Austria’s competition watchdogs have blocked gaming technology firm Novomatic Group’s takeover of Casinos Austria.

Late last week, Novomatic announced that Austria’s Federal Competition Authority (BWB) had objected to Novomatic teaming with the Czech investors behind betting operator Sazka to acquire a controlling stake in Casinos Austria and its Austrian Lotteries subsidiary.

Novomatic CEO Harald Neumann said that despite months of negotiations, the BWB had “adopted a viewpoint that has precluded any solution that would be economically feasible for Novomatic.”

Neumann said the BWB had proposed a number of conditions for approving the deal, including selling off some of Novomatic’s 18 casinos in the Czech Republic, while also imposing restrictions on Casinos Austria’s video lottery terminals business.