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The Swedish government has proposed the discontinuation of Svenska Spel’s land-based business, Casino Cosmopol. According to a memorandum published on May 7, the casino brand is no longer capable of fulfilling its purpose.

The government cited Casino Cosmopol’s financial challenges as part of the reason for the proposal. Swedish lawmakers also noted that the closure is unlikely to affect the illegal gambling rates.

The struggles of Casino Cosmopol were reflected in Svenska Spel’s 2023 report, which showed that the land-based brand is dragging the company’s financials down.

If the proposal passes, Svenska Spel’s license will be amended to no longer allow it to operate land-based casinos. As a result, the company will be forced to close its casino in Stockholm, the last Casino Cosmopol venue still in business. The property’s closure would impact some 200 jobs.

For context, Svenska Spel closed its casino in Sundsvall in 2020 to cut losses. Earlier this year, the company also closed its Casino Cosmopol properties in Gothenburg and Malmö.

If the measure outlined in the memorandum is approved, Casino Cosmopol will close by January 1, 2026.

Svenska Spel Agrees That Casino Cosmopol Isn’t Profitable

Svenska Spel commented on the matter, confirming that its land-based business has been suboptimal. The company attributed that to the pandemic which caused many people to move to online gaming.

Erik Strand, president and CEO of Svenska Spel, said that the company “shares the assessment” that it is no longer possible to run Casino Cosmopol profitably.

Ola Enquist, Casino Cosmopol’s CEO, added that despite sharing the government’s assessment, his team still feels “emotional” about talks. If the government decides to close Casino Cosmopol, this would mark the “end of an era,” Enquist noted.

This of course affects all of us who work at Casino Cosmopol. As an employer, we will do everything we can to support our employees.
Ola Enquist, CEO, Casino Cosmopol

Enquist added that Casino Cosmopol will remain open and continue to take care of its guests until the matter has been decided.

In other news, Svenska Spel’s Sport & Casino brand was recently slammed with a fine of $9.5 million for several failings related to player duty of care.

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Angel Hristov

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Angel has a passion for all forms of writing, be it fiction or nonfiction. His curious nature gives him an ace up his sleeve when researching a new topic. Angel’s thirst for knowledge, paired with adaptability, always helps him find his way around.

Business May 7, 2024

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