After filing for bankruptcy, Tipster’s sports betting license has been revoked by Germany’s GGL.
In April, Tipster gained attention when it was subjected to a large-scale police raid as part of a global investigation into illegal gambling, money laundering, and tax evasion.
Upon conducting a regulatory inspection, the German gambling regulator determined that Tipster no longer fulfilled the necessary requirements for legal operation.
Consequently, the company has been excluded from the official whitelist of authorized operators.
Ronald Benter, co-CEO of GGL, stated,
“We consistently take action against permit holders who violate the fundamental rules of the State Treaty on Gambling.”
His colleague Benjamin Schwanke emphasized that the GGL is not hesitant to take action, even against prominent market players.
The process of insolvency
In recent weeks, Tipster announced its engagement in a significant restructuring effort and actively pursued new investors following the initiation of insolvency proceedings in Germany.
The insolvency process in Germany offers unique opportunities for restructuring that are not available outside of insolvency. These include the option to terminate unfavorable contracts with suppliers ahead of schedule and shorter notice periods for employee termination.
While Tipster holds a license from the Malta Gaming Authority (MGA), the MGA stated that the group had already commenced the process of surrendering its MGA license before the investigation, and it was operating exclusively under its German license.
With several hundred shops spread across the country, Tipster is among the largest providers of brick-and-mortar betting in Germany.
The entire group, including franchise-operated shops, employs approximately 1,000 individuals.