News reaching us indicates that there is tension among workers at Sportpesa’s Chancery building Nairobi.Information spread like bush fire that the company is planning to close its Kenyan business to concentrate on UK, Tanzania and South Africa subsidiaries.
It seems the talks between Sportpesa management and the government have reached a dead end after the betting firm was told to either implement the 20% tax or quit. What complicated matters was the fact that the 7 companies currently operating in Kenya have already implemented the tax. We understand that Sportpesa had reached out to some of the companies to reject the KRA tax but they ignored the request.
What is more disheartening is that Sportpesa has lost all the case in court, it might also lose their pending case in court, marking the end of legal means. From court, they will move to the Ministry of Sports and finally to Interior CS Fred Matiangi.If they fail to agree with Matiangi, they will have not otherwise but to quit the Kenyan market.
Last week they announced that they have stopped sponsoring all football and sports events in Kenya. This action was aimed at the Interior CS, they wanted him to act positively. But the CS has remained quiet.
Sportpesa also stopped updating the midweek and mega jackpots, a sign that anything can happen. The company’s Facebook page is also not as active as it used to be.
Now that workers at the institution have informed us that they will soon go home, what remains? Sportpesa to announce its closure of Kenyan business.
One thing we are aware of is that Safaricom has lost a lot since the 27 betting companies were closed, media houses are now suffering and soon most of them will sack some of their employees.
If over the next two weeks Sportpesa won’t resume, expect the worst news from the company.