Parent company Unibet starts 2022 with a drop in profit of 76%

Kindred Group, the parent company of 9 GOK brands, including the well -known Unibet that has been closed to Dutch visitors since October 2021, had a sharp decline in their turnover in the first quarter of 2022. The GOK Operator blames the drop in turnover, around $ 125 million to be precise, to the fact that she had to leave the Dutch Gaming Market at the end of 2021.

Legal Dutch Gaming Market

From 1 October 2021, it was obliged for both Dutch online gambling sites and bookmakers to apply for a permit at the Gaming Authority to become a legal provider in the USA. Kindred Group did apply for a permit for Unibet at the time, but the application was refused because the platform did not meet all the conditions.

Without a permit, it is illegal for a Dutch website to get online gambling games and Sports betting to offer. As a result, Kindred Group was forced to block all Dutch visitors to Unibet, and their other gamble, from 1 October 2021, which was a significant part for them.

An unprecedented blow

The loss of the Dutch market, where Unibet belonged to one of the most visited gambling sites, led to a decrease of 30% in the revenue of the parent company in the first quarter of 2022, and a total drop in profit of 76%. This is an unprecedented blow to Kindred Group, who is normally known for its huge profits through her 9 successful gambling brands.

The CEO of Kindred Group, Henrik Tjärnström, originally indicated that he was not forced to have to block Dutch players from 1 October 2021. According to him, this had to do with the fact that Unibet is an international brand that did not focus exclusively on the Dutch market.

Lay down

Regardless of the disagreement of Tjärnström, the GOK Operator later announced that he would lay down to the decision of the Dutch regulator. All Kindred websites were closed for Dutch players until they received a permit from the KSA for this.

This was probably due to the report from the regulator that the permit application from foreign providers would be immediately rejected if they would continue in the USA.

Kindred now expects to finally be able to receive their permit from the Gaming Authority in the second quarter of 2022 and to be able to go live again in the USA.

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