Scientific Game

Conference highlights legal constraints in EU-Asia acquisitions

Wednesday, 14 March 2018 06:46
Visit us

The future of the acquisitions market between Europe and Asian iGaming companies shows a two-face dynamic, with legal and cultural hurdles presenting a challenge but clear evidence of mutual interest, according to the CEO of iGaming-focused investment firm GlodBlue, Rune Löderup.

“European operators see more difficult to grow in Europe,” Löderup said at iGaming Asia Congress on Tuesday, adding that the highly competitive European market has led many to search for acquisitions in Asia.

However, the huge gap between the legal frameworks of European countries and those in the different Asian countries often discourages operators, especially for listed companies who are conditioned to operate under higher levels of transparency not typically associated with Asia.

An exception to that rule is Japan, which Löderup said is considered the most attractive option for acquisitions from European companies. The similarities in Japan’s legal framework and the proximity of business practices, together with a huge potential in the iGaming market, make Japan the most appealing country in the region for European enterprises exploring acquisition possibilities in the sector.

Löderup said that European companies immersed in acquisitions in Asia must pay especial attention to the cultural gap between parties and how to undertake the process of structural integration harmoniously. He remarked that a careless integration could turn into a traumatic process with risks impacting staff and operations.

On the other hand, the trend of regional companies acquiring European ones has been more fruitful, as Asian companies – especially those from China – find that European firms match common strategy need to “derisk and diversify” their core activities.

What's new

VIDEO: Week in Review

VIDEO: Week in Review Inside Asian Gaming takes a look back at the biggest stories of the past week. Friday, 22 June 2018 07:06

Melco hosts workshop on Occupational Safety and Health Management for SMEs

Melco hosts workshop on Occupational Safety and Health Management for SMEs Melco Resorts & Entertainment Limited has conducted a workshop in which it shared with local SMEs the latest trends in Occupational Safety & Health Management Certification and Melco’s experience and expertise in the matter. The workshop attracted SME representatives from various industr... Friday, 22 June 2018 06:55

SJM grants Ina Chan 3 million ordinary shares

SJM grants Ina Chan 3 million ordinary shares Ina Chan, a newly appointed executive director at SJM Holdings and third wife of former Chairman Stanley Ho, has been granted share options totaling 3 million ordinary shares, the company has announced. The shares have an exercise price of HK$10.26 per share. Dr Chan was voted to the board at SJM... Friday, 22 June 2018 06:51

Korea’s foreigner-only casino turnover down 5.4% in 2017

Korea’s foreigner-only casino turnover down 5.4% in 2017 Korea’s foreigner-only casinos saw turnover fall 5.4% to KRW1.2 trillion (US$1.1 billion) in 2017 according to figures released this week by the National Gambling Control Commission (NGCC). The fall in casino gaming activity was linked to a similar 6.2% decline in casino visitation to 2.2 million... Friday, 22 June 2018 06:35

Current Issue

Tribal Ambition

Tribal Ambition By Muhammad Cohen and Ben Blaschke   Mohegan Gaming and Entertainment CEO Mario Kontomerkos believes the Native American casino operator has two aces in the hole for Japan, especially when it comes to the so-called regional markets beyond major areas. In his presentation at last month’s Japan ... Monday, 04 June 2018 20:55

Social Gathering

Social Gathering By Shaun McCamley   Social casino gaming is booming. In 2017, the global social gaming industry generated a whopping US$106 billion in revenues, with the social casino segment generating US$4.5 billion in revenues. Not surprisingly China, Japan and Korea generated 90% of the games revenue in the... Monday, 04 June 2018 20:44

Redefining Tourism

Redefining Tourism By Muhammad Cohen   In an era when tourism constitutes a growing portion of the global economy, integrated resorts present a potent although frequently misunderstood means for growing visitor arrivals and revenue. It’s not simply the casino but their range of attractions that make IRs such powe... Monday, 04 June 2018 20:37

Japan IR Timeline

Japan IR Timeline By Ben Blaschke   What year for Japan’s first IR? It’s a question that continues to divide industry stakeholders, the answer further clouded by the substantial disparity in opinion offered at last month’s Japan Gaming Congress (JgC) in Tokyo. At the nearer end of the scale, members of the... Monday, 04 June 2018 20:27