Kenya’s leading sports betting operator SportPesa appears to be rethinking its decision to rescind local sports sponsorships to protest the government’s gambling tax hikes.
SportPesa scrapped all its sponsorships of Kenyan sporting bodies and teams in January, making good on its threat to respond to the government hiking gambling revenue taxes from 7.5% to 35%. SportPesa had sponsored the Kenyan Premier League (KPL), as well as KPL teams Gor Mahia FC and AFC Leopards, among numerous other pacts.
But local media quoted sources saying SportPesa has offered to renew its KPL sponsorship before the end of the current season, which got under way in February. However, SportPesa is reportedly offering to pay Sh80m (US$792k) per season, down from the Sh93m per season the company had paid under the original deal.
SportPesa is reportedly also interested in renewing its individual team deals with Gor Mahia and Leopards. The two clubs had earned a combined Sh100m annually from their SportPesa deals, but it remains to be seen what new offers may be forthcoming.