Playtech has signed a “major” deal that will see it play a role in the Netherlands’ soon-to-be-launched online gambling market.
The software giant is to expand its work with Dutch state-owned Holland Casino, which has the legal monopoly on the country’s physical gambling space and is set to launch online with betting and gaming products in October.
The FTSE 250 firm, founded by Israeli tech and property billionaire Teddy Sagi back in 1999, said it has “expanded long-term strategic software and services agreement with Holland Casino” and that the move is “a significant strategic step for Playtech and builds on its track record of developing newly regulated online markets”.
As part of the deal, Playtech will build a Live Casino facility next to Holland Casino’s existing locations.
It comes as Playtech, which floated in 2006 and employs more than 6,000 people, also pursues US expansion.
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Chief executive Mor Weizer, said: “This agreement demonstrates the execution of our strategy to continue to work with the leading brands in the most attractive regulated markets globally.”
Holland Casino chief executive, Erwin van Lambaart, said the company has “high ambitions for the new online market” and that “Playtech has the track record and necessary scale to deliver industry leading software, marketing and responsible gambling tools”.
He said: “We look forward to the online market launching in the Netherlands in October 2021 and to a long and successful cooperation with Playtech as we work together to capture this exciting opportunity.”
Analysts at Peel Hunt said the move was “good news from Playtech”.
They said the deal continues a sequence “that diversify its revenue base and demonstrate the advantage of its relatively new, modular, approach to providing its services”.
Shares were up 2.6% on Wednesday morning.
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