In an announcement that will have surprised many, FansUnite (FANS.C) announced Monday their Askott Entertainment and E.G.G. subsidiaries have received approval from the Malta Gaming Authority for a Gaming Service License and Critical Gaming Supply license, allowing the group to provide online casino games, fixed odds betting, pool betting, and controlled skill games across Europe.
This is big, and a significant recognition of the company as a legitimate gaming services organization, which will open it to doing business in new countries, offer a better corporate tax system, and open up new payment options.
The shorter version is more simple: These licenses are the making of FansUnite as a global online gaming provider with access to a UK sportsbook, b2b gambling offerings, e-sports odds-making, and the ability to utilize all of the above to compete with giant betting outfits like Pokerstars, Betfair, and Unibet.
The Critical Gaming Supply License has been received by Askott Entertainment (Malta) Ltd. This B2B license enables Fansunite to sell its proprietary software to a broad spectrum of licensed sports betting and iGaming operators throughout Europe.
The Gaming Service License has been granted to E.G.G. Limited (Malta). This B2C license allows Fansunite to operate its own brands and game offerings within the EU market.
In addition, Fansunite will gain full rights to provide full white label services to partners, eliminating the need for them to undergo the licensing process, software testing procedures, payment processing configurations and banking requirements.
To be clear, everything that FansUnite promised they would do when they came public is now possible. Those who waited to see if the company could make it through the compliance regulations and approval processes they just rolled through will have little reason to assume the company won’t be a success going forward.
Scott Burton, FansUnite Entertainment CEO sees this as the culmination of a long development period.
“Having spent years building our technology to a global standard that is desirable by international regulatory bodies, we were able to meet Malta’s extremely stringent and rigorous technical, software, and corporate audits and qualify for two separate licenses. With the approval in hand, we will look to continue executing on our growth strategy, by collaborating with new partners in Europe in order to distribute our sports and esports betting platform along with our RNG casino game titles to an expanded customer base.”
FANS stock rose 16.4% on the news, to $0.78, and is up nearly 300% over the last month.
— Chris Parry
FULL DISCLOSURE: FansUnite is an Equity.Guru marketing client, and we own stock in the company.