Playtech to offload more B2C assets as Happybet Germany deal secured

Playtech has reached a deal with German betting group Pferdewetten regarding the future of its Happybet subsidiary, though the agreement remains in the early stages.

Frankfurt-listed Pferdewetten will now negotiate with the franchise owners of Happybet’s various German betting shops, and may purchase some or all of the venues depending on how negotiations proceed. Any which are not purchased will be closed down.

Happybet has been Playtech’s Germany and Austria-facing brand for many years but has been facing difficulties in these markets in recent times, recording a loss of €11.8m in Q1 2025 trading.

The company was at one point integrated with Playtech’s Italy-facing subsidiary, Snaitech, which was subsequently sold to Flutter Entertainment for €2.3bn in a deal concluded in April this year. Happybet was not included in the terms of this deal, with Flutter focused on expanding its market position in Italy, where it had also acquired Sisal. 

Playtech then made the decision to close down Happybet’s Austrian business, announced at the same time as the aforementioned Q1 financial results in March, alongside plans to find a buyer for the brand’s German business.

The deal has been secured specifically with Pferdewetten’s subsidiary NetX Betting Ltd, with the company likely looking for ways to expand its own reach in the tough German market.

Trading in Germany has been challenging in recent years after the introduction of a new federal regulatory framework in 2021, which included restrictions around casino products and new taxes.

Various market players, such as bet-at-home, have been struggling to turn over a profit, with Tipico standing out as the market leader, perhaps aided by its extensive marketing strategy including sponsorship of all three tiers of the Bundesliga football system.

The negotiations with Pferdewetten will now be followed by a transition period to allow discussion between the Frankfurt firm and the owners of Playtech’s various Happybet franchises across Germany.

As well as marking a potential expansion for Pferdewetten, the deal also takes Playtech a step closer towards its ambitions of becoming a solely B2B operator. This follows the already significant shrinking of its B2C assets via the Snaitech sale to Flutter.