Playtech has approved the relocation of its tax residency to the United Kingdom from previously Isle of Man with an overwhelming shareholders majority.
Shareholders Clear Playtech’s Tax Relocation to the UK
Playtech has approved its change of tax residency from the Isle of Man to the United Kingdom in a shareholder meeting held on Friday and following up on the proposal pitched earlier this month.
The change was approved with overwhelming support, 230,000 votes, amounting to 92.2% of the vote.
As a result, Playtech should plan an early change of tax residency in 2021, highlighting the benefits that this would have on future business operations, including having shareholders unify over the future of the company. Playtech simply said:
“Playtech is pleased to confirm that the proposed resolution at today’s General Meeting has now been formally approved by shareholders.”
Why Change Things Up?
Based on the original proposal, Playtech hopes to encourage broader participation by shareholders and bring the team together, helping everyone decide unanimously about what direction the business should take next.
Despite the regulatory headwinds in the United Kingdom and the threat of a looming no-deal Brexit, Playtech remains committed to the gaming market in the country, as confirmed by a recent trade update.
The company reminded that its Playtech ONE solution allowed the developer to deliver on cornerstone solutions that will allow it to retain its leadership position in the market.
At the same time, Playtech has taken a pro-active approach to ensure that it stays up to date with regulatory recommendations and has engaged in discussions about consumer-focused online marketing and safer game design, the update added.
As a result, Playtech expects this responsible data-driven approach to allow its licensees and partners to adapt to any regulatory changes and for the company to continue and be the go-to choice when it comes to regulated iGaming markets.
Financial Results Fluctuate, Partnerships Proliferate
Despite a somewhat moribund H1 2020, with revenue declining 22.5%, the company is preparing to bounce right back in 2021. In the meantime, the company has signed a number of partnerships in December alone, teaming up with Norsk Tipping to introduce better brick-and-mortar gaming solutions.
Another partnership with gaming operator SKS365 with Playtech introduced the developers’ products to new audiences. In similar moves, Playtech teamed up with Casumo to deliver content across the operator’s entire fleet of brands and with the Swiss Casinos Group for iPoker.
Revenue for the first six months of the year stood at $675 million with TradeTech, Playtech’s financials arm, cushioning some of the impacts of the pandemic.