is set for 4 June. The hearing will be in the federal building in Orange County. Previous court dates have been in Los Angeles. Mizuhara, baseball star Shohei Ohtani’s former interpreter, pled not guilty Tuesday (14 May) as a procedural matter. He’s already signed a plea deal and a federal affidavit shows he admitted he’s guilty of stealing funds from Ohtani.

Mizuhara faces up to 33 years in prison and $1.25 in fines. He is accused of transferring nearly $17m from Ohtani’s accounts to pay off debt.

Head Louisiana regulator announces retirement

Ronnie Johns, head of the Louisiana Gaming Control Board, last last week announced his retirement effective June 30. Johns was appointed to the position in July 2021 by then Governor John Bel Edwards. He’s been in public service for 37 years, including 22 in the state legislature. Johns oversaw the development of regulations and the launch of online sports betting.

Johns told the American Press that he’s reached a time in life to prioritise his family. It’s time to “chase our grandkids from ballpark to ballpark, school events, and wherever life’s journey takes them.”

NY senator trying to tweak betting laws

New York state senator Joe Addabbo this week filed a bill that would earmark 1 percent of tax revenue for problem and responsible gaming initiatives. The minimum amount designated for PG/RG programs would be $6m. One percent of tax revenue would be sent to youth team sports funding and youth sports and education funding.

Last month, Addabbo filed a bill that would raise the legal age for daily fantasy from 18 to 21. That bill, SB 9044, would also allow for peer-to-peer pick’em-style DFS games. New York’s legislative session is set to adjourn 6 June, and bills don’t carry over to 2025.

Court: No problem with Ontario sports betting

An Ontario superior court Monday (13 May) ruled the province’s online wagering and casino model is legal, reported the Associated Press. The Mohawk Council of Kahnawà:ke (MCK) filed a lawsuit questioning the legality of how the government agencies regulate legal gambling. Canadian lawmakers voted in June 2021 to decriminalise single-event wagering. Operators went live 4 April 2024.

The MCK, according to the AP, has been licensing gambling operators for 25 years for the Mohawks of Kahnawake. The group argued that Ontario’s new gaming will result in losses for its community.

Circa Sports live in Kentucky

Circa Sports launched Tuesday (14 May) in Kentucky in partnership with ECL Corbin/Cumberland Run, the company announced. The company says it offers the highest betting limits in the industry, and “transparent odds.” Kentucky marks Circa’s fifth US state. Consumers are required to make a minimum deposit of $20. Kentucky’s regulator launched live, legal digital sports betting 28 September 2023.

Harrah’s Columbus opens

Caesars Entertainment opened its Columbus, Neb. casino Friday (17 May) to rave reviews and big crowds. The first jackpot was hit at 10:14 a.m. local time, a $1,876 win on Power Push. The first sports bet was $20 on the Boston Celtics to win the NBA Finals (-135). The new property is 17,000 square feet and has 400 slot machines. The 2,100-square foot sportsbook has a 163-inch video wall.

The property is branded as a Harrah’s casino and is in partnership with Columbus Exposition and Racing.

Justin Thomas first athlete to make deal with Fanatics

Golfer Justin Thomas signed a deal to represent Fanatics, the company announced Tuesday. According to the press release, Thomas will “highlight new product enhancements, create social content and engage with the Fanatics community over the course of the next year.” Thomas is in the field for the PGA Championship at Valhalla.

A ban on sports sponsorship in Germany has been rejected at a public meeting of the Sports Committee of the German Bundestag.

The experts pointed to sponsorships’ importance to sports in Germany and the subsequent loss of funding such a ban would cause as the primary reason for its rejection.

However, managing director of the Association of Sports Sponsorship Providers, Inka Müller-Schmäh, outlined that a legal framework was needed to ensure sport sponsorships continued to help German sport.

“Sports sponsorship must remain possible, no matter where, when and how sport takes place and is broadcast,” Müller-Schmäh said.

Gambling industry in Germany facing problems

The German market has faced real issues with the black market, with tight restrictions driving players towards offshore operators.

A 2023 study from the University of Leipzig found the channelisation rate towards legal German online operators was just 50.7%. With nearly half of all German players betting with illegal operators, there are concerns over the safety of bettors.

Operators must not advertise online or on television between 9pm and 6am. Additionally, there are restrictions on showing sports clips in advertising, while there is also a ban on partnering with sports personalities and influencers.

Luka Andric, managing director of the German Sports Betting Association (DSWV), pointed to the “extremely strict” restrictions as a problem.

“It’s probably one of the strictest around, unless you take a monopoly system or somewhere where you have a complete ban on advertising,” Andric told iGB.

Sponsorship bans elsewhere in Europe

As of July 2023, operators in the Netherlands have been banned from sports sponsorships. There is currently a transitionary period to allow existing agreements to come to a conclusion.

France also introduced new sports sponsorship regulations in 2023. French regulator Autorité Nationale des Jeux (ANJ) attributed this to the changing role of sponsorships in France.

Between 2022 and 2023, sport partnerships with legal operators in France increased by 20% to €40.7m (£34.8m/$44.3m). Also, clubs penned €15m worth of sponsorships with unlicensed sites for African and Asian players.

Last April, English Premier League clubs announced a collective agreement to stop the sponsorship of gambling companies on the front of shirts.

That will come into effect from the conclusion of the 2025-26 campaign. However, that hasn’t quelled interest in the market. Aston Villa recently agreed a deal with Betano in April to make the operator its front-of-shirt sponsor until 2026.

Buzz Bingo has announced it is relocating its digital business to Gibraltar, while the operator has also revealed it is in advanced discussions to acquire two UK land-based clubs from Gauselmann Group-owned Merkur.

The Gibraltar move, Buzz Bingo says, will offer several strategic advantages to the business. These include greater proximity to its key suppliers and a platform to pursue international opportunities.

Buzz Bingo also says the relocation supports its omnichannel growth plans. In 2023, group retail revenue increased 5% year-on-year while online revenue jumped 31%.

“With demand for Bingo growing, and our exceptional online performance, Buzz Bingo is positioning the business for accelerated growth, which is the key rationale behind our decision to move our digital business to Gibraltar,” Buzz Bingo chief executive Dominic Mansour said.

“These are exciting developments for Buzz Bingo as we continue to implement our omnichannel strategy to be the nation’s number one choice for bingo across both online and retail and to deliver on the international opportunity.”

Buzz Bingo set for double Merkur purchase 

Meanwhile, as part of wider growth plans, Buzz Bingo is in talks to acquire two UK bingo clubs from Merkur.

The clubs in question are located in Cricklewood in London and Northampton. Should the deal go through as expected, both venues will join the Buzz Bingo UK retail estate.

Together, the two clubs welcomed more than 410,000 visitors in 2023. Cricklewood is the largest bingo venue in the UK. It also holds the Guinness World Record for the biggest single bingo house prize – £100,000 (€116,554/$126,702).

Buzz Bingo says the double acquisition supports its plans to capture anticipated ongoing growth in bingo in the UK. This, it says, is being driven by a younger demographic, with the number of people aged 25-34 doubling between 2018 and 2023.

“Bingo in the UK is having a renaissance,” Mansour said. “Buzz Bingo is one of the UK’s leading online bingo brands with the largest retail footprint and is therefore well-placed to capture this growth. 

“Following a period of stabilisation for the business, it is now thriving. We are delighted to be acquiring these two leading bingo clubs following a year of strong performance.”