Betsson has decided to consolidate its UK businesses in order to focus on just one brand – Rizk. This comes as the brand has been continuously reducing its business in the UK for the past few years. The brand previously operated with nine brands under four UK gambling licenses. These licenses have been returned to the UKGC.
A new strategy for Betsson
This latest strategy from Betsson has been put in place with the aim of increasing efficiency. They are hoping to reallocate their resources in order to grow across other markets. According to reports, there will be no requirement for a write-down of goodwill or trademark as the other eight brands will be retained in the portfolio.
The reason for this consolidation of brands by Betsson comes as a result of major changes in the UK regulatory framework. The requirements set out by the UKGC are not sustainable under the setup for this group in the UK.
No time to waste
As of yesterday, the eight brands in the UK that operate under the returned UK licenses are closed for business. This means that players are unable to make a deposit or place a bet on these sites. It is expected that any deposits will be repaid and customers will be kept informed throughout the process. Any outstanding bets will be paid out as winning bets.
With Betsson making these major changes in the UK, we can’t help but wonder if any other groups will follow suit. With restrictions tightening year on year, many operators are struggling with compliance.