Search
Choose a style
Dark
Light

Scientific Games to Divest Sports Betting and Lottery Businesses

Scientific Games Corporation has revealed that it intends to divest its sports betting and lottery businesses as part of a strategic review of the business.

The company says that cashing in on those two elements will help address its balance sheet, free up investment capacity, and create an organization with a “materially increased focus on digital markets”.

Ultimately, Scientific Games will move forward with a model comprised of the three units of Gaming, iGaming, and SciPlay and aim to capitalize on increasing convergence of these arms.

Barry Cottle, President and CEO, said that Scientific Games intends the result of this move to be the growth of its digital offerings to be “comparable in size to the land-based gaming business within three years.”

The company is evaluating strategic alternatives to execute the divestitures for sports betting and lottery, including an initial public offering (IPO), a combination with a special purpose acquisition company (SPAC), or a sale or a strategic combination with another business.

Executive Chair Jamie Odell noted: “When I joined the Board in September 2020, I told stakeholders that we were focused on rapidly de-leveraging the balance sheet, unlocking the value of the company’s products and technologies and creating a flexible, nimble company positioned to deliver above-market returns to investors. Today, we have announced major initiatives aimed at achieving each of these key objectives, recognizing significant value in each of the businesses and positioning the company for sustainable growth, all as a result of the dedicated work of our teams.”

Odell added in a statement to investors that Scientific Games’ ultimate goal is “to unlock the tremendous value of each of the individual businesses and to turn Scientific Games into a sustainable growth company with a transformed balance sheet and an enhanced focus on industry-leading content.”

According to Odell, Scientific Games lottery and sports betting businesses will be best positioned for the future as independent businesses with their own capital structures and investment strategies.

In May, Scientific Games reported a year-on-year increase in revenue and declining losses in the first quarter of 2021. Growth in its lottery segment, as well as digital and social gaming, helped to offset a drop in gaming machine sales over the three months to March 31, with group revenue up 0.6 per cent to $729m.

Cottle added: “Our company will be positioned to build great games that define the future of gaming, supported by platforms that power the best operators in the world. We believe these steps will enable us to capitalize on the high growth potential of each of our businesses, including their expanding digital content offerings and platforms, unlocking value for shareholders, customers, and employees. Each of our businesses will be better positioned to partner with their respective customers and to deliver long-term growth and profitability.”

In closing, Scientific Games said there can be no assurances that its exploration of alternatives for its lottery and sports betting businesses will result in any transactions or other actions by the company.

Betsafe Refurbished a 70-Year-Old Slot Machine

Venturing into a different kind of slot-related venture, Betsafe Canada, one of the largest Canadian online slots providers, has taken on an interesting new project.

This time, instead of launching another modern 21st-century online slot game, they’ve gone back in time and got hold of an antique slot machine that was designed and produced in the Golden Era of the 1950s!

What makes this slot game so unique is that not only does it require zero electricity, but it looks and functions nothing like the slot machine you see and play today. In today’s day and age, all you have to do is get your finger on the button labelled “press”. However, back then, if you wanted to play a slot such as the Beromat ‘B’, you had to pull down a handle physically.

A buzzworthy surprise

As soon as Betsafe Canada heard where their new-old Wulff Apparatebau GmbH original slot machine was coming from, they expected nothing less than an adventure. Despite being produced in Germany, after spending years travelling through various cafes, restaurants, casinos, and even homes, the Beromat’s last destination before arriving in the Great North was Croatia.

Tracking it down wasn’t an easy process, but it all seemed worthwhile when they realized they had come across a scarce gem. The Beromat ‘B’ machine was the only slot game at the time that was part of a series, and considering this was the successor to the Beromat, Wulff only made a limited amount.

Bearing in mind its uniqueness and rarity, Betsafe will be extra careful when it comes to the restoration process they have started. Especially considering that one of the first things they came across when dissembling the machine was a beehive (luckily, with no tenants inside).

The magic touch of revival

For a 70-year-old slot machine, you could say that the Beromat is holding up pretty well. Be that as it may, very rarely is something always as good as it looks.

After further analysis of the device, Betsafe noted: “Our main task for this restoration is to refurbish or replace the metal details, some of them are missing, bring life to the aquamarine colour, repaint it, re-dress the reels with new stickers, and very likely also build it a new home using a special type of wood as a big part of it is scuffed away.”

Apart from the exterior, they also aim to get the reels spinning as they did in the 1950s, which will include the replacement of several nuts, bolts, oil, and, of course, elbow grease.

You can follow the entire revival at betsafe.com/ca/blog/.

CGA & Canadian Industry Hails the Passing of Sports Betting Bill C-218

Canada’s sports betting landscape is on the verge of overhaul, and it’s been a long time coming.

Bill C-218, The Safe and Regulated Sports Betting Act, passed without amendment by a vote of 57-20 on June 22 and received Royal Assent a week later on June 29. It will imminently pass into law.

The successful vote will finally allow the Canadian gaming industry to begin working with provincial partners to offer single-event wagering to sports betting fans in a safe, regulated, and profitable environment.

In the week since Bill C-218 passed at third reading in the Senate, the Canadian Gaming Association (CGA), its members, and the Canadian industry at large have welcomed what CGA President & CEO Paul Burns called “a major milestone and achievement” for the Canadian industry.

CGA thanks advocates

Burns added: “The CGA has been working to legalize single-event sports betting for more than 10 years and Bill C-218 benefited from a groundswell of broad stakeholder support from across Canada. The need for regulation, oversight, player protection, and the creation of economic benefits for Canada was understood by everyone involved in the legislative process, which is why the Bill was successfully passed.”

A CGA statement recognized the many government leaders, individuals, and organizations that played a role in the progression of the legislaton. In particular, the association thanked Kevin Waugh, MP for Saskatoon-Grasswood, the Bill’s sponsor in the House; Senator David Wells, the Bill’s sponsor in the Senate; and longtime advocate Brian Masse, MP for Windsor West. It also namechecked the late Gord Brown, MP from Leeds-Grenville-Thousand Islands and Rideau Lakes, who prior to his sudden death was “a tireless champion of single-event sports betting”.

On his part, Waugh called the passing of the bill “a win for Canadian taxpayers, workers, and sports fans.”

Carrie Kormos, Chair of the CGA, added: “The serious and thoughtful consideration of Bill C-218 by Senators and Members of Parliament will dramatically improve the ability to offer sports betting in Canada and provide an important competitive tool for an industry that has been severely impacted by COVID-19 shutdowns.”

Widespread support

Canada has made attempts to pass similar legislation in past years but failed to get over the line. A key difference this time around was not just all-party support for Bill C-218, but approval from a wide range of proponents including major North American sports leagues, Canadian provinces and lottery corporations, the Responsible Gambling Council, Unifor, the Canadian Olympic Committee, and Canadian First Nations.

The legislation has been widely cited by advocates including Burns as imperative to bringing customers and business back to legal avenues from offshore sites and illegal streams, and the size of the opportunity for a widened regulated Canadian sports betting market is thought to be monumental.

Deloitte estimates that Canadians might wager $7 billion initially, with the potential to grow to nearly $28 billion in legal-market wagering within five years. It also predicts a booming impact beyond betting companies, citing potential opportunities everywhere from the IT industry to telecom, media, and secure payment sectors.

Huge opportunity for sportsbooks

Multiple companies have joined the CGA in recent months with one eye on the progress of sports betting in the country, and they can now press ahead with their plans for Canadian operation.

FansUnite CEO Scott Burton said that the approval of the bill “marks a historic milestone in the global gambling industry” and thanked Burns and the CGA for their efforts.

He continued: “The legalization of this bill will provide the Canadian economy access to additional employment
opportunities, tax revenue, and a safe and regulated platform for betting options… This bill’s passing positions FansUnite to play a foundational role in the development of Canadian single sports betting and help shape the Canadian sports betting marketplace.”

 

 

 

 

 

 

 

 

 

 

 

 

Meanwhile, Thomas Rosander, the new CEO of Real Luck Group and Luckbox, emphasized that “Canada and policymakers should be congratulated on reaching a decision that will help provide safe and regulated sports betting for millions of Canadian fans. There is massive interest in wagering on sports and esports and the industry is expected to be worth billions to the nation’s economy.”

PointsBet’s new Chief Commercial Officer in Canada, Nic Sulsky, added that he “could not be more excited to help build something truly special in the greatest country in world…comprised of the world’s most passionate patriotic sports fans.”

Moving forward

The entire Canadian industry is looking ahead eagerly to the opportunities that await, and has been doing so for some time before the bill was ultimately approved. Numerous provinces, including Ontario and British Columbia, have long been preparing for licensing.

British Columbia Lottery Corporation (BCLC), for instance, which has been a vocal supporter of the legislation, said it is gearing up to offer single-event sports bets and bets on racing and fighting on its PlayNow.com platform, noting it will continue to prioritize player health and responsible gaming.

“This is a huge win for PlayNow.com players, and British Columbians overall,” said Lynda Cavanaugh, BCLC’s Interim President and CEO. “We’re excited to soon provide our players these new offerings on PlayNow.com, which is B.C.’s only legal gambling website and delivers important revenue back to the Province of B.C. to support things like healthcare, education and community programs.”

Canada can now finally look forward to new horizons. “There a sense of ‘finally’,” Burns added, per the Toronto Star. “We can now get on with what we’ve wanted to do for so long.”

For sportsbooks, betting operators, and punters in Canada, a world of opportunity awaits.

GSPC: Responding to the Pandemic Challenge

By Gerry Boose

The genesis of the GSPC, a not-for-profit industry association with representation from every jurisdiction across Canada, was a meeting of casino security directors from across the country in 1994 hosted by Loto-Québec. The purpose of the meeting was to develop a network of senior professionals and identify best practices in the fledgling Canadian industry. And there was a particular urgency to do so, as professional travelling cheat teams were determined at the time to take advantage of inexperienced staff. As well, while game integrity systems, policies, and procedures had been well researched and implemented, they were just beginning to be fully tested and challenged in a live environment – creating further opportunities for those seeking unfair advantage.

That network of directors quickly became well established with ongoing communications amongst the membership and an Annual General Meeting (AGM) hosted by the participating jurisdictions on a rotational basis. The breadth and depth of the membership grew over time, with the criteria being expanded to include not only the current leaders in the field but the next generation, as well as corporate members who were partners in ensuring safety, security, and game integrity.

The mandate also grew over time beyond land-based casino gaming, evolving to include conventional lottery ticket systems, video lottery terminal networks, electronic gaming centres, and e-gaming. And the scope of issues being addressed increased with matters such as responsible gaming, anti-money laundering, and cyber security taking greater prominence. A more recent trend has been the broadening of the surveillance mandate from an important element in operational compliance to a leadership role in many gaming organizations.

But with all these emerging issues, there was the opportunity to evolve and respond over time. The COVID-19 pandemic changed that as it was an unprecedented and largely unanticipated threat for which the industry had no experience to draw upon. The industry had already endured SARS and H1N1 outbreaks, but the global COVID-19 crisis was a different magnitude. While epidemic and pandemic risks were often identified in threat assessments, few organizations accurately considered the probability of this global pandemic largely shutting down the casino gaming industry for over a year. There are lessons to be learned there.

Given the uniqueness of these circumstances, it is quite remarkable how well the industry has responded to ensure the continuing safety, security, and integrity of its land-based operations and prepare for a large-scale reopening of business which we hope will take place in the not-too-distant future. To achieve these ends, the GSPC hosted multiple special-purpose meetings and a major educational session at its virtual AGM in 2020. Another special-purpose meeting was held in May.

These meetings provided an opportunity to discuss the development of policies and protocols in support of patrons, employees, and contractors entering the properties, such as ensuring capacity limits are not exceeded, maintaining physical distancing, contact tracing where appropriate, and following applicable public health regulations. Game offerings and floor layouts have also been impacted by the new requirements to ensuring facilities support the objective of keeping people healthy. Environmental systems, barriers, readily available hand sanitizers, and rigorous cleaning and sanitizing programs are essential elements, while signage is required to convey expectations for visitors and staff on the premises. Another key concern has been training regarding all facets of operations. Many employees have been on furlough for a significant period of time and will need to catch up on their return. In addition, the collaborative role of security and surveillance working with facilities management, operations, and regulatory bodies is vital for safe and successful reopenings.

The GSPC is planning on holding a comprehensive debrief of the pandemic and the industry’s recovery at the 2021 AGM this coming November. At that point, we expect to be discussing lessons learned and to have had experience the many anticipated structural changes that will impact clients, staff, the gaming mix, and perhaps the entire entertainment experience for the foreseeable future.

Through this collaboration, sharing of experiences, and identification of best practices, it is anticipated that the security segment of the Canadian gaming industry will deliver its mandate in the most effective and efficient manner possible. This takes on unparalleled importance when responding to an existential threat and doing our part in bringing the industry safely back to life, recognizing the importance that holds for staff, clients, our organizations, and the economy. This is, of course, being done against a backdrop of significant financial pressures. Revenues have been devastated and the future remains uncertain. With that, there is no better time for collaboration to ensure we are not reinventing the wheel when the solution already lies out there.

 
Gerry Boose is Executive Director of the Gaming Security Professionals of Canada (GSPC). You can learn more about the GSPC at https://gspc.ca/. You can contact the author at [email protected]

Anticipating the Effects of 2021’s AML Changes

By Jean-François Lefebvre

Sixteen months into the pandemic and finally some hope emerges for life going back to a new normal amid the challenges posed by COVID-19.

Happily, jurisdictions that offer iGaming activities have seen a spike in the level of play by their online patrons. What will the next months look like in the gaming industry? If there are still lots of uncertainties, one thing remains for sure: the new AML requirements  that came into force on June 1, 2021 bring new challenges for casino organizations.

Indeed, since FINTRAC was created back in 2000, there may have never been so many new requirements implemented on one specific day. What does this mean for land-based casinos and iGaming? There’s certainly food for thought for the road ahead.

On November 16, 2020, FINTRAC issued its Notice on forthcoming regulatory amendments and flexibility (the “Notice”), stating that it “understands that many may face challenges in meeting these new and changing obligations because of pandemic-related stresses on their businesses”. For context, the Notice was meant to give further guidance on the expectations of the federal agency towards Reporting Entities, including casinos. On January 22, 2021, FINTRAC’s Implementation of Regulatory Amendments was posted on its website and included a roll-out plan.

Despite the new requirements coming into effect on June 1, 2021, the application of some of these new obligations, mostly reporting, is postponed to either March 1, 2023 for new Large Cash Transactions (“LCTRs”) and Suspicious Transactions (“STRs”) reporting forms, and March 1, 2024 for new Casino Disbursements (“CDRs”) and Electronic Funds Transfers (“EFTRs”) reporting forms.

To say the least, the road ahead will remain bumpy and drawn out for many Canadian organizations trying to comply with the new regulations.

In short, both FINTRAC and Canadian organizations will benefit from an extension of the implementation period. Despite the notices mentioned above, there has been confusion about what would be applicable in June and what would be postponed. Casino organizations are expected to be compliant with many new record-keeping obligations by now. FINTRAC mentioned in its Notice that the flexibility measures would apply to certain new record-keeping and reporting requirements. For instance, application of the new 24-hour rule is postponed and casino organizations are expected to continue using the current 24-hour rule up to March 1, 2023 for LCTRs and March 1, 2024 for CDRs (and EFTRs).

To complicate things even further, as of June 2021, casino organizations must be compliant with the changes in reporting international EFTs of $10,000 or more. The reporting rule was changed, requiring the first entity to “touch” the outgoing electronic funds transfer to be responsible for reporting it; previously, reporting it was the responsibility of the last entity to touch the EFT before it went out of Canada. In other words, prior to June of this year, if a client of Casino A wanted to wire $10,000 to his account in the U.S. and Casino A went to Bank B to request such a wire transfer, Bank B would have had to file an EFTR with FINTRAC. As of June 1, it is Casino A’s responsibility to file this report. Although historically not a lot of EFTRs have been filed by Canadian casinos, this change will certainly have an impact for those who are involved in such transactions.

Another tricky area in the Notice pertains to the application of reasonable measures to obtain reporting information that is marked as non-mandatory in LCTRs, EFTRs, STRs, and CDRs.

FINTRAC stated it would “be flexible when:

  • Assessing whether a [casino] reporting entity took reasonable measures to obtain non-mandatory information, and
  • Assessing whether non-mandatory information related to certain fields in the amended Schedules were reported and kept in a record, as long as three criteria were met: Information related to fields that are not marked with an asterisk (“*”) in the amended Schedules [the new reporting forms that will be available either in March 2023 or 2024], information that cannot be entered into the current reporting forms, and information that does not have a corresponding record keeping obligation in the amended Regulations.”

In other words, casino organizations must ensure to collect the information for the fields in the new reporting forms that are mandatory and for the non-mandatory fields that do not meet these three criteria.

In assessing whether reasonable measures were taken, FINTRAC will verify what measures were established in the compliance policies and procedures of the casino organizations and then check if these were in fact taken when trying to obtain the required information. Also, the federal agency made it clear that once a piece of information is available, either on paper or in an electronic format, it must be included in the reporting forms, no matter if it is a mandatory field or not. In fact, once it is available, a non-mandatory piece of information becomes mandatory for reporting purposes.

FINTRAC issued new guidance over the last few months. These should be helpful in better understanding the expectations regarding the new requirements. There will be more to come over the next three years as FINTRAC rolls out its new reporting forms, including consultation periods, development of batch specifications, and implementation of these by casino organizations followed by a certification period.

As mentioned earlier, many regulations changes have an impact on casino organizations. To mention a few, casino organizations must comply with new obligations such as:

  • Receipt of funds record for $3,000 and above and the obligation to identify the patron
  • Politically Exposed Persons and Head of International Organizations determination (for account holders or for some prescribed transactions of $100 000 or more)
  • Virtual Currency reporting, record-keeping, and patron-identification requirements
  • New information required for CDRs and STRs, such as the type of device used by the patron who makes the request online, the number that identifies the device, the username, the Internet Protocol (IP) address used by the device, and date and time of the online session in which the request is made.

That said, considering the business model of most casino organizations, certain new requirements will have less impact, as they will rarely, if at all, be applicable.

Now, knowing this whole context, how will FINTRAC assess these new requirements? Will it conduct compliance examinations on new requirements starting in June 2021?

The short answer is no. In a recent meeting held by FINTRAC, it was made clear that the emphasis up to April 1, 2022 will remain on the requirements in force before June 1, 2021. One may think this gives extra time to comply with the new rules, which is partly true. However, it should also be seen as an opportunity to address any non-compliance with current rules as this extension also means that FINTRAC will keep looking at the “old” requirements until next year. Observations on the new requirements could also be made by FINTRAC during this period (June 1, 2021 – March 31, 2022) but these will not be formal recommendations for which a penalty may be considered.

These new requirements will mean additional training is required at different levels of the organization. Both land-based and iGaming activities will most likely require more resources to comply with these new obligations and there will certainly be a learning curve for all counterparts, including FINTRAC. The extra time given to casino organizations should not be seen as a break in implementing the new requirements over the coming years but rather as an opportunity to develop better policies, procedures, processes, and controls in order to maintain a high level of compliance.

Jean-François Lefebvre is an Anti-Money Laundering Expert who has been advising clients in the gaming industry for over 17 years. He has gained an extended knowledge of AML Compliance and best practices within the industry. His in-depth expertise allows him to give highly valuable practical advice. He can be reached at (514) 608-0684 or [email protected].

B.C. Casinos & Community Gaming Centres to Reopen from Canada Day

It has been 16 months since any casinos in British Columbia have been open to the public, but land-based gaming is about to be back on the table.

The province is set to move into Step 3 of its reopening plan on July 1, when most remaining restrictions will be lifted. That date had hinged on 70 per cent of British Columbians being vaccinated with a first dose. As of June 23, 77 per cent of adults in the province had received their first shot.

As a result, the imminent move to Step 3 means casinos will be allowed to reopen with limited capacity for the first time since March 2020.

Great Canadian Gaming Corporation is one operator looking forward to reopening numerous properties, including River Rock Casino Resort, Hard Rock Casino Vancouver, Elements Casino Victoria, Elements Casino Surrey, Casino Nanaimo, Elements Casino Chilliwack, Hastings Racecourse, Chances Maple Ridge, and Chances Dawson Creek.

“This is another exciting development for Great Canadian and our recovery from the impact of the pandemic,” stated Terrance Doyle, the company’s Interim Chief Executive Officer. “Importantly, these reopenings mean over 1,000 of our team members returning to work and generating revenue for the Province and our communities. With the reopening of our properties in Ontario on the horizon, we are poised to begin rebuilding our business.”

Gateway Casinos & Entertainment is also finally able to reopen all of its B.C. properties.

CEO Tony Santo said the company is excited to relaunch gaming and welcome back its employees and customers into “a very safe environment for gaming and dining.”

“As always, the health and safety of our employees and customers are paramount,” he added. “We look forward to a safe and steady restart and the return to full operations as soon as possible.”

Another venue that is reopening on Canada Day is Parq Vancouver, which like many casinos has taken the time during shutdown to revamp its gaming floors and offerings. Parq will also unveil KOI and Luna, two exclusive, full-service gaming salons complete with chef-prepared menu.

A safe return

Meanwhile, British Columbia Lottery Corporation (BCLC) says players will be able to safely connect in person with GameSense Advisors, BCLC’s player-health specialists, as they return to casinos and community gaming centres. In addition, GameSense Information Centres have been reconfigured to support the health and wellbeing of players and employees through decreased capacity and physical barriers, such as plexiglass, where required.

“Our GameSense Advisors are eager to be back on site after more than a year, to reconnect with players and support healthy play,” says Dr. Jamie Wiebe, BCLC’s Director of Player Health. “GameSense Advisors are excellent listeners and whether players stop by the GameSense Information Centre to chat about their day, how the games work, or odds of winning, we know that these interactions result in players feeling more informed and connected to available resources, and further support if needed.”

When facilities reopen, BCLC notes that players will see changes to support a careful and safe restart, including:

  • At least two metres of space between table games, slot machines and other gambling equipment to support physical distancing.
  • Physical barriers (such as plexi-glass) where physical distancing is not possible or where casino employees, such as dealers or cash-cage staff, must interact with players.
  • Reduced occupancy to as many players as there are active seats available on the gaming floor, in combination with occupancy for amenities such as restaurants and lounges.
  • Adjusted availability of table games to those in which cards can be dealt face up; players will not be permitted to touch cards which the exception of Squeeze Baccarat, which utilizes one-time use cards.
  • In addition, casino staff will be required to complete detailed training about enhanced health and safety protocols, and will continue to monitor capacity and other facility standards, including air quality.

“Players will notice that they look a little bit different than they did more than a year ago,” said BCLC’s Lara Gerrits. “There’ll be things like spacing between table games and slot machines; there’ll be new physical barriers – plexiglass – where physical distancing is not possible; capacity will be limited to about 65 per cent of active gaming seats … There won’t be congregation of people allowed to occur when we do reopen.”

Boosting British Columbia

Whenever reopening does materialize, it will be a huge boost for not only the gaming industry in B.C., but the entire province.

Private-sector casino service providers operate gambling facilities under contract with BCLC and directly employ approximately 10,000 British Columbians. In 2019-20, casinos and community gaming centres generated $929 million of the $1.3 billion in net income that BCLC delivered to the province to support investments in healthcare and education, community programs and First Nations.

In addition, host communities of casinos and community gaming centres receive a 10 per cent share of net gaming revenue generated by gambling facilities within their jurisdiction when they are operating, and B.C First Nations share in seven per cent of total net gaming revenue collected annually throughout the province.

Scientific Games Launches AGS’s Canadian Debut via Loto-Québec

Scientific Games and Loto-Québec have extended their partnership by launching prominent gambling brand AGS’s Canadian debut via SciGames’ OpenGaming platform.

AGS is a Las Vegas-headquartered gaming equipment supplier that provides cabinets, games, proprietary table games, and other equipment.

It is now bringing its interactive department’s online social and iGaming offerings to Canadian consumers.

Scientific Games’ OpenGaming System will have access to 3,000 gaming titles from the industry’s leading third-party providers as well as Scientific Games’ in-house games.

The first AGS title available via Loto-Québec will be Rakin’ Bacon!, a fantasy pig-themed game which features the golden pig in a coin-filled room and offers cartoon-like animations for players, with the inclusion of responsible gaming tools that ensures player safety.

Executive Vice President of Operation at AGS, Matt Reback, said: “Launching in Canada is the next step for AGS and our aim to bring our content to the widest audience and we are thrilled to have Rakin’ Bacon as the first title to go live with Loto-Québec and we are looking forward to seeing our games resonate with Canadian players.”

Stéphane Martel, Acting Senior Director, Products and Innovation at Loto-Québec, described the agreement as another great example of the crown corporation’s successful relationship with Scientific Games.

Commercial Director for Canada and Latin America Digital at Scientific Games, Marc Crean, welcomed its newest partner in the face of AGS to the company’s Open Gaming system and in the country. He predicted the supplier’s content will be a “massive success” among Loto-Québec’s users.

This is the latest expansion move from Scientific Games. In recent weeks, the company has also acquired sports betting player engagement specialist SportCast, agreed a multi-year deal to exclusively distribute titles from developer Pixiu Gaming in North America, and launched Novomatic Interactive division Greentube in Canada via a partnership with the British Columbia Lottery Corporation (BCLC).

PointsBet Appoints New CCO in Canada with Eyes on Sports Betting Expansion

Sportsbook operator and recent Canadian Gaming Associaton (CGA) member PointsBet has appointed former Monkey Knife Fight president Nic Sulsky as its new chief commercial officer for its Canadian operations.

The appointment is PointsBet’s first senior hire in Canada and marks the first step towards building a Canadian leadership team for its potential expansion into the country.

PointsBet has designs on launching its sports betting services in Canada as legislation to potentially legalize single-event sports betting in the country continues to progress in the Senate.

“Now that the legalization of single-game sports betting is close to final approval by the federal government, I’m looking forward to launching a truly Canadian platform that will not only provide good jobs in an exciting industry, but also offer Canadian fans an entertaining and engaging experience like no other,” said Sulsky in a release.

Sulsky also separately told Canadian Gaming Business that the opportunity to replicate the model and success PointsBet has had in the U.S. “really excited me.”

“We’re replicating the same structure and philosophy to build the best-in-class business in Canada, hiring best-in-class Canadians based on top of an incredible technology stamp,” he explained to CGB. “What excites me is taking PointsBet’s best-in-class product and marrying that with their mature gaming experience in Australia and their success in America. That’s the sweet spot I think PointsBet Canada is starting out with, and the reality of what I think a truly identifiably Canadian gaming operation can become. That’s really why I got so excited about PointsBet. Aiming as we are at the Canadian sports fan and the Canadian sports bettor, I believe there are specific philosophical tactics that can be unveiled in this country that will give us a high level of success.”

RELATED: Sports Betting Bill C-218 Progresses to Senate Committee on Banking, Trade & Commerce

Sulsky is a gaming industry veteran and a Toronto native. His former company, Monkey Knife Fight, is the third-largest daily fantasy sports operator in the United States and was acquired by Bally’s Corporation in January. Before leading that company, Sulsky co-founded InGamer, an in-game fantasy platform that launched in 2010 in partnership with CBC’s Hockey Night in Canada.

PointsBet U.S. chief executive Johnny Aitken added: “PointsBet is excited to welcome Nic to the team, adding strong talent that knows how to build first-class gaming brands while possessing a deep understanding of the Canadian landscape.

“With legislation now before the Canadian Senate, our hope is that this will be the first of many Canadian hires as we work to ensure our Canadian leadership team both understands and reflects the unique characteristics of the Canadian sports environment and its millions of loyal fans.”

Founded in Australia in 2015, PointsBet is a corporate bookmaker with operations in Australia and the United States that offers a scalable cloud-based platform and innovative sports wagering products.

The best possible solution: How Nuvei is preparing for Canadian success

By Tom Nightingale

Payment technology provider Nuvei is gearing up to have a leading presence in the Canadian iGaming market.

“We’re very excited about Canada,” says Neil Erlick, the company’s chief corporate development officer. “We think we have a solution that’s unmatched in the industry not only from a technology standpoint but from the relationships and the experience we have.”

The Montreal-headquartered company has long established itself as a leading electronic payment processing company in numerous fields, providing a single payment platform integration and operating across omni-channel and e-commerce markets.

North American gaming – the new frontier

A particular area of focus for the company is iGaming at a time when significant progress is being made in the Canadian and American online gaming and sports betting markets.

That has been reflected by Nuvei joining both the Canadian Gaming Association (CGA) and the American Gaming Association (AGA) in recent months. Erlick sits on the AGA’s board of directors.

Nuvei’s gaming offer is simple: a leading iGaming payment solution provider which helps operators maximize conversions, improve acceptance rates, and enhance security, all through a single proprietary platform. The company comes with vast knowledge of the evolving regulatory and compliance landscape.

Though Nuvei’s work spans far more than gaming, it is steeped in history in the regulated industry. “We’ve been processing regulated gaming transactions around the world for close to 15 years,” notes Erlick. These days, it is one of the largest processing companies for gaming around the world, operating in over 200 markets with 470 different payment methods in nearly 150 currencies and 40 cryptocurrencies. “The beauty is that it’s all available through our single platform and a single integration,” explains Erlick. He adds that gaming fits nicely with the core pillars of what Nuvei looks for in its verticals: longevity, tailwinds with inherent growth, and the propensity to operate globally.

While North America is comparatively new when it comes to regulated iGaming, Erlick notes the company’s expanded operations on the continent is an extension of how Nuvei has been operating for close to two decades. “Not only do we have the relationships with all of the top operators, we also have the integrations with the operators, and we’ve gained their trust by working with them for so long.”

Key to Nuvei’s work and success has been understanding consumer behaviour and how the customer wants to pay, as well as giving operators flexibility in payments. “We try and ensure that when a customer comes to a gaming operator’s website, we give them the ability to pay and get paid in a very safe and timely environment. However they want to pay they’re able to; however they want to get paid they’re able to.”

A banner year

The Montreal-based company is Canada’s largest private and non-bank payment processor and shattered records as the country’s largest-ever tech IPO in the second half of 2020. Part of that stock popularity has been the growing amount of business that consumers and customers are doing online instead of in-person, a trend accelerated by the pandemic.

“We didn’t see some of the COVID-19 bumps that you hear a lot of people talking about,” acknowledges Erlick. “Primarily, that goes back to the verticals that we operate in and their inherent growth, the tailwinds, the global operation. What we think COVID-19 did is increase the total market and accelerate the growth, and we don’t anticipate a falloff from that.”

Erlick notes that Nuvei had a “fantastic” year financially, growing its business from the existing merchant base, expanding into new markets, and adding double-digit growth through net new sales. The company is confident that with the North American market booming, it will continue to grow year over year. “We’re proud of what we’ve done and what we’re building,” Erlick emphasizes.

As well as joining the CGA and AGA, another major announcement came in recent weeks: Nuvei’s acquisition of fellow CGA member Mazooma in a deal expected to close in Q2 of 2021. The specialist account-to-account payments provider is integrated with most of the gaming, online gaming, and sports betting platforms in the U.S. “We’re very excited,” says Erlick. “They have phenomenal technology and they’re the leading account-to-account payment provider in the U.S. with agreements and relationships with pretty much all the top operators. It just fits so well with our strategy to grow our gaming business in North America.”

Pushing ahead in Canada

Outside of gaming, Nuvei has a big business in Canada. But the momentum for iGaming and single-event sports betting growth has the company particularly excited for the market.

Joining the CGA made perfect sense for Nuvei, and Erlick hopes it will be a symbiotic relationship that can help the Canadian market flourish down the line.

“We have experience with regulators in the U.S. and we’re making sure we help educate the Canadian provinces in what they should be looking for. Hopefully, we can bring the expertise we have in processing regulated and share it with the CGA and its members. We also want to make sure we’re at the forefront of working with the groups that are so well-respected in the industry. It was a no-brainer for us to join the CGA; we want to be associated with these groups and gain some of that knowledge back, to work with people at the forefront of regulatory and compliance changes. We’re very excited and I think it will be a great partnership. It fits well with where we want to be.”

In Canadian digital gaming, the lottery corporations have been the only regulated avenue. But Erlick notes that Nuvei already has the foothold to thrive as and when the market opens. “A lot of the operators today are already our clients, and some of them are already in the process of establishing their operations and their offices in preparation.”

Erlick stresses that Nuvei has been focusing on building the framework so that when things are approved in Canada, “we just press a button and enable our operators to go live.” That has entailed preparing different deposit types, acquiring banks, liaising with the province of Ontario in particular – all the infrastructure needed to ensure that as soon as an operator is licensed and starts processing, there’s no work for them to do. “We believe very much in the Canadian market so we’re taking all these steps to ensure we’re ready when it gets opened up to outside operators and that we can simply ‘turn on’ Canada,” Erlick adds. “We’re taking a ‘crawl-walk-run’ approach to the Canadian market. We want to make sure that when we come to market, we come with the best possible solution. We know we only get one shot.”

Follow Nuvei on Facebook | Twitter | Instagram | LinkedIn

The best possible solution: How Nuvei is preparing for Canadian success

Payment technology provider Nuvei is gearing up to have a leading presence in the Canadian iGaming market.

“We’re very excited about Canada,” says Neil Erlick, the company’s chief corporate development officer. “We think we have a solution that’s unmatched in the industry not only from a technology standpoint but from the relationships and the experience we have.”

The Montreal-headquartered company has long established itself as a leading electronic payment processing company in numerous fields, providing a single payment platform integration and operating across omni-channel and e-commerce markets.

North American gaming – the new frontier

A particular area of focus for the company is iGaming at a time when significant progress is being made in the Canadian and American online gaming and sports betting markets.

That has been reflected by Nuvei joining both the Canadian Gaming Association (CGA) and the American Gaming Association (AGA) in recent months. Erlick sits on the AGA’s board of directors.

Nuvei’s gaming offer is simple: a leading iGaming payment solution provider which helps operators maximize conversions, improve acceptance rates, and enhance security, all through a single proprietary platform. The company comes with vast knowledge of the evolving regulatory and compliance landscape.

Though Nuvei’s work spans far more than gaming, it is steeped in history in the regulated industry. “We’ve been processing regulated gaming transactions around the world for close to 15 years,” notes Erlick. These days, it is one of the largest processing companies for gaming around the world, operating in over 200 markets with 470 different payment methods in nearly 150 currencies and 40 cryptocurrencies. “The beauty is that it’s all available through our single platform and a single integration,” explains Erlick. He adds that gaming fits nicely with the core pillars of what Nuvei looks for in its verticals: longevity, tailwinds with inherent growth, and the propensity to operate globally.

While North America is comparatively new when it comes to regulated iGaming, Erlick notes the company’s expanded operations on the continent is an extension of how Nuvei has been operating for close to two decades. “Not only do we have the relationships with all of the top operators, we also have the integrations with the operators, and we’ve gained their trust by working with them for so long.”

Key to Nuvei’s work and success has been understanding consumer behaviour and how the customer wants to pay, as well as giving operators flexibility in payments. “We try and ensure that when a customer comes to a gaming operator’s website, we give them the ability to pay and get paid in a very safe and timely environment. However they want to pay they’re able to; however they want to get paid they’re able to.”

A banner year

The Montreal-based company is Canada’s largest private and non-bank payment processor and shattered records as the country’s largest-ever tech IPO in the second half of 2020. Part of that stock popularity has been the growing amount of business that consumers and customers are doing online instead of in-person, a trend accelerated by the pandemic.

“We didn’t see some of the COVID-19 bumps that you hear a lot of people talking about,” acknowledges Erlick. “Primarily, that goes back to the verticals that we operate in and their inherent growth, the tailwinds, the global operation. What we think COVID-19 did is increase the total market and accelerate the growth, and we don’t anticipate a falloff from that.”

Erlick notes that Nuvei had a “fantastic” year financially, growing its business from the existing merchant base, expanding into new markets, and adding double-digit growth through net new sales. The company is confident that with the North American market booming, it will continue to grow year over year. “We’re proud of what we’ve done and what we’re building,” Erlick emphasizes.

As well as joining the CGA and AGA, another major announcement came in recent weeks: Nuvei’s acquisition of fellow CGA member Mazooma in a deal expected to close in Q2 of 2021. The specialist account-to-account payments provider is integrated with most of the gaming, online gaming, and sports betting platforms in the U.S. “We’re very excited,” says Erlick. “They have phenomenal technology and they’re the leading account-to-account payment provider in the U.S. with agreements and relationships with pretty much all the top operators. It just fits so well with our strategy to grow our gaming business in North America.”

Pushing ahead in Canada

Outside of gaming, Nuvei has a big business in Canada. But the momentum for iGaming and single-event sports betting growth has the company particularly excited for the market.

Joining the CGA made perfect sense for Nuvei, and Erlick hopes it will be a symbiotic relationship that can help the Canadian market flourish down the line.

“We have experience with regulators in the U.S. and we’re making sure we help educate the Canadian provinces in what they should be looking for. Hopefully, we can bring the expertise we have in processing regulated and share it with the CGA and its members. We also want to make sure we’re at the forefront of working with the groups that are so well-respected in the industry. It was a no-brainer for us to join the CGA; we want to be associated with these groups and gain some of that knowledge back, to work with people at the forefront of regulatory and compliance changes. We’re very excited and I think it will be a great partnership. It fits well with where we want to be.”

In Canadian digital gaming, the lottery corporations have been the only regulated avenue. But Erlick notes that Nuvei already has the foothold to thrive as and when the market opens. “A lot of the operators today are already our clients, and some of them are already in the process of establishing their operations and their offices in preparation.”

Erlick stresses that Nuvei has been focusing on building the framework so that when things are approved in Canada, “we just press a button and enable our operators to go live.” That has entailed preparing different deposit types, acquiring banks, liaising with the province of Ontario in particular – all the infrastructure needed to ensure that as soon as an operator is licensed and starts processing, there’s no work for them to do. “We believe very much in the Canadian market so we’re taking all these steps to ensure we’re ready when it gets opened up to outside operators and that we can simply ‘turn on’ Canada,” Erlick adds. “We’re taking a ‘crawl-walk-run’ approach to the Canadian market. We want to make sure that when we come to market, we come with the best possible solution. We know we only get one shot.”