Good morning. There’s nothing worse than not knowing. And in the case of Thailand, there have been many concerns as to whether proposed IR legislation would ever make it off the ground. These concerns have now been slightly eased, as the legislative proposal put forward has assuaged both operators and potential investors, points out Spectrum Gaming’s CEO. Meanwhile, results continue to roll in – with Newport and Resorts World Sentosa seeing upticks, while Bloomberry saw a slight drop.
Online gaming fraud is on the rise in the iGaming industry. In Q1 2022, there was an 85% increase in fake account registrations compared to Q4 2021. While players are undoubtedly affected by gaming fraud, iGaming platforms also suffer due to damaged reputations, huge financial losses, and legal consequences.
Premium slots and table games provider Habanero has launched its newest title Haunted Harbor, taking players on a swashbuckling adventure filled with instant cash prizes.
This 5×4 reel grid is populated by a variety of pirate characters as well as anchors, compasses and spyglasses which form matching combinations across the slot’s 25 pay lines to award a win.
Treasure chest symbols can land on the board with instant cash prizes of up to 50x the base bet. Meanwhile, pirate ship wilds can also appear, taking up either one space on the board or expanding vertically thanks to the Ghost Reel feature.
Hitting at least three scatter symbols provides access to up to 30 free spins. In the bonus game, the Ghost Reel is more prominent, unveiling expanding Wilds on their own or with a multiplier of up to 5x, which can also be sticky for the duration of the free spins to create massive win potential.
Haunted Harbor is another high-quality release from Habanero and follows recently released hits such as Glory of Rome and Koi Koi Treasure as the provider continues to diversify its expansive portfolio.
Commenting on the release, Toni Karapetrov, Head of Corporate Communications at Habanero, said: “Setting sail on a mysterious pirate ship, Haunted Harbor is a spooky swashbuckling adventure where players can uncover hidden treasure from mystery symbols and a Ghost Reel.”
Games Global and exclusive studio Fortune Factory Studios have launched WWE Bonus Rumble: Gold Blitz, a new immersive slot game that pairs the world-renowned wrestling brand with the thrilling Gold Blitz mechanic to provide an electrifying new entertainment experience.
The release marks the first of three licensed titles to be created over a three-year period under an agreement with WWE, one of the world’s leading sports entertainment brands. WWE Bonus Rumble: Gold Blitz will launch initially in Games Global’s core regulated markets outside of the US, where a separate rollout will follow.
The reels of the game are adorned with WWE Superstars including The Undertaker, “Stone Cold” Steve Austin, John Cena, and Booker T as fans will instantly recognise these iconic figures.
Designed to capture the WWE experience, the slot’s visuals reflect the excitement, energy, and experience of attending a wrestling event. Players can feel the excitement of a buzzing crowd, immerse themselves in the catchy music and cheer with the fans as they feel the anticipation of big win potential.
Andy Booth, Chief Product Officer at Games Global, said: “We are thrilled to create a slot with WWE, which is widely regarded as one of the most iconic sports entertainment brands in the world”.
Travellers, the owner and operator of Newport World Resorts in Manila saw its core revenues increase by 20 percent quarterly and 16 percent yearly, reaching PHP8.5 billion.
In the recent financial results of Traveller’s parent company, Alliance Global, released on Wednesday, the company indicated that for the first six months of the year revenue hit PHP15.6 billion, a yearly increase of 2 percent.
The group notes that this was ‘primarily due to the growth in the non-gaming segment as foot traffic, occupancy rate and hotel average daily rates reached record highs’.
Net gaming revenues reached PHP11.93 billion in 1H24, ‘with the decline YoY in gross gamin revenues and promotional allowance swayed by overall volume driven by the VIP segment’.
Non-gaming revenues were up 11 percent yearly, to PHP3.7 billion ‘due to growth in F&B covers, occupancy rates and average daily rates’.
Hotel occupancy rates for the five hotels in the property ranged between 77 percent and 99 percent.
Travellers International Hotel Group accounted for 15 percent of AGI’s consolidated revenues and income and 3 percent of its consolidated net profit.
Looking ahead, the AGI group ‘remains optimistic in its prospects’.
Genting Singapore has announced a 25 percent increase in revenue for the first half of the year, reaching SG$1.35 billion and with net profit rising by 29 percent to SG$356.91 million.
The group’s gaming revenue during the period totaled SG$957.6 million, up from the SG$746.95 million registered in 1H23.
Hotel rooms brought in SG$121.52 million in revenue, while Attractions were the group’s highest non-gaming contributor, at SG$201.27 million.
EBITDA rose by some 30 percent yearly, to SG$568.19 million.
Looking purely at the second quarter, adjusted EBITDA ‘was weaker at SG$201.3 million due to seasonality, a significantly lower VIP hold than the first quarter, and the closure of Hard Rock Hotel for renovations and rebranding,’ notes the company.
Describing the group’s ongoing evolution of Resorts World Sentosa, Genting notes that ‘The first phase of RWS 2.0 comprising Illumination’s Minion Land and the Singapore Oceanarium, along with the ongoing development of our Central Lifestyle Connector and an all-suite hotel in place of Hard Rock Hotel, remain on track for soft opening in early 2025’.
Resorts World SentosaResorts World SentosaHard Rock Hotel, Singapore
The group is also planning a strong program of events for the second year, which is ‘anticipated to boost both visitorship and spending at RWS’.
UK bookmaker Star Sports has commenced operations in Australia after receiving a Victoria Wagering and Betting License.
Established in 1999 as Star Racing, the now Star Sports provides interactive betting experience for desktop, mobile, and tablet users as well as telephone betting and betting shops.
The company, founded and owned by Ben Keith, is also a regular race sponsor of UK horse racing and the current sponsor of the English Greyhound Derby held at Towcester. Star Sport’s operations in Australia will be headed by Shane Ciurleo as General Manager.
Flynn Goward, CEO of Star Sports, previously pointed out that the company made inroads last year in their online app extensions, increased retail footprints and focused presence at more racecourses than in any other year.
Star Sports is also present at the Newbury National Hunt and at Ascot Racecourse. It currently runs around 150 days a year over horse racing and greyhound racing.
Philippine-based gaming and hospitality group Bloomberry Resorts Corporation, reported a 4 percent year-over-year decline in gross gaming revenue (GGR) to PHP14.5 billion ($254.6 million) for the second quarter of 2024.
The group attributed the drop to continued weakness in the VIP segment, though the company’s mass gaming operations across its two properties saw growth of 3 percent for table games and 6 percent for electronic gaming machines.
Bloomberry Chairman and CEO Enrique K. Razon Jr. commented that in the second quarter and first half of 2024, mass gaming revenues increased year-over-year despite the very high base set in the first half of 2023.
“However, continued weakness in the VIP segment as well as pre-operating and operating expenses at Solaire Resort North resulted in a decline in consolidated EBITDA and net income”, he added.
Solaire Resort NorthSolaire Resort North
The company’s consolidated EBITDA for the quarter decreased 33 percent year-over-year to PHP3.6 billion ($63.2 million), while net income fell 61 percent to PHP1.3 billion ($22.8 million).
Bloomberry’s latest Solaire Resort North property, which commenced operations on May 25th, contributed PHP250.1 million ($4.4 million) in positive EBITDA during its first 37 days of operations.
“We are in the early stages of the property’s ramp-up and are happy with the pace, especially as we compare it to the ramp of Solaire in Entertainment City over 11 years ago”, said Razon.
For the first half of 2024, Bloomberry’s consolidated GGR declined 6 percent to PHP29.2 billion ($512.1 million), while EBITDA fell 24 percent to PHP8.6 billion ($151 million) and net income decreased 38 percent to PHP4 billion ($70.2 million).
The company ended the second quarter with a cash and cash equivalents balance of PHP25.3 billion ($444.1 million) and total outstanding long-term debt of PHP99.4 billion ($1.7 billion).
Looking ahead, Razon expressed optimism about Solaire Resort North‘s ramp-up and the potential for further synergies and positive operating leverage to benefit the group’s profitability in the coming quarters.
Recently proposed entertainment complex legislation marks a significant step toward the potential legalization and regulation of integrated resorts in Thailand, Fredric Gushin, Managing Director of global gaming consultancy Spectrum Gaming Group, told AGB.
This month the Thai government released the Draft Integrated Entertainment Business Act for public consultation until August 19th. The legislation seeks to modernize outdated laws and create a comprehensive framework to support and regulate the industry’s growth.
According to Gushin, there are three key stakeholders whose interests must be addressed to ensure the success of these projects: the government and the general public, potential operators of Entertainment Centers, and the financial community that will fund these ventures.
“The draft law appears to be a positive step forward that addresses the concerns of all three major stakeholders”, Gushin highlighted
The consultant emphasized the need for public confidence in the government’s approach, noting that “the public needs to be assured that the government will take the legalization of Entertainment Centers seriously” and “develop social safeguards and security procedures that meet international standards for Integrated Resorts, which have been successfully adopted in other jurisdictions”.
Fredric Gushin, Managing Director of global gaming consultancy Spectrum Gaming Group
He underlined that for potential operators, the transparency and comprehensiveness of the regulatory process will be critical.
The liberalization of the gaming industry is expected to boost Thailand’s tourism revenue by $12 billion, according to studies, with the new draft allowing for 30-year licenses with 10-year extensions.
Potential locations to host the Entertainment Complexes include Greater Bangkok, Phuket, Chiang Mai, and Chonburi (Pataya), to be established within 100 kilometers of major airports, and with a paid-up capital of at least $283 million. Thailand will be competing with the emerging market of the UAE and, to some extent, Japan.
Gushin explained that operators need “assurance that the regulatory process will be transparent and comprehensive, protecting their investments.”
The bill – which the report says is already completed – aims to promote and regulate integrated entertainment complexes that meet standard requirements, as a measure to encourage domestic investment and support sustainable tourism.
Under the bill’s provisions, an entertainment complex must acquire a license to operate, valid for up to 30 years. Operators must pay a THB5 billion ($142.7 million) registration fee and an annual payment of THB1 billion ($28.3 million).
The complexes will be assessed every five years, and the license can be renewed for another 10 years after the initial 30-year period.
While many technical details, such as gaming tax rates and the number of licenses, will be determined by the Policy and Executive Committees, Gushin believes “the draft law appears to provide sufficient discretionary authority to effectively regulate the Entertainment Centers.”
Financial investors also play a crucial role in the success of future IR projects, with Gushin pointing out that investors “will need assurance that their investment will yield a positive return, justifying their participation in the Entertainment Centers.”
In the end, the enactment of the law, Gushin noted, is merely the first step in a larger process.
“Subsequent decisions by the Policy Board and Executive Committee, based on the law, will lead to the promulgation of regulations,” he points out. These decisions will include complex and challenging determinations, such as the locations and number of Entertainment Centers.
“The enactment of the law is the first step in the process. Subsequent decisions by the Policy Board and Executive Committee, based on the law, will lead to the promulgation of regulations. Complex and difficult decisions, such as the locations and number of Entertainment Centers, will be made”, he told AGB
“While not addressed in full at this time, Section 55 delineates the baseline from which the government will tackle socially responsible gaming issues, given that local participation will be permitted, with an entry fee for locals and an exclusion program”.
Reports have pointed out that the Thai government is determined to press ahead with the legislation, with the issue being discussed in recent monthly meeting at Government House between leaders and representatives of the coalition parties.
Addressing the possible timeline for the opening of the country’s first IR, Gushin posited that this will ultimately be determined by several factors yet to be decided.
“However, setting a goal for the opening of the first Entertainment Centers by 2029 is not unreasonable. Once licensees are determined, they should be held to a construction schedule that ensures the opening of the casinos within an agreed-upon timeframe with the Policy Committee”, he stated.
Asia Gaming Brief looks at existing and upcoming grey market licensing jurisdictions and compares what they offer to the industry.
We shine a light on everyone from Curacao to the Isle of Man, presenting you the basic facts and analyzing the pros and cons of every jurisdiction based on our in-depth expertise, industry feedback, and decades of experience in the field. We continue the series with a look at Vanuatu, a pioneering jurisdiction that is making a comeback.
What & where is it
The Republic of Vanuatu is an island country in Melanesia, located in the South Pacific Ocean around 1,750 kilometers east of northern Australia. Formerly the jointly administered Anglo-French condominium of the New Hebrides, Vanuatu achieved independence in 1980 and is home to around 300,000 people who live across 83 islands. Its capital city is Port Vila, with a population of around 50,000. Located on the island of Efate, it is also home to the only international airport and the nation’s business center.
Its online gambling legislation is widely regarded as the oldest in the industry, dating back to 1993. The country was home to numerous operators in those early days, with many Australia-facing books calling Port Vila home at the time. Contrary to what many gambling licensing service websites continue to claim, there are no active licenses left over from the old system and the island is effectively starting from zero again.
The country’s primary licensing legislation, the Vanuatu Interactive Gaming Act, recently saw its related regulations amended to create what is essentially a brand-new licensing regime.
The Vanuatu Interactive Gaming License is overseen by the Vanuatu Department of Customs and Inland Revenue as the regulator. The newly established Vanuatu Gaming Authority, a private entity that acts as exclusive agent in a public-private partnership, is handling general administration and processing of applications.
What licenses does it offer?
Vanuatu currently offers a B2C license that covers all common product verticals including sports, casino, live casino, lottery, poker and more. Every license is valid for 15 years and comes with the ability to operate one URL under it. Additional URLs can be added for a fee. This essentially allows Vanuatu licensed operators to offer a White Label model similar to that of jurisdictions like the Isle of Man, where the main license holder can allow White Label partners to operate under its license but is also responsible for the regulatory compliance of those partners. Vanuatu currently does not offer dedicated Sub-licenses or B2B licenses.
Cost & Taxes
Fees for a Vanuatu Interactive Gaming License are as follows:
Application Fee EUR 5,000 ($5,370)
Annual License Fee EUR 10,000 ($10,700)
Additional URL Fee EUR 1,500 ($1,620)
The jurisdiction charges a flat 1 percent Wagering Activity Tax on GGR
Vanuatu does not have any corporation tax and gaming companies are also exempt from VAT.
What countries can be targeted?
In line with most other pre-regulated market jurisdictions, Vanuatu expects its licensees to ensure they operate lawfully in any regions they target. This enables licensees to largely make their own decisions based on legal advice. Blocked countries include those on the FATF “black-list”.
How long does it take?
The VGA states a target turnaround time for applications of between two to four weeks.
Do I need a company there?
Yes, a presence on the island is required and the license must be held by a Vanuatu company. Assistance in this regard is available from corporate service providers (CSPs) familiar with the new scheme. The regulator also requires that certain data is mirrored through its systems for auditing and compliance purposes, and this is part of the licensing process. There is no requirement for separate on or off-island hosting to facilitate this.
Do operators have to go there?
No. The entire application process is done online through a dedicated portal maintained by VGA Limited. A personal visit to the island is therefore not required.
Can operators get banking and payment services?
Generally, yes. While the renewed Vanuatu license will need some time to fully establish its credibility in the market again, the Vanuatu Gaming Authority and the Vanuatu government are already actively working on trying to improve the standing of the jurisdiction. Various banks and PSPs have already indicated their willingness to accept the new license and for others, a setup utilizing a payment entity in another jurisdiction such as Cyprus or the Isle of Man will likely be required. This will be a familiar process to operators who were licensed in countries such as Curacao before.
On-island banking in Vanuatu is available and required to pay the license fees and Wagering Activity Tax. It can be obtained at the same time as the required local company is established. On island banking does not currently cover operational payments.
Is the license accepted by suppliers and third parties?
Generally, yes. Many big and small platform and games providers have already indicated a willingness to accept the new license, but it may be trailing behind other jurisdictions, at least for a while. As the due diligence requirements and the over-all compliance mindset behind the new license appear to be above other, competing, jurisdictions, it is likely that more suppliers will start to accept the Vanuatu Interactive Gaming License in the near future.
Pro and Contra Summary:
Vanuatu is in a strange juxtaposition at the moment. It is, at the same time the oldest jurisdiction in the industry, but also the newest. It will therefore take some time to re-establish itself as a trusted and credible player in an increasingly crowded market.
An entirely online application process, attractive price point, long license validity, short turnaround times, and a high level of flexibility when it comes to target markets will likely appeal to many operators. Innovative uses of technology to ensure compliance with regulations and to manage ongoing monitoring will also help to build up the jurisdiction’s credibility, as will the transparency and openness of the local government in general.
Vanuatu is a safe and politically stable country looking to diversify its economy, and a revitalized eGaming sector forms part of this long term strategy. The fact that members of its government and the regulator are willing to put faces and names to the place will no doubt elevate it above some other grey market jurisdictions and help to build trust. In the end, only time will tell if the island’s goal of positioning itself somewhere between the Isle of Man and Anjouan will be achievable. Early signs appear promising.
Global sports technology company Sportradar reported an almost 30 percent year-on-year rise in revenue to a record amount of €278.4 million ($306.2 million) in the second quarter of 2024, as most of its business segments saw improved performance.
Carsten Koerl, CEO of Sportradar, highlighted the company’s strong performance, stating that the “record revenues” reflect “robust operating momentum across the business”.
In the company’s financial report, Koerl expressed satisfaction in raising the full-year guidance, attributing it to the company’s continued efforts in delivering strong topline growth, enhanced operating leverage, and increased cash flow.
Sportradar’s revenue surged by 29 percent year-over-year to €278.4 million ($306.2 million), driven by strong performance across its portfolio. The Betting Technology & Solutions segment led this growth with revenues of €229.1 million ($252.0 million), representing a 30 percent increase from the previous year.
Similarly, the Sports Content, Technology & Services segment experienced a significant 22 percent increase in revenue, reaching €49.3 million ($54.2 million).
The company experienced broad-based growth across regions, with revenues in the Rest of the World rising by 22 percent and the US market expanding by an impressive 59 percent.
Despite the substantial revenue growth, Sportradar reported a net loss of €1.5 million ($1.7 million) for the quarter, compared to a marginal profit in the same period last year. However, Adjusted EBITDA increased by 22 percent to €48.8 million ($53.7 million), reflecting the company’s focus on operational efficiencies.
Net cash generated from operating activities reached €152.6 million ($167.9 million) year-to-date, a 17 percent increase year-over-year. As of June 30, 2024, the company’s total liquidity stood at €542.2 million ($596.4 million), up from €483.7 million ($532.1 million) in the previous year.
Sportradar continued to strengthen its market position through strategic initiatives. The company expanded its Managed Trading Services (MTS) customer base, signing 46 new clients in the first half of 2024.
Additionally, Sportradar extended its partnership with UEFA, covering all club and national team competitions, and launched innovative advertising solutions to enhance operators’ reach. During the quarter, Sportradar also executed a share repurchase program, buying back approximately 748,000 shares for $8.0 million as of August 9th, 2024.
Reflecting its strong performance, Sportradar raised its full-year 2024 financial outlook. The company now expects to achieve revenue of €1 billion ($1.17 billion), up 22 percent year-over-year, and adjusted EBITDA of at least €204 million ($224.4 million), also representing a 22 percent increase.
