Betfair and Bwin Party welcome a considerable share rise

The new ruling on online gambling in the German state Schleswig-Holstein brought important advantages to online operators like Betfair and Bwin.party.

Bwin.party Digital as well as Betfair has recently gained some field after the passing of the bill for online gambling regulations in the German state Schleswig-Holstein. After a very close vote results of 46 to 45, the new law points that Schleswig-Holstein has taken its path away from the other German states, with legalized online betting.

The new law opens the market for sport-betting websites and removes some risks related to poker and sport book operators in that region. A nation wide framework had been sought by Germany after last year when the European Union considered German betting monopoly as being non-compliant with European laws. Betfair has warmly welcomed the court ruling and its stocks rose by 3.4% back then, while Bwin.party’s stocks also went up by 15%.

Betfair is open to any intention to allow non-limited licenses for sport betting, poker and other casino games. The regulations proposed by the other 15 German states which imposed only 7 licenses and a 17% tax on betting stakes were considered to be less adequate for the online gambling industry.

According to Ivor Jones, an analyst from Numis Securities, this points to Germany’s opening for online gambling on reasonable commercial terms and represents a model of thinking for other restrictive German states in what regards taxing on the gaming industry. Jones believes that in the worst case this ruling can considerably delay the introduction of a more restrictive regime in Germany.

After the recent ruling in Schleswig-Holstein, Betfair experienced a growth of 21.9 to 721 pence, while Bwin.party shares rose 14.3 to 128.3 in London, after an earlier growth to 131.6 pence.

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