Racing heads with the leadership of British Horseracing Authority (BHA) have joined hands with the aim of eradicating the issue of bookmakers sponsoring racing events, tracks as well as festivals. The effect will come to be not unless these bookmakers pay levy contributions. This move was processed by the Arena racing Group (ARC) and the Jockey Club who have ditched the bookies since they have not been meeting their levy principles.

The enforcing of the levy acts has been attributed by the fact that a report by BHA has indicated a total loss of £30 million every year by the British Racing which equals to the tax payments. The report also indicated that there is a high possibility of racing contributions by bookmaker from £105 million in 2004/04 to £53 million in 2017.

Chief Executive of the BHA Nick Rust claimed that British racing has been according millions of people with much needed fun, created over 85,000 jobs as well as incorporating £3.4 billion to the economy. However, the reluctant of Horse Betting levy system to fund them from the incomes generated from the

The BHA claimed that those bookmakers who have contributed their levy share have been accorded with UK Racing’s ‘Authorized Betting Partners’. They include Betfair, bet365 and 32Red. The bodies have decided on holding the move up to the 31^st day of December where they hope to have come up with a substantial solution. All deals conducted at this period will be respected but won’t be reintroduced at any given time.

Chairman of the Racecourse Association Maggie Carver claimed that the RCA and other associates in the racing and betting platforms are working in order to come up with a Racing Right. Time will be accrued for the well-being of their relationship in spite of the Government welcoming the commitment strategy.

He continued to add that the RCA and its associates have for long appreciatedthe marketablerelations with stakeholders from betting operators. Nonetheless, it would be fair if there is integrity and fair rendering of levies for the benefit of each stakeholder. The ARC and Jockey Club Racecourses have shown the right procedure to undertake in such a scenario.

Despite £2m bill by the UK’s Point of Consumption Tax as well as marketing raise in Italy, 32Red has had a fundamental performance. The firm claimed to have immersed EBITDA of £1.2m in the initial six months of the year in comparison to the £2.3m in the H1 of 2014. Profits before taxation dropping to £100,000 from £1.2m. Nonetheless, the Total Net Gaming Revenue sprung to £18.6m from £15.2m.

Ed Ware the CEO of 32Red claimed that he was pleased to announce a glorious revenue increase to his firm in the first six months of 2015 fiscal year which saw the NGR rise by 22%. This performance was evident due to its bold new brand with many clients to their name as well as marketing profession from the driven investments. The business also saw the rise EBITDA by a whopping 57% which sees a strong business momentum.

32Red initiated its products in the Italian markets in the initial half of the year which in turn brought in an increment of 67% of NGR to £0.9m. Consequently, a total of 4,285 new clients were recruited at the period compared to 3,084 in H1 of 2014 and thus bringing a total of 8,443 active players.

The company claimed that the investment growth in the Italian markets has been a positive one but there still calls for some actions in the player and revenue growth sector that has lagged behind. This lag has been attributed to the low quality casino games offered in Italy as compared to top class games in the UK market.

A business analyst at Edison Investment Research Jane Anscombe claimed that she saw some potential in the market growth of 32Red. The mobile gaming incorporated by 32Red has been fundamental for it has contributed 40% of all the total incomes. This has increased the EBITDA by 57% to record at £4.2m before taxation.

The 32Red management is confident that their firm will meets its objective of x10 the EV/EBITDA. The firm has clearly showcased that a group which is managed properly can deliver awesome revenue, cash flows as well as adequate dividends in the current POC world.