WEEKFRIDAY 7 MAY 18 2021

ASPIRE GLOBAL CEO Sponsored by EXCLUSIVE: ONLINE GAMING GROWTH WILL NOT SLOW DOWN THIS WEEK • Further acquisitions for AFTER THE PANDEMIC Catena, Better Collective • Bidders for William Hill’s European assets • 100% capacity for Wynn Las Vegas • Caesars and Red Rock report Q1 results

GUEST COLUMNIST: • Farish Lakhani, VP Sales, International, See Also Page 3 Are operators the new Computop suppliers? LeoVegas and Penn National open their own game studios Sponsored by

Aspire Global CEO Tsachi Maimon speaks exclusively to Gambling Insider following the publication of the supplier’s Q1 results, discussing the acquisition of BtoBet, US aspirations and the longevity of the online boom

How much of your revenue growth was due to lockdowns “We believe the tier-one operators in and players staying at home to play? It was a question we asked ourselves in Q2 last year. It was the US will own their own technology. an unknown answer back then – we saw the boom. But then So we’re not intending to aggressively we thought it would normalise in Q3 or maybe Q4. It not approach the tier one, more with the only stayed, it grew from that perspective; so I believe a lot of players that experienced online with different products tier two, three and four operators” decided to stay. This is why I think our products succeeded to grow after normalisation in many countries we are working in. What percentage of the business does BtoBet account for and will that percentage grow long term? Do you see growth eventually slowing down once lockdowns Right now, it’s around 5% and we believe that, with the shift start to end worldwide? of our current operator portfolio and the additional plans we I think it won’t slow. There are two factors that are now have for it, it will be much higher in the medium and long term. accelerating as we see it in Aspire. We have several products we are offering operators. One thing we see is land-based How would you rate your progress in the US given the heavy companies are going online in a much faster way than before. competition for market share in states like New Jersey? Before, they thought about going online; now they see there is We see it from a few perspectives. One, there aren’t a lot of no other way than doing so. companies like Aspire that can sell more than one product. The second reason is it’s like bringing a kid something tasty If you take Evolution, they can sell live dealer and slots. – he doesn’t want to get rid of it. It’s the same for players when If you take Kambi, they sell only sport. If you take any other, they experience better, faster products online with a better they can sell one or two products. Aspire has the ability to return to player. They enjoy more from the same $10 they offer more than one product: its gaming platform, sport, spent offline, so the player will probably remain online. games, aggregation and managed services. So we really Those two reasons will make online grow even faster than before. have high potential for all of them in the US. More than that, we believe the tier-one operators in the How would you summarise progress since the acquisition of US will own their own technology. So we’re not intending to BtoBet and the synergies you’ve tried to achieve so far? aggressively approach the tier one, more with the tier two, We see benefits from two aspects here. Firstly, we’re taking three and four operators to drive long-term relationships. the great BtoBet product and putting it under the Aspire ecosystem. The operators that are already on our platform, How much of your future revenue do you see coming from we’ll shift them to BtoBet, which will achieve synergies the US – can it end up taking over the majority share of the and growth for both BtoBet and Aspire. From the second business? What’s nice in Aspire is more than 90% of our income comes from Europe. Now with BtoBet and the many possibilities we “It’s the same for players when they have, we opened up Africa, Latin America and the US. So I experience better, faster products believe those three will be the main contributors and the US will lead growth in the coming three, four, five years, for sure. online with a better return to player. But let’s not forget Latin America – it’s a huge continent and They enjoy more from the same $10 we already have Betfair and William Hill there; we have also they spent offline, so the player will signed Grupo Televisa, the biggest media house in Mexico. So we think this market has big growth opportunities. probably remain online” Finally, what are your immediate goals and targets for Q2? We cannot, as a public company, guide revenue. But if I talk perspective, which is not less important, Aspire is a strong, about achievements, in Q2 we want to roll out more of the known brand in Europe and BtoBet was less-known in Europe. operators we have signed and are planning to go live with. So with the push of Aspire behind, there is a great opportunity Secondly, one of the most important goals we have this year is for BtoBet to win European sport deals that, before, we were to go live with our own operators on our own sports solution. not able to compete for. Those are the two main things we are addressing in Q2. Sponsored by THIS WEEK IN LEOVEGAS AND PENN NATIONAL NUMBERS FORM OWN GAME STUDIOS Operator LeoVegas has launched Jay Snowden, president & CEO of Penn 64% its own game studio, Blue Guru National, said: “We are incredibly excited Games; the studio will be used to to be launching Penn Game Studios, Year-on-year rise in revenue for Gaming develop new and exclusive games. which is another important step in our Innovation Group Blue Guru Games has been created company’s evolution into the leading for Q1 2021 through a collaboration with the omni-channel provider of retail and LeoVegas Mobile Gaming Group and interactive gaming, sports betting LeoVentures; LeoVegas will own 85% and entertainment. of shares. “We will now have the ability to create Blue Guru Games will be able to exclusive content for our audiences, $1.05bn develop games for LeoVegas’ brands further leverage the Barstool Sports as well as contribute to other game brand and our database of 20 million Gross gaming revenue for Macau in April operators; the company hopes the mychoice customers, and create 2021, a 1% month- studio will be able to produce at least cross-marketing opportunities with on-month increase 20 games in the next two years. our brick and mortar facilities.” LeoVegas CEO, Gustaf Hagman, And again, it’s not as though Penn said: “For a long time we have created or LeoVegas were the first operator to exclusive games with the help of embark upon this journey. A prominent external providers, but now the time example is DraftKings, which acquired is right to take the step to do game SBTech when it became a public company; development entirely on our own. owning its own technology stack had 100% “Drawing from our data and casino always been a priority for the fantasy Capacity now knowledge we will be able to drive sports, sports betting and online allowed for The innovation and create games that gaming giant. Cosmopolitan of Las our customers truly enjoy. These may GI expert Verdict: Aspire Global CEO Vegas, approved by be everything from niche, local games Tsachi Maimon also spoke exclusively the Nevada Gaming Control Board for individual markets to broad to Gambling Insider on this topic. He international games. explained: “I don’t know if operators will The first games created by Blue Guru become suppliers because it’s a long Games are expected to be released journey from a B2C operator to become by the end of 2021. When exclusively a B2B supplier. But I believe operators, 43% speaking to Gambling Insider earlier this their main idea by owning some of the year, Hagman admitted becoming a B2B technology is to save the costs they Year-on-year rise in company could be a possibility for are paying to third parties. So I think revenue for Aspire Global for Q1 2021 the organisation. this is their main agenda. They can also LeoVegas, though, is not the first differentiate themselves with unique operator to take on supplier duties of its content, but this is something we can own. Nor, in fact, is it the first operator offer too through our games studio. stepping into the provider department “What LeoVegas did is not new, also in recent weeks. Betsson are doing it, Unibet and others Roughly 24 hours before LeoVegas’ are doing it already. In the US, I’m talking 3 announcement, Penn National Gaming more about owning the gaming platform Integrated resorts in confirmed a similar move over in the and sport – it’s something we see with Manila are now allowed US. Acquiring HitPoint Studios and DraftKings acquiring SBTech, 888 acquiring to start o ering online LuckPoint, the operator has “accelerated BetBright. We see more and more service for table games and slots (Solaire Resort & in-house game development and companies acquiring. Casino, Resorts World Manila, content creation.” “We want to engage with operators for and Okada Manila) The M&A culminates in the the long term, without thinking if they are establishment of Penn Game Studios, going to acquire their own technology the focused on creating exclusive online day after. We think our strategy will win in casino content for Penn customers. the end.” CATENA MEDIA & BETTER COLLECTIVE ANNOUNCE $83.3m ACQUISITIONS OF LINEUPS.COM & ACTION NETWORK Loss for operator Catena Media has announced it will affiliate $240m on a cash and debt free SJM Holdings for be acquiring 100% of the shares in US basis; however, the company expects to Q1 2021 sports affiliation company Lineups.com, raise its revenue in the US to more than while Better Collective has reached a $100m by 2022. signed agreement to acquire 100% of This year, Action Network is expected the shares in the sports media platform, to reach revenue of $40m, which would Action Network. represent an increase of 100% Lineups.com is an online sports year-over-year. $2.14m betting site which offers users confirmed As the US continues to legalise Net revenue and projected line-ups across US sports, sports betting, the company hopes to for Donaco and player and team information around expand partnerships with big brands like International injuries, performance and trends. DraftKings and FanDuel. Limited for the The affiliation company also specialises Better Collective expects the US three-month in betting analytics, predictions and market to continue growing, with period ending 31 March 2021 tools, and has maintained a strong total sports betting revenue in the US presence in the US. forecasted to be $4bn in 2022 and The total price of the takeover amounts $40bn in 2033. to $39.6m and will be paid in three GI Verdict: The acquisitions signify 34% instalments across a two-year period. the aims of both groups to progress Month-on- An additional contingent payment of as quickly as possible in the rapidly month decline $0.5m will be paid if New York allows growing US, with Catena gaining in revenue for foreigner-only sports betting within three years and a second national sports betting casino operator certain revenue thresholds are met. affiliation site, and Better Collective Paradise Co in Better Collective’s deal with Action making its biggest acquisition in the April 2021 Network, meanwhile, will cost the company’s history. The race is on. Sponsored by

THE WEEK IN QUOTES CAESARS TO SELL WILLIAM HILL’S NON-AMERICAN ASSETS Caesars Entertainment will sell William Caesars’ acquisition of William Hill “Our entire team would like to thank Hill’s non-American assets, with several was initially held up by a court hearing BetConstruct for supporting the most bidders now in the running. after minority shareholder HBK Capital impartial and fairest Awards event in the gaming industry once again. We are The US casino operator acquired the Management raised concerns about honoured to have them as Lead Partner UK bookmaker in a £2.9bn ($3.7bn) disclosures relating to the deal. The firm, and we congratulate them for having the takeover deal last month. William Hill along with fellow US hedge fund GWM integrity to support the event without any US CEO Joe Asher has already departed Asset Management, wrote to the board guarantee of being shortlisted, let the firm as the American business arguing that the terms were not properly alone win an Award.” merges with Caesars’ existing operations. disclosed by the bookmaker. But this potential sale concerns around The deal was agreed in September 1,400 William Hill high street shops 2020, and was last month sanctioned by Julian Perry, Gambling Insider COO on BetConstruct continuing as Lead throughout the UK, and could be worth the court after a delay of almost Partner of the Global Gaming Awards as much as £1.5bn, with the bookmaker’s three weeks. online businesses in the UK and Europe GI Verdict: The unexpected delay also part of the auction. in the acquisition cannot have been Private equity company Apollo Global helpful to either party, but now the “The acquisition of FanHub will provide our Management is reportedly in the driving path has been cleared for the bidding sports, betting and media partners with seat to buy the assets, having attempted war to begin. exciting new content platforms that entirely to buy the whole package in 2020. While Apollo Global Management complement our established data, video and Apollo is also rivaling Entain with a bid is the apparent frontrunner, other firms marketing solutions.” to buy Tabcorp’s Wagering & Media arm may have been weighing up their in Australia. options ever since Caesars announced it Genius Sports CEO Mark Locke after Previously, Caesars said that if William would sell William Hill’s non-US assets. the company agreed to acquire FanHub Hill chose Apollo, it would jeopardise Swedish operator Kindred has often Media Holdings, a provider of free-to-play their existing joint venture. Israeli firm been mentioned in industry whispers, games and engagement solutions Shaked Ventures – the group behind while Shaked Ventures has made its 888 Holdings – is also in the running. intentions clear on a number of occasions. Sponsored by

“I would like to thank Walter for his WYNN RESORTS BECOMES FIRST LAS VEGAS STRIP accomplishments over the course of OPERATOR TO RETURN TO 100% CAPACITY more than 10 years of senior leadership Wynn Resorts has announced that its the Silver State could operate at 80% at IGT. His efforts have made meaningful contributions to the strength of our global two Las Vegas Strip casinos – Wynn capacity starting from May, with leadership. At every stage of his time with and Encore – will return to full capacity, Sisolak hopeful that all casinos will be IGT, Walter successfully engaged teams effective immediately. operating at 100% capacity by 1 June. across multiple regions, built signifi cant The group said it received the green Prior to the announcement, customer relationships, fostered continued light to operate at 100% from the regulators released a memo stating talent development and championed Nevada Gaming Control Board after that full capacity would be linked to innovation throughout his organisation.” reporting that 88% of its employees had the collective efforts of companies to IGT CEO Marca Sala after the company been fully vaccinated against Covid-19. vaccinate their employees. announced the resignation of Walter It becomes the first Vegas Strip Wynn Resorts responded to the Bugno, EVP of new business and operator to return to full capacity memo by making it mandatory for strategic initiatives throughout the state since the Covid-19 employees to either get vaccinated or pandemic caused all casinos to shut provide a weekly negative test down in March 2020. to continue working at the property. “XB Net has unique content, Masks are still required inside Wynn GI Verdict: This is undoubtedly the advanced data and betting tools on casinos, but all distancing requirements positive and indeed exciting news the North American racing, which will and plexiglass dividers will be removed land-based industry has been waiting enhance the enjoyment of many of our from table games and slot machines. for, with Wynn’s actions hopefully set to customers over a packed summer of “Our employees and guests will inspire others in the area to vaccinate racing highlights, beginning with this continue to follow health and safety employees and operate at 100% as month’s Preakness, the second leg in guidelines, including mask compliance, soon as possible. the Triple Crown.” to ensure a safe and comfortable Wynn CEO Matt Maddox has been Tom Ritzema, group trading director at environment for all,” a statement one of the industry’s most vocal Entain, after the company renewed its deal from Wynn read. leaders in the bid to vaccinate with North American horse and greyhound Nevada Governor Steve Sisolak last employees, and it seems his racing provider, XB Net month announced that casinos across efforts have been justified. Sponsored by

TAKING STOCK CAESARS ENTERTAINMENT AND RED ROCK RESORTS ANNOUNCE Q1 2021 RESULTS SHARE PRICES COVER THURSDAY Caesars Entertainment and Red Rock Net revenue was down 21% compared 29 APRIL TO THURSDAY 6 MAY (15.00 GMT) Resorts have announced their results to the same period of 2019. for the first quarter of 2021. Red Rock reported net loss of $107m, Caesars announced net revenue of an improvement compared to a loss of Elys Game Technology $1.7bn, a 259% year-on-year increase $178m for Q1 2020. Adjusted EBITDA 14% 3.90 USD on a GAAP basis. Same-store adjusted was up 111% y-o-y to $157m EBITDA was $548m compared to $410m and also grew 8% compared to the for the same period a year prior. Net loss same period of 2019. for the quarter was $423m versus net Casino revenues were $260m, Aspire Global 1% 70.00 SEK loss of $176m for the comparable compared to $209m in Q1 2020. prior-year period. Room revenues, however, fell to $22m Las Vegas same-store revenues fell versus $40m the same period a year ago. 40% for Q1 to $497m, while adjusted The company operated first-to-reopen EBITDA declined 27%. Caesars’ regional Las Vegas properties Red Rock, Caesars 3% 102.03 USD segment saw same-store revenues Green Valley Ranch, Santa Fe Station, remain flat for the quarter, while Boulder Station, Palace Station and adjusted EBITDA grew 69%. Sunset Station during the first quarter. Caesars CEO Tom Reeg said: “Our first GI Verdict: Tom Reeg’s excitement at quarter results improved significantly the continuously improving situation Red Rock Resorts 0% 37.43 USD versus the fourth quarter of 2020 as the should not be undervalued, given how pace of vaccinations across the country difficult the year has been for the company, accelerated and consumers started to Las Vegas and the industry at large. resume more normal behaviour. “ Not every group, however, was able Red Rock Resorts, meanwhile, to cope with the changes in consumer Wynn Resorts 3% 124.77 USD announced net revenue of $353m, behaviour through the pandemic, but a decline of 7% year-on-year. Red Rock Resorts will still be encouraged. Provided by fantiniresearch.com

MARCH REVENUE REPORT: RI AVERAGE DAILY REVENUE

Fantini Research looks into the average daily revenue in Rhode Island for the 31 days LEGACY CASINO REVENUE (M) ANNUAL operated this year vs. 13 days last year. LEGACY CASINO REVENUE (M) ANNUAL Tiverton (BALY) $348,170 -1.96 LEGACY CASINO REVENUE (M) ANNUAL TivertonTwin River (BALY) (BALY) $348,170$1.127 -1.96-3.67 LEGACY CASINO REVENUE (M) ANNUAL TivertonTwin River (BALY) (BALY) $348,170$1.127 -1.96-3.67 LEGACY CASINO REVENUE (M) ANNUAL TivertonTwin River (BALY) (BALY) $348,170$1.127 -1.96-3.67 SPORTS BETTING REVENUE (M) ANNUAL TivertonTwinSPORTS River BETTING (BALY) (BALY) REV$348,170EN$1.127UE (M) ANNUAL-1.96-3.67 Tiverton (BALY) $20,431 +43.88 TwinSPORTS River BETTING (BALY) REVEN$1.127UE (M) ANNUAL-3.67 TivertonTwin River (BALY) (BALY) $47,486$20,431 +43.88+39.87 SPORTS BETTING REVENUE (M) ANNUAL TivertonTwin River (BALY) (BALY) $20,431$47,486 +43.88+39.87 SPORTS BETTING REVENUE (M) ANNUAL TivertonTwinALL-SOURCES River (BALY) (BALY) $20,431$47,486 PERCENTAGE CHANGE+43.88+39.87 ALL-SOURCES PERCENTAGE2019 CHANGE2020 TivertonTwin River (BALY) (BALY) $20,431$47,486 +43.88+39.87 Tiverton (BALY) $10.793 -5.262019 +133.782020 PERCENTAGE CHANGE TwinALL-SOURCES River (BALY) $47,486 +39.87 TwinTiverton River (BALY) (BALY) $10.793$34.950 -32.64-5.262019 +129.71+133.782020 ALL-SOURCES PERCENTAGE CHANGE TwinTivertonTotal River (BALY) (BALY) $45.743$10.793$34.950 -32.64-27.71-5.262019 +130.66+129.71+133.782020 ALL-SOURCES PERCENTAGE CHANGE TwinTivertonTotal River (BALY) (BALY) $45.743$10.793$34.950 -32.64-27.71-5.262019 +130.66+129.71+133.782020

TwinTivertonTotalSLOTS River (BALY) (BALY) $45.743$10.793$34.950 PERCENTAGE -32.64-27.71-5.26 +130.66+129.71+133.78 CHANGE 2019 2020 TwinTotalSLOTS River (BALY) $45.743$34.950 PERCENTAGE -32.64-27.71 +130.66+129.71 CHANGE Tiverton $9.123 -1.562019 +129.662020 TotalSLOTS $45.743 PERCENTAGE-27.71 +130.66 CHANGE TwinTiverton River $29.199$9.123 -27.43-1.562019 +137.55+129.662020 SLOTS PERCENTAGE CHANGE TwinTivertonTotal RiverSlots $38.322$29.199$9.123 -27.43-22.58-1.562019 +135.63+137.55+129.662020 SLOTS PERCENTAGE CHANGE TwinTivertonTotal RiverSlots $38.322$29.199$9.123 -27.43-22.58-1.562019 +135.63+137.55+129.662020 TwinTivertonTotalTABLE RiverSlots GAMES $38.322$29.199$9.123 PERCENTAGE -27.43-22.58-1.56 +135.63+137.55+129.66 CHANGE PERCENTAGE2019 CHANGE2020 TwinTotalTABLE RiverSlots GAMES $38.322$29.199 -27.43-22.58 +135.63+137.55 Tiverton $1.670 -21.422019 +159.132020 TotalTABLE Slots GAMES $38.322 PERCENTAGE-22.58 +135.63 CHANGE TwinTiverton River $1.670$5.751 -50.65-21.422019 +159.13+96.742020 TABLE GAMES PERCENTAGE CHANGE TwinTivertonTotal RiverTable Games $7.421$1.670$5.751 --50.65-21.42 201946.15 +108.00+159.13+96.742020 TABLE GAMES PERCENTAGE CHANGE TwinTivertonTotal RiverTable Games $7.421$1.670$5.751 --50.65-21.42 201946.15 +108.00+159.13+96.742020 TwinTivertonTotalSPORTS RiverTable BETTING Games $7.421$1.670$5.751 PERCENTAGE--50.65-21.42 46.15 +108.00+159.13 CHANGE+96.74 PARTNERS SPORTS BETTING PERCENTAGE2019 CHANGE2020 PARTNERS TwinTotal RiverTable Games $7.421$5.751 --50.65 46.15 +108.00+96.74 Tiverton $0.633 +55.222019 +243.102020 WMH SPORTS BETTING PERCENTAGE CHANGE PARTNERS Total Table Games $7.421 - 46.15 +108.00 TwinTiverton River $0.633$1.472 +55.22+29.112019 +233.53+243.102020 WMH SPORTS BETTING PERCENTAGE CHANGE PARTNERS Twin River $0.633$1.472 +29.11 +233.53 WMH TivertonOnline $1.871 +55.22 2019 +243.10+766.852020 IGT/ WMH SPORTS BETTING PERCENTAGE CHANGE PARTNERS TwinTivertonTotalOnline River $3.976$1.871$0.633$1.472 +156.82 +55.22+29.11 2019 +372.36+233.53+243.10+766.852020 IGT/ WMH TwinTivertonTotalOnline River $3.976$1.871$0.633$1.472 +156.82 +55.22+29.11 +372.36+233.53+243.10+766.85 IGT/ WMH TwinTotalOnline River $3.976$1.871$1.472 +156.82 +29.11 +372.36+233.53+766.85 IGT/ WMH HANDLE PERCENTAGE CHANGE Total $3.976 +156.82 +372.36 OnlineHANDLE $1.871 PERCENTAGE 2019 +766.85 CHANGE2020 IGT/ WMH Tiverton $3.976$4.603 +7.842019 +221.972020 TotalHANDLE PERCENTAGE+156.82 +372.36 CHANGE TwinTiverton River $12.771$4.603 +7.84-33.882019 +186.69+221.972020 HANDLE PERCENTAGE CHANGE Twin River $12.771$4.603 -33.88 +186.69 TivertonOnline $21.210 +7.842019 +221.97+592.052020 HANDLE PERCENTAGE CHANGE TwinTivertonTotalOnline River $38.584$21.210$12.771$4.603 +63.61 +7.84-33.882019 +331.15+186.69+221.97+592.052020 TwinTivertonTotalOnline River $38.584$21.210$12.771$4.603 +63.61 +7.84-33.88 +331.15+186.69+221.97+592.05 TwinTotalOnline River $38.584$21.210$12.771 +63.61 -33.88 +331.15+186.69+592.05 TotalOnline $38.584$21.210 +63.61 +331.15+592.05 Total $38.584 +63.61 +331.15 LEGACY CASINO REVENUE (M) ANNUAL LEGACY CASINO REVENUE (M) ANNUAL Tiverton (BALY) $348,170 -1.96 Tiverton (BALY) $348,170 -1.96 Twin River (BALY) $1.127 -3.67 Twin River (BALY) $1.127 -3.67

SPORTS BETTING REVENUE (M) ANNUAL SPORTS BETTING REVENUE (M) ANNUAL Tiverton (BALY) $20,431 +43.88 Tiverton (BALY) $20,431 +43.88 Twin River (BALY) $47,486 +39.87 Twin River (BALY) $47,486 +39.87

ALL-SOURCES PERCENTAGE CHANGE ALL-SOURCES 2019PERCENTAGE2020 CHANGE Tiverton (BALY) $10.793 -5.26 2019+133.78 2020 Tiverton (BALY) $10.793 -5.26 +133.78 Twin River (BALY) $34.950 -32.64 +129.71 Twin River (BALY) $34.950 -32.64 +129.71 Total $45.743 -27.71 +130.66 Total $45.743 -27.71 +130.66

SLOTS PERCENTAGE CHANGE SLOTS 2019PERCENTAGE2020 CHANGE Tiverton $9.123 -1.56 2019+129.66 2020 Tiverton $9.123 -1.56 +129.66 Twin River $29.199 -27.43 +137.55 Twin River $29.199 -27.43 +137.55 Total Slots $38.322 -22.58 +135.63 Total Slots $38.322 -22.58 +135.63

TABLE GAMES PERCENTAGE CHANGE TABLE GAMES 2019PERCENTAGE2020 CHANGE Provided by fantiniresearch.com Tiverton $1.670 -21.42 2019+159.13 2020 Tiverton $1.670 -21.42 +159.13 Twin River $5.751 -50.65 +96.74 AVERAGETwin DAILY River REVENUE $5.751 -50.65 +96.74 Total Table Games $7.421 - 46.15 +108.00 Total Table Games $7.421 - 46.15 +108.00

SPORTS BETTING PERCENTAGE CHANGE PARTNERS SPORTS BETTING 2019PERCENTAGE2020 CHANGE PARTNERS Tiverton $0.633 +55.22 2019 +243.10 2020 WMH Tiverton $0.633 +55.22 +243.10 WMH Twin River $1.472 +29.11 +233.53 WMH Twin River $1.472 +29.11 +233.53 WMH Online $1.871 +766.85 IGT/ WMH Online $1.871 +766.85 IGT/ WMH Total $3.976 +156.82 +372.36 Total $3.976 +156.82 +372.36

HANDLE PERCENTAGE CHANGE HANDLE 2019 PERCENTAGE2020 CHANGE Tiverton $4.603 +7.84 2019 +221.97 2020 Tiverton $4.603 +7.84 +221.97 Twin River $12.771 -33.88 +186.69 Twin River $12.771 -33.88 +186.69 Online $21.210 +592.05 Online $21.210 +592.05 Total $38.584 +63.61 +331.15 Total $38.584 +63.61 +331.15 FARISH LAKHANI CREDIT CARDS ARE IMPORTANT VP SALES, Although the use of credit cards is less widespread in Germany INTERNATIONAL, than in the USA or UK, more than half the population owns a VISA, Mastercard, American Express or Diners Club card. COMPUTOP Online gambling is high-risk, so the most important requirement Lakhani assesses the payment will be to find an acquirer that fits the respective gambling or implications of Germany’s new betting offer. gambling rules Gambling providers should look for a payment service provider with a large number of acquirer connections who For lotteries, sports betting can support a flexible choice of card-accepting banks. and online gambling operations in They will also make recommendations for the selection of the Germany, 1 July 2021 is a significant right partner, so customer payments, as well as the distribution date. This is when the new Interstate Treaty of winnings by credit card, run securely and smoothly. on Gambling comes into force, agreed after many differences among the country’s federal states who are responsible for EWALLETS: CONVENIENT FOR MOBILE public safety and order. With the licensing of online gambling providers in Germany, It marks an end to the uncertainty regarding European regulations the opportunity to use eWallets such as PayPal will also and licences, and how different regulations apply across the increase. Often, acceptance by these providers is linked to a German federal states. valid licence in the target country and is subject to a special In practical terms, what it means for organisers of online application procedure. But with product awareness of PayPal gambling is that they will need a registered office in the in Germany over 95%, it is worth the effort for gambling European Economic Area (EEA) and a German licence allowing operators to enable deposits and withdrawals to be carried them to offer their services. Of course, to meet with the crucial out in this way. regulations relating to addiction prevention and money Apple Pay allows deposits and withdrawals from licensed laundering, many requirements will have to be observed. providers and the leading debit card in Germany, girocard, can be integrated, provided it is one of around 45 million cards issued by MANAGING PAYMENTS a savings bank such as Sparkasse. Potentially, from the summer The handling of payments will require gambling operators of 2021, the girocard will also be an option via Apple Pay in to follow new rules. Customers with accounts held with a e-commerce and suitable for digital entertainment offers. gambling company can only credit money from an account While anonymous means of payment, such as prepaid in their own name held by a payment institution. vouchers, will not be permitted, providers like Paysafecard have To facilitate the popular payment method of online bank an e-money licence and maintain customer accounts with a transfer, operators should make options such as Paydirekt, full KYC process. Klarna/Sofort, Trustly and giropay available as part of the payment method mix. These methods also comply with the legal DEPOSIT LIMITS requirements of the Interstate Treaty on Gambling. Finally, the Treaty has imposed a deposit limit and providers Payment by SEPA direct debit, another popular method, must set up a gambling account for each player. A user account will allow the operator to collect the amount from the will be blocked for further deposits as soon as the player has customer’s bank account. invested €1,000 ($1,205 )per month. However, any winnings However, because payment using this method can be withdrawn will not be counted towards the limit. Further amendments by up to eight weeks, risk management and fraud prevention provide that in future it will be impossible for players to log tools will be essential to minimise the risk of chargebacks. on to several platforms at the same time.

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