PlayUp’s Planned Acquisition Remains Steadfast Despite New Jersey License Suspension

Despite the turmoil surrounding failing sportsbook provider PlayUp, their planned acquisition by a listed gambling operator is on track, even after they lost their New Jersey license and entered “maintenance mode” in Colorado.

PlayUp was on the verge of selling its US operations when the New Jersey Division of Gaming Enforcement (DGE) suspended its license, putting a crimp in its plans. CEO Daniel Simic, on the other hand, assured investors that the acquisition ambitions were on track, unaffected by the recent setbacks.

In response to the license suspension, PlayUp’s website in Colorado, their only other operational US market, will shortly fall offline. There was speculation that these operational terminations would have an impact on the acquisition deal, but Simic dismissed those fears, expressing confidence in their post-acquisition future.

“We are happy to place the website in ‘Maintenance Mode’ in New Jersey, and we have also sought permission to do the same in Colorado until our new platform is ready, our team is ready, and we have secured a new partner with the firepower to excel in the USA,” Simic explained.

PlayUp’s license has been revoked in New Jersey. After the operator failed to disclose necessary financial information, the DGE’s director, David Rebuck, issued a letter canceling PlayUp’s license in New Jersey. The agency had requested that PlayUp provide year-to-date employee withholding tax remittance, particular bank statements from January to June 2023, and payroll registers for the same period.

Simic claimed that PlayUp had originally planned to close its doors in the United States on June 14, 2023. They did not, however, carry out the shutdown as planned.
Initial Inquiry and Communication by the DGE The DGE’s original request for financial information was addressed to Glenn MacPherson, PlayUp’s listed chief financial officer. The operator’s response was expected on July 6, but they did not make the deadline.

Following the missed deadline, the DGE spoke with Simic and his legal counsel over the phone. Simic notified the regulator during the conversation that MacPherson was no longer the group CFO and requested that the information be directed to himself instead.

Despite the obstacles and license suspension, PlayUp’s CEO is upbeat about the company’s prospects. While they manage regulatory hurdles, the planned acquisition represents a possible turning point for PlayUp, laying the groundwork for potential development and success in the US market.