Playtech, a prominent gambling technology provider, is reportedly exploring the sale of its German-focused sports betting operator, Happybet. Industry insiders have indicated that the company has enlisted the services of London-based Oakvale Capital to oversee the potential transaction.
Happybet, which operates over 100 betting shops across Germany and Austria alongside an online platform, has faced ongoing financial struggles despite efforts to strengthen its position in the market. In 2021, Playtech’s Snaitech integrated Happybet into its operations, enhancing the brand’s technological infrastructure and upgrading its offerings. However, these measures failed to turn the business profitable.
In light of its continued losses, Playtech announced plans to close Happybet’s Austrian operations in the second half of 2024. According to sources, the brand’s gross gaming revenue (GGR) has steadily declined. Online GGR dropped from €2.8 million in 2022 to €2.4 million in 2023, while retail GGR fell from €21 million to €18.6 million during the same period. Active user accounts also saw a sharp decrease, from 3,944 in 2022 to 2,941 in 2023.
Operational challenges persisted into 2024, with Happybet’s adjusted EBITDA losses reaching €6.6 million in the first half of the year, a slight increase from €6.1 million in H1 2023. These figures include a €2 million provision for the anticipated closure of its Austrian business.
.png){kind=logo}
