France clears Banijay Gaming’s acquisition of casino operator Joa
France’s competition authority has approved Banijay Gaming’s planned acquisition of casino operator Joa without conditions, concluding that the transaction is unlikely to harm competition.
On Wednesday, the Autorité de la Concurrence said its review was the first in France to examine a deal combining businesses operating across online and land-based gambling.
It assessed whether the combined group could use offers spanning both channels as a means of disadvantaging rivals. The authority did not examine the possible introduction of legal online casino games, judging that prospect too uncertain to assess.
Poker was the main focus
Poker was the principal area of potential overlap identified by the authority. Following consultation with competitors and the national gambling regulator, the ANJ, it found that players move between online platforms and casino venues.
Younger casino customers, it said, were helping bring the audiences closer together.
The authority nevertheless concluded that the acquisition was unlikely to harm competition. It cited the parties’ market positions, the presence of substantial competitors and the limited contribution that poker makes to Joa’s casino business.
Although the authority recognised that customers may use both land-based venues and digital gambling, it said that pattern did not justify intervention in this case. Its assessment was also limited by current French rules, under which online casino games remain prohibited.
Innovation and local roots
Banijay agreed to buy Joa, which operates 33 casinos, from funds managed by Blackstone and Kings Park Capital in July of this year.
When the deal was announced, Joa’s chairman, Laurent Lassiaz, said in a statement that Banijay’s “expertise in technology and digital innovation” would help it accelerate its omnichannel development, “while allowing us to preserve the entrepreneurial spirit and local roots that have always been our strength”.
Lassiaz also emphasised, in a discussion with iGB earlier this year, that the French casino industry is “aimed at locals”.
“For the French population, the casino is a local leisure destination,’ he noted. “It’s part of the local list of leisure activities that you can do.”
Another string to the bow
François Riahi, CEO of Banijay Group, referenced the group’s Tipico acquisition, which Riahi said had “transformed” the business into “a diversified omnichannel European leader in gaming”.
“The acquisition of Joa is fully relevant with this evolution. As in Germany and Austria, we will become a leader in land-based gaming in another of our core countries: France,” he said.
“We welcome happily the Joa teams in Banijay Group, where they will find a positive entrepreneurial environment to continue their growth and create value. Very happy also to enlarge our set up in France, with assets and people all over the country.”
Banijay announced their acquisition of Tipico in October last year, adding to a business that includes Betclic.
In its investor deck early this year the operator reported that Betclic maintains the number one position for online betting in France.