Betsson withdraws from $31.44 million Dutch acquisition over regulatory delays

Swedish online gaming giant Betsson AB has scrapped its planned €27.5 million ($31.44 million) acquisition of Dutch firms Holland Gaming Technology Ltd and Holland Power Gaming B.V., citing prolonged regulatory delays by the Netherlands’ gambling authority.

The deal, announced in February 2024, was contingent upon approval from the Kansspelautoriteit (KSA), the Dutch Gambling Authority. However, the regulator did not issue a decision by the agreed long-stop date, prompting Betsson to reverse course.

As the Dutch Gambling Authority failed to make a decision by the agreed deadline, Betsson has chosen to cancel the transaction.

The termination means the Dutch entities will revert to their previous owners. Betsson will be refunded €26.7 million ($30.52 million), minus a break fee. The company said the reversal will not significantly impact the group’s overall financial results.

The acquisition was part of Betsson’s strategy to re-enter the regulated Dutch iGaming market, following its September 2021 exit, which came just before the country's newly regulated market launched. Betsson had originally sought to return by applying for a licence directly, but withdrew that application in July 2023, citing significant delays and a lengthy process.

In an effort to sidestep those regulatory obstacles, Betsson opted to acquire Holland Gaming Technology—already licensed in the Netherlands—and its content supplier, Holland Power Gaming. However, delays from the KSA again derailed those efforts.