Kindred Pulls Out of German Market
Kindred Group, owner of Unibet has made the decision to pull out of the German market after market conditions became unsustainable.
A report from SBC cited Kindred are due to withdraw from the German market as of July 1st, 2022. On the same day, the revised Fourth Interstate Treaty on Gambling comes into effect.
Not “Sustainable and Competitive”
Although pulling its flagship brand Unibet from Germany they plan to expand further in North America. The revised Treaty on Gambling won’t be “sustainable and competitive against the unlicensed offering.”
Kindred Group said, “License application procedures, license conditions, and the regulatory environment need to be transparent, sustainable, and finically viable for a market to be sustainable.”
So far, Kindred has been tied up in the licensing process for two years, and during this time the group has shifted strategic direction elsewhere. The lengthy process sees long-term shareholder value as unsustainable, but their decision may change in the future.
“We are dedicating full attention to growing our North American market, achieving greater product control with the Kindred Sportsbook Platform, and the acquisition of Relax Gaming expanding our single platform vision and achieving our journey towards zero.”
Kindred’s decision to pull out of the licensing application bears no significant challenge to the Group as operations within Germany were limited.
Growth in the US States
The expansion of the Group’s sports betting arm in American states will further expand Kindred’s growth. Only last week, Kindred received its operating license in the Netherlands, marking another positive step in its long-term business strategy. Kindred are anticipating a long and fruitful relationship in the jurisdiction after gaining its operating license.
