NetEnt Expected Better Results in Q2 [...]
Moldova Hands Over Gambling Monopoly to Two Foreign Operators
- May 9, 2018 By Oliver Young -
Moldova is the latest country to make some changes when it comes to the country’s gambling industry; namely, the Public Property Agency, a state-owned entity that held monopoly over the market, is no longer the only player. According to latest reports, two European gambling companies have been given green light to enter the gambling market in Moldova, creating a public-private partnership with the previously mentioned operator.
Almost two years ago, the Moldovan gambling market was making headlines after authorities organized a crackdown, which resulted in the state-owned monopoly; namely, after the crackdown new laws were passed and all gambling as well as lottery activities could be offered by the Public Property Agency only.
Now, it was revealed that a subsidiary of the well-established Austrian company Novomatic Novo Gaming M Technologies GmbH is the first operator to enter the public-private partnership. The second spot was awarded to NGM SPC Limited, which is in fact a partnership between Market AD, National Lottery AD and NGM SPC Ltd.
Introducing the New Players on the Market
As it was mentioned, Novo Gaming M Technoogies GmbH is a subsidiary of Novomatic. The Austrian company is owned by Johann Graf, a famous billionaire from Austria. Novomatic is present in 45 countries worldwide, while its gambling equipment can be found I more than 70 countries all around the world.
Nevertheless, possibly more interesting is the second foreign company i.e. NGM SPC Limited. Namely, this partnership between three entities includes the National Lottery AD, Bulgaria’s largest gambling operator. In addition to being leader when it comes to scratchcards sales in the country, it is also infamous thanks to its owner Vasil Bozhkov. Known as one of Bulgaria’s richest people, Bozhkov is often mentioned in the media as having links with the mafia.
It should be noted that NGM SPC Limited will be responsible for providing sports betting and lottery services in Moldova.
High Shares of Revenues Will Go to the State-Owned Company
According to reports, the state-owned company will receive high shares of the gambling revenues generated by the two foreign operators. Reportedly, a total of 75% of the lottery revenues generated by the two companies will go to the National Lottery of Moldova.
Additionally, a massive 90% share of sports betting revenues coming from local consumers will also be given to the state-run entity. Admitting that their revenue portion is higher than ones required in other European countries, the operator didn’t have issues to expect 51% of all slots machine revenues either.
It seems that Moldova is following the steps of another European country – Sweden. Earlier this year, it was announced that the country was preparing for new gambling laws that are expected to put end on the Svenska Spel monopoly over the gambling market. Svenska Spel is the state-owned online gambling operator that controlled gambling on Swedish territory.
YOU MIGHT BE ALSO BE INTERESTED IN THESE:
Australian Authority Investigating Illegal Offshore Gambling Sites [...]
Playtech Increases Its Market Presence in Portugal [...]