Paddy Power and Betfair share price hit by Coronavirus

The global Covid-19 pandemic has resulted in unprecedented action being taken in a bid to control and stop the virus from spreading. In order to reduce the number of large gatherings, many sporting events have been cancelled which has had a knock-on effect for many gambling operators.

Sporting fixtures cancelled

So far, we have seen popular and well-known sporting events such as the Grand National, Premier League football, all boxing events, Masters Golf Tournament, Six Nations Rugby, Formula One and the Euro2020 tournaments either cancelled or postponed, just to name a few. The 2020 Olympic Games are also in the balance as nations are taking drastic action in a bid to control the spread of the virus.

With the sheer number of sporting fixtures cancelled, Flutter Entertainment, the group that own Paddy Power and Betfair, have said they expect the cancellation or postponement of these events will reduce their end of year figures by £90-100 million.

The share price of Flutter Entertainment dropped by 20% after they released their financial predictions.

No Coronavirus referencing in marketing materials

Holland has recently seen a rise in unlicensed casinos popping up and encouraging players to sign up to their ‘corona-free’ environment. The Dutch Gambling Authority have taken swift action on these casinos, and as a result, many gambling operators, including Paddy Power and Betfair, have been keen to ensure no partners used the current crises as a marketing tool for the brand or be seen as using the current events in ‘an opportunistic manner’.

Flutter wrote to all partners this week, banning all mention of Coronavirus in marketing materials. They said “Partners are not allowed to reference coronavirus in any marketing materials when promoting PPB (Paddy Power Betfair) brands. We will have zero tolerance on this type of activity and partners will be suspended immediately.”