Sportech plc has sold the assets of its UK facing i-gaming business, Vernons.com, to the gaming division of NetPlay TV plc for £3m.
In a statement released this morning, Sportech said the sale followed continued poor performance of its i-gaming arm which has accrued losses throughout 2013.
The statement read: “Given the investment opportunities in other parts of the business, including those presented by US online regulation and our exclusive horseracing betting platform in Connecticut, the board has decided to sell our i-gaming business to a more focused and larger i-gaming operator which can grow the customer base and better mitigate the impact of UK point-of-consumption tax when implemented in December 2014.”
The sale of the Vernons-branded online casino, poker, bingo and sportsbook websites, the rights to the customer database of these websites, together with transfer of customer accounts and the transfer of a number of employees, is for a total of £3m.
Ian Penrose, chief executive of Sportech, said: "Our loss-making Vernons casino, poker and bingo business has had a difficult year and the impending introduction of point-of-consumption tax next year increases the challenges ahead for a sub-scale operation in an increasingly competitive marketplace.
“This is another positive step in increasing the focus of Sportech on operations where we hold competitive advantage, particularly those in the US."
