With half of the year 2017 already behind our backs, some of the online gambling companies have already published their financial reports for the first two quarters. So did the Isle of Man-based online gambling operator GVC Holdings, which at the beginning of July announced its trading update for the six months ended on June 30th, 2017 along with its quarterly results.
Considering its performance lately, the multinational iGaming group should be praised for its results more than a year after it managed to complete its bwin takeover deal.
The first financial report of GVC Holdings was published in May this year, to reveal a solid increase in the Group’s net gaming revenue (NGR) ahead of its Capital Markets Day. Apart from the NGR, the daily sports wagers and the sports brands also registered an increase. The strong start in the company’s 2017 trading, which was powered by the strong momentum in the operator’s sports betting assets, continued in the second quarter, too.
GVC Holdings published its trading update for the first six months of the current fiscal year at the beginning of July. At this point it became clear that the strong momentum for the company continued, with the Group net gaming revenue and sports brands performance posting another increase.
The Group’s Chief Executive Officer Kenneth Alexander praised the operator’s performance at the time, describing it as “particularly pleasing” considering the fact that the second quarter did not see any major football tournament take place. Mr. Alexander hinted that the company could pursue further acquisition opportunities in case that such arise.
Speaking of acquisitions, the fact that the positive momentum for the Isle of Man-based company continues more than a year after its takeover of the bwin brand was completed. The acquisition was carried out after a fierce takeover battle between GVC Holdings and its rival 888 Holdings for bwin’s assets.
Back in September 2015, bwin.party Digital Entertainment accepted the £1.1-billion takeover offer of GVC Holdings and ended the bidding war between the latter and 888 Holdings. Previously, bwin has considered to ink a deal with GVC’s rival company 888 Holdings, but at the end it joined forces with the Isle of Man-based iGaming operator to see one of the largest and most significant deals in the history of online gambling.
The deal turned out to be beneficial for both parties, as before accepting the acquisition offer, bwin had been struggling with a decline in its results in European regulated poker markets. The deal took place at the beginning of 2016, and has added the bwin.party Digital Entertainment brand to the GVC Holdings product range. The ongoing strategy of the company was aimed at the company improving its market performance by adding the sportsbook product of bwin, which turned out to be quite successful, eventually.
Now, the positive momentum that the company had after the addition of the bwin.party brand has continued throughout GVC Holding’s performance in 2017, with the operator’s shareholders reaping the fruits of the deal one year later.
- Author
Olivia Cole
