Football Index has announced it’s gone into administration, just as the UK Gambling Commission has suspended its operating license.
Last Friday, the UK Gambling Commission (UKGC) announced its suspension of BetIndex Limited’s operating license under section 118(2) of the Gambling Act 2005 after conducting a review into the operator and its Football Index website.
According to the UKGC, the regulatory body launched its section 116 review into the New Jersey-based firm over concerns of activities being carried out in reliance on its license but failure to adhere to conditions of its license. The Commission also expressed concern that Football Index was not suitable to continue offering its licensed activities.
The statement on the official UK Gambling Commission website reads: “We have made it clear to the operator that as the investigation progresses, we expect it to focus on treating customers fairly and keeping them fully informed of any developments which impact them.
“Football Index can be contacted via their websites, and as part of our review we continue to work closely with colleagues from the Jersey Gambling Commission. The Gambling Commission will not comment any further whilst this investigation is ongoing.”
Meanwhile, Football Index has entered into administration, and the news comes after the website announced a reduction in the dividends it pays. The Football Index website has now shut down and
Operator BetIndex has announced it is looking to restructure, a decision which will allow customers to receive equity. In a statement, BetIndex told FocusGN: “The board of BetIndex Limited has consulted with external legal and financial advisors, and the [British] and Jersey Gambling Commissions. The decision has been made to suspend the platform.
“We are pursuing a restructuring arrangement to be agreed with our stakeholders, including, most importantly, our community. We are preparing this through an administration with insolvency practitioners Begbies Traynor, to seek the best outcome for customers with the goal of continuing the platform in a restructured form.”
It continues: “The board have at all times been seeking the best way to sustain the platform as we believed a recovery was not only possible but also in the best interests of our customers. This decision is deeply regrettable and is the outcome we were seeking to avoid by restructuring dividends.
“However, we believe it is the most responsible route forward for our community given the situation as it has developed.”
As Football Index heads into administration, the gambling website has faced additional losses as the Queen’s Park Rangers and Nottingham Forest football clubs have ended their sponsorship deals with the website, and the Betting and Gaming Council (BGC) has suspended the site’s membership.
Shortly after the operator had its license suspended, the QPR football club announced an end to its sponsorship with the company but have not yet confirmed whether they will sign another sponsorship deal for the remainder of the season.
A QPR spokesperson said in a statement: “As a football club, we entered into a one-year agreement with Football Index in good faith. In light of recent events, the front property of QPR’s home and away strips will no longer sport the Football Index logo.”
The Betting and Gaming Council also issued a statement on the news, confirming the suspension of BetIndex’s BGC membership. The statement, available on the BGC website, reads:
“Following the suspension of their operating license by the Gambling Commission, we are immediately suspending BetIndex Ltd’s membership of the BGC while the details of the case are investigated. As the standards body representing the regulated industry, our top priority is ensuring that the interests of BetIndex Ltd’s customers are protected.”
Meanwhile, it’s been announced today (March 15) that leading gambling operator LeoVegas has acquired sportsbook Expekt Nordics Ltd from the Betclic Group for a whopping €5 million (Around £4.3 million or $6 million).
Under the acquisition, which is expected to finalise in May, LeoVegas takes ownership of Expekt Nordics, which currently holds a Swedish gambling license. The operator will also acquire assets from Betclic, including all rights to the Expekt brand and access to the group’s customer database.
Speaking about the acquisition, LeoVegas Chief Executive Gustaf Hagman told iGamingBusiness: “For those of us who grew up with online gambling in Sweden, Expekt is undeniably one of the pioneers in sports betting. After a few years on the sidelines, we will now restore Expekt to its former glory as the leading sports betting brand.
“We are working resolutely to offer the ultimate mobile sports betting experience, which will entail a number of new innovations and new thinking with a starting point from what a mobile experience can entail for the big years of sport in 2021 and 2022.”
He ended the statement by saying: “This is a milestone for LeoVegas and represents a broadening of our strategy. We look forward to Expekt once again becoming a leading sport brand in Sweden and the Nordic countries.”
LeoVegas has reportedly told investors that the acquisition is part of the operator’s strategic sportsbook expansion as the company aims to diversify its revenues from online casino to sports betting between 2021 and 2022.
The news comes after LeoVegas became the first gambling operator to pass all regulatory approvals and launch its mobile gambling apps on the Google Play Store in Spain, Denmark, and Sweden, allowing Android users within the three countries to play directly via mobile.
Mattias Wedar of LeoVegas commented on the news, saying: “Once again, we have positioned ourselves as leaders in our industry and make it easier for our customers to get a superior mobile product, and this will enhance the customer experience.”