This archive report was first published on 9 August 2019.
On August 9, 2019, Sportpesa, a leading betting firm, announced the cancellation of all sports sponsorship deals with immediate effect.
The decision was made due to the extremely challenging business environment the gaming industry had been subjected to in recent times.
Regulators had subjected Sportpesa to punitive measures, including delayed license renewal and the suspension of paybill numbers, which had considerably reduced its level of business operations.
Despite a court order prohibiting the regulator from taking such actions, Sportpesa remained in this situation, leading to immense pressure on the business.
"This has brought about immense pressure on the business necessitating a reevaluation of some plans. In light of these developments, we regrettably wish to announce that due to the uncertainty of this situation Sportpesa will be cancelling sports sponsorships effective immediately," the statement explicitly stated.
However, Sportpesa indicated that it is passionate about sports development in the country and will endeavour to resume support to the best of its ability when the business recovers.
"We greatly value our partnerships and we will endeavour to resume support to the best of our ability when the business recovers," the statement continued.
Despite the challenges, Sportpesa remains committed to being a law-abiding organisation and is positive that the current situation will be resolved amicably and urgently.
