The Betsson Group has withdrawn its decision to search for a replacement for long-time chief executive officer and founder Pontus Lindwall, as the firm begins to focus upon the “all important work that lays ahead”.
Midway through September the company revealed its intentions to search for “the next generation” of leader,’ in order to meet the challenges of an international environment, more regulated markets and take advantage of new opportunities.
However, Betsson has subsequently revoked its decision, with a focus to be placed upon “mid future priorities,” such as growth into the Netherlands and across the United States.
“We have had several discussions with Betsson’s main stakeholders, the Betsson management team, Betsson employees, as well as many of the largest shareholders,” explained Johan Lundberg, chair of the board at Betsson.
“Based on those discussions the current board does not believe that it would be good to change leadership now. The company needs to focus on all important work that lays ahead, such as for example the unexpected Dutch situation.”
Betsson, which recently completed the $25m acquisition of Inkabet, recently unveiled its decision to stop accepting Dutch consumers across its sites, ahead of a future objective of operating under the country’s new gambling regime.
It is anticipated that this will negatively affect the group’s operating profit by SEK 25m (£2.11m) on a monthly basis from Q4. The long-term financial impact will depend on when a licence from the Dutch market can be granted.
Last week, Patrick Svensk informed the company’s nomination committee of his immediate resignation as chair of the board of directors, with Lundberg, a fellow board member, subsequently stepping into the role.
“It is very sad, and I am sorry that I have disappointed our major owners, but I have done what I thought was best for the company. I am proud of what we have achieved during these years and wish everyone at Betsson great luck in the future,” Svensk said.