Ladbrokes Coral owner GVC is set to rebrand as Entain and pull out of all non-regulated gambling markets.
The company’s new chief executive, Shay Segev told the Financial Times marked a new beginning for the business, which previously grew with large acquisitions. The businesses’ key brands, including PartyPoker, Gala, Foxy Bingo and bwin, would remain with the focus on launching in newly-regulated territories like Mexico, Europe and Africa.
“We are looking at building a proper industry in the long term and that means making some sacrifices,” he told the newspaper. “It is very clear that the direction worldwide with the gambling industry is only to focus on regulation.”
GVC’s new approach comes as the UK Gambling Commission, which regulates all online gambling in the UK, is set to turn the screw on online gambling companies to further protect players.
The new name Entain comes into force this week, with the business currently making 96% of its earnings from regulated, or nearly regulated markets. Increased investment in tech to combat problem gambling will cost around £40 million next year, Segev said.
He also has one eye very much on the US, where sports betting is slowly being rolled out across some states. He explained: “We have a big play in the US. We are now live in nine states. We believe by the end of next year we will be in 20 states.”
Entain operates in the US in partnership with BetMGM, and predicts revenues there could hit $20 billion by 2025 – up from just $1.4 billion in 2020.
The business is also expected to invest more heavily in eSports markets.
