Exciting Times for Canada’s The Stars Group
2018 has been an eventful year for The Stars Group, as the Toronto-based brand goes from strength to strength with a number of exciting developments. The company started as Amaya in 2001, and has grown rapidly since then, recently becoming the world’s largest publicly listed online gaming operator. The brand operates globally and employs 1,800 staff, with 2017 revenue at almost C$1.7 billion.
Meteoric Rise
In 2014, Amaya purchased PokerStars in a CA$4.9 million deal, at which time they also relocated from Montreal to Toronto. The acquisition marked the start of their meteoric rise, as they grew their poker brand for the online and mobile market. Amaya rebranded to The Stars Group in 2017, and the latest addition to the growing company took place in July of this year, when they assumed control of the UK’s SkyBet as well.
This recent deal means that Stars Group now have stakes not only in poker and online casino games, but also in sports betting. According to Rafael Ashkenazi, CEO since 2016, the decision to purchase the sportsbook was influenced by the mobile-oriented format, which he sees as the future of online gaming. Ashkenazi described the acquisition as ‘a pivotal moment in The Stars Group’s evolution’.
The move comes at a time when both the US and Canada are taking steps towards the full legalization of single-game sports betting, which remains off the table for players in Canada at this time. It’s predicted that bringing single-game betting in from the cold will also divert some players away from illegal offshore sports betting, estimated to be raking in C$5 billion per year from the Canadian market alone. In addition to the SkyBet deal, The Stars Group have also extended their operations in New Jersey to include sports betting under the BetStars brand.
PokerStars’ World Championship of Online Poker Breaks New Record
The good fortunes of The Stars Group may be reflected in the recent announcement of the upcoming World Championship of Online Poker (WCOOP), where the guaranteed prize pool will top C$90 million – the largest ever for an online poker tournament. The two-week World Championship will commence in September, and if previous tournaments are anything to go by, the prizes will exceed the guarantee by some margin. Fans of online and mobile poker from around the world will participate, with the lowest buy-in available at under C$3. The WCOOP has seen plenty of Canadian winners since the first event in 2002, with Canuck players coming in second only to the USA overall.
Courts Put Paid to Controversies
As well as their successful business decisions, The Stars Group can rest easy as some ongoing legal issues have been settled in their favour. Former CEO David Baazov, who was accused of insider trading in 2016, had all charges against him thrown out by a Quebec court after six weeks of trial. Meanwhile, the group were also granted leave to go ahead with the mandatory conversion of all its outstanding preferred shares, after an Ontario court decided that the conversion would not contravene the articles of continuance.
