Kenyan sports betting operator SportPesa has reopened its sponsorship wallet following the government’s proposal to amend its controversial gambling tax hikes.
On Monday, SportPesa announced a flurry of local sponsorship deals, including resuming its longtime relationship with the Kenyan Premier League (KPL), two top KPL clubs (Gor Mahia FC and AFC Leopards), and the Football Kenya Federation (FKF). The total value of the sponsorships reportedly equals Sh682m (US$6.8m) over three years.
Speaking on Monday, SportPesa CEO Ronald Karauri celebrated his company’s new sponsorship deals, saying “our brand is associated with sports; it is time to come back to where we belong.” FKF president Nick Mwendwa wished SportPesa’s contribution was larger than it was, but acknowledged that “it will still go a long way to help us in many areas.”
The KPL title sponsorship alone cost SportPesa Sh85m per year, roughly Sh5m per year less than SportPesa had been paying prior to scrapping all its local sports sponsorships in January after the government hiked the company’s betting revenue tax rate from its former 7.5% to 35%.