GVC hails “significant milestone” as four brands gain German betting licence
Authorities award licences to Ladbrokes, bwin, Sportingbet and Gamebookers subject to increased restrictions placed on German bettors
GVC has been awarded four sports betting licences in the German market with immediate effect.
The licences cover four GVC brands in bwin, Ladbrokes, Sportingbet and Gamebookers, while Tipwin and Gauselmann Group’s Cashpoint brand also received accreditation.
Initial sports betting licence terms include a wagering limit of €1,000 (£900) per month that can be increased to €10,000 (£9,000) subject to certain criteria being met as well as specific loss limits.
This €10,000 limit can be extended even further to €30,000 (£27,000) for 1% of customers who are subject to enhanced due diligence checks.
In addition, all bettors will be subject to deposit limits until customer verification processes are completed, with annual bonuses per customer limited to a maximum of €100.
GVC has also committed to several additional responsibility requirements as part of its licence.
“The award of these licences is great news for GVC, bringing the clarity and certainty that we have long sought for sports betting in Germany,” GVC CEO Shay Segev said, who hailed the licence awards as a “significant milestone”.
“Combined with the recent Tolerance Policy, we can now look confidently to the future, building on our position as a market leader by delivering an unparalleled, innovative experience for our German customers.
“The much-anticipated regulation of online gaming in Germany reinforces GVC’s position as the most globally regulated and responsible operator in our industry,” Segev added.
GVC warned the new licence terms would reduce EBITDA by up to £40m per annum, stretching to £70m for full year 2021.
During last week’s Q3 financial results, GVC CFO Rob Wood claimed that on a contribution basis losses would equate to 30%-35% due to the new restrictions.
Under the new policy and from 15 October, operators must switch off all casino table games including blackjack and roulette until the individual states choose to issue licences under the new Interstate Treaty (IST).
Deposit limits of €1,000 per month must be implemented across poker and slots, while all poker and slot games must be offered in the German language.
From 15 December, operators must enforce a €1 max stake per spin on slot games, while all slot spins are capped at a minimum duration of five seconds.