EBET is getting ready to shut down and has confirmed plans to offload its brands. Analysts are branding this move as "the end of a chapter." However, the company failed to compete in the tough iGaming industry and could not meet its financial obligations to creditors.
Some time ago, EBET disclosed its precarious financial condition with respect to its outstanding debts to CP BF Lending. Despite implementing cost-cutting measures, reducing personnel, and focusing on the lucrative iGaming sector, EBET has been unable to significantly increase its profits. The situation deteriorated further when the debt restructuring efforts did not yield the anticipated results. Consequently, EBET now has a debt of over $37 million owed to the lender.
The company noted that now CP BF Lending has every right to seize the operator’s assets in order to pay off debt obligations. This will mean that EBET will likely go out of business.
The auction for selling EBET assets is scheduled for August 1, featuring seven European online gambling brands including BetTarget, Dansk 777, Generation VIP, Griffon Casino, Hopa, Karamba, and Scratch2Cash. Applications must be submitted to Hilco Streambank by July 30 for those interested in participating. The auction will be conducted online through the Zoom platform.
Let us recall that all of them generated approximately $21 million in income between March 2023 and March 2024. In addition, European EBET brands registered an average of 18,400 players per month last year.
