mybet announces it will file for bankruptcy

[The Buzz]

According to a press release issued today, the management board at mybet Holding SE is preparing an application to open insolvency proceedings, after talks with a strategic investor went bad.

From the release:

The Management Board of mybet Holding SE is preparing an application to open insolvency proceedings due to imminent insolvency. The company intends to file the application for all three German Group companies, including the company itself, with the competent district court on Friday of this week.

The background to the petition for opening insolvency proceedings is the failure of talks with potential investors. On this day, talks with a strategic investor announced on June 13, 2018, on a possible sale of the company's online business operated under the domain www.mybet.com were terminated. The talks failed due to unrealizable conditions on the part of investors.

The Board's decision to file for bankruptcy following the failure of the investor talks was also influenced by the Frankfurt Revenue Department ("Finanzamt") having rejected an application for interim termination of the enforcement of withholding sports bills, which had become the Group company Associated Personal Exchange International Ltd. based in Malta. Altogether, according to the decision of the tax office, around EUR 4 million in sports betting tax is backlog.

Here is a link to the press release: https://www.finanzen.net/nachricht/a...en-vor-6498903

And here is a report for iGaming Business: http://www.igamingbusiness.com/news/...ile-insolvency

[Roulette Zeitung]

This is no surprise.
The signs were obvious. A self-cleaning process and if it is with hundreds and hundreds of coming insolvency cases, is the only chance, that this industry is getting back a minimum of ethically and legal standards.

Here was the sign, that was so clear ...

https://www.gpwa.org/forum/mybet-cha...co-244129.html

Leopold

[Cash Bonus]

As Leopold put it, This is really no surprise. It was something that was bound to happen sooner rather than later. It was unavoidable taking everything into consideration.

[Pokerface]

Well I guess now we have our answers about MyBet ... they are filing for insolvency. So much for unpaid commissions.

The governance of Frankfurt Xetra-listed betting group mybet Holdings SE has today issued a corporate update informing investors that it has filed for ‘open insolvency proceedings’.

The insolvency update follows mybet governance failure to sell the business to an undisclosed investor, as previously reported in July 2018.
This Friday, governance will file its insolvency application for three syndicated companies, of which mybet forms part of.
In its update, mybet’s board further informs investors, that it owes circa €4 million in sports betting taxes to the German tax office.

The betting group details that it had its request for a temporary tax suspension, denied by Frankfurt courts.
“The background for the application for the opening of insolvency proceedings is the failure of discussions with potential investors. Today, the discussions with a strategic investor reported by ad-hoc on the 13th July regarding the possible sale of the online business of mybet Holding SE under the domain www.mybet.com were closed.
These talks failed due to conditions set by the investors which could not be fulfilled” details mybet in its corporate update.

https://www.sbcnews.co.uk/europe/201...edium=facebook

[eenzoo]

It's a bit confusing with regards to this one which was posted just a couple of weeks ago:

Mybet selling B2C online gambling unit to focus on B2B

https://calvinayre.com/2018/07/16/bu...gambling-unit/

[universal4]

Good catch eenzoo, but it could be one of the deals they tried to put together that failed.

I see the article date is mid July, maybe the bulk of the article is referring to this:

In March, Mybet had teased investors with news that it was holding exclusive talks regarding a future strategic and operational joint venture with an unidentified “leading provider of sport bets and online casino games headquartered in Malta.”

Rick
Universal4

[Ocelot2]

Good catch eenzoo, but it could be one of the deals they tried to put together that failed.

I see the article date is mid July, maybe the bulk of the article is referring to this:


Rick
Universal4

Nope. Those are different stories. Negotiations were conducted with more than one investor.