Playtech is in a legal dispute with Caliplay, with the Mexican betting operator allegedly refusing to pay Playtech $132.1Million for its services.
Playtech In Legal Dispute With Caliplay
According to Playtech, Caliplay owe the gaming software $132.1m in outstanding fees and is now being discussed in an ongoing legal dispute.
Playtech included the money owed in its overall revenue and profit report, as it believes the money will be obtained through the court of law.
The legal battle between the two has been going for an extended period of time, as the Mexican betting operator looks to exit its contract with Playtech.
Playtech’s overall profits came to $254.5m in a successful year for the gambling software company and reached a revenue of $1.8bn.
CEO of Playtech, Mor Weizer, has shown confidence in the company’s strategy and will continue to prioritize its product for shareholders.
He said: “We remain very confident in our ability to execute our strategy and to continue delivering value for our shareholders.”
Rumors of a possible takeover for both Playtech and Caliplay, as the low share price of the latter make it an ideal option for possible buyers.
Playtech also looked to expand last year, as 888, owned by William Hill, were targeted by the gambling software firm but failed to progress.
The Director of Research at Edison Group, Neil Shah, highlighted Playtech’s recent success and the ability to broaden its reach through purchases.
He said: ““Playtech’s FY2023 full-year results demonstrate good progress in its strategic and operational endeavours, with a 7% revenue increase to €1,706.7 million and a 9% rise in Adjusted EBITDA to €432.3 million, driven by strong performances in both B2B and B2C divisions,
“However, challenges persist, notably the ongoing dispute with client Caliplay,
“All eyes will be on Playtech in October when the case goes to trial and may result in a significant loss of revenue if Caliplay does not fulfil its payment obligations.”
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