Super Group, the parent company of Betway, Jackpot City, and Spin Casino, has confirmed plans to close its remaining U.S. online casino operations, marking a full retreat from the American market. The decision follows the company’s 2024 withdrawal of its U.S. sports betting brand, Betway, and comes amid a shift in strategic priorities toward more profitable regions.
The exit process is still in early planning, with the company anticipating a one-time cash restructuring charge of approximately $30 million to $40 million USD (about $69 million CAD). While the U.S. departure carries short-term costs, Super Group expects it will deliver around $82.5 million CAD in savings during the second half of 2025.
Regulatory Pressures and Market Challenges in the U.S.
CEO Neal Menashe attributed the withdrawal to a combination of regulatory changes, cost pressures, and limited prospects for long-term profitability in the U.S. market. “Recent regulatory developments combined with ongoing assessment of capital allocation requirements have led us to believe that our stringent hurdle for return on capital will likely not be met in this market any time soon,” he said.
While Menashe did not single out specific policies, New Jersey lawmakers recently approved an increase in the state’s online casino tax rate from 15% to 19.75%, and similar hikes are under discussion in Pennsylvania, another key market for the company. Menashe has previously warned that high licensing fees—such as “tens of millions of dollars” in Ohio and Michigan—pose serious barriers to profitability. “Operators need to be given a path to profitability, and where [states] price themselves too high, they will not foster healthy competition nor benefit from the fiscal contribution that the industry brings,” he told SBC Americas earlier this year.
Despite initial plans to expand its U.S. casino portfolio beyond Jackpot City and Spin, Super Group has concluded that slow state-by-state legalization, a crowded competitive field, and increasing tax burdens make the American market commercially unviable for its long-term goals.
Canadian and African Markets Lead Growth
The company’s focus now shifts to markets where it has stronger performance, particularly Canada and Africa. In its Q2 2025 earnings report for the three months ended June 30, Super Group posted record revenue of $579 million USD ($796.4 million CAD), up 30% year-over-year, and record adjusted EBITDA of $157 million USD ($215.9 million CAD), a 78% increase. Adjusted EBITDA margin reached an all-time high of 27%.
Menashe credited the results to improved sports betting margins, effective marketing strategies, and strong online casino customer acquisition and retention. “We have now got the extra resources because of the U.S. closure to focus on the product in [Canada]. You can see the rest of Canada is doing really well,” he said.
In Ontario, where Super Group operates five licensed platforms—including Betway for sports betting and four online casinos—revenue grew 5% year-over-year despite what Menashe described as “ongoing elevated marketing spend from competitors.” However, growth in the province remains “below our expectations.”
The company’s performance outside Ontario is considerably stronger. In unregulated provinces where only government-run platforms are officially sanctioned, Super Group recorded a 22% revenue increase last quarter, with online casino revenue rising by 24% when excluding Ontario. The company maintains a long-standing presence in these grey markets and is regarded by H2 Gambling Capital data as Canada’s commercial market leader outside Ontario.
Future Plans Include Alberta Licensing
Looking ahead, Super Group intends to transition its grey-market operations in Alberta into regulated offerings once the province launches a legal iGaming framework, following the same approach it used in Ontario in 2022. The company has also appointed its first chief technology officer to support ongoing product development.
With $540 million CAD in unrestricted cash and no debt, Super Group has raised its full-year 2025 ex-U.S. adjusted EBITDA guidance midpoint to $694 million CAD. Once the U.S. shutdown is complete, total adjusted EBITDA is expected to settle around $650 million CAD, factoring in the U.S. losses.
Menashe summarized the move as a disciplined redirection of resources: “We therefore intend to focus capital and resources on markets where we see the greatest opportunity for scalable, sustainable, profitable super growth, with a disciplined emphasis on operational efficiency.”
Source:
US exit will help Super Group build on Canadian growth, canadiangamingbusiness.com, August 8, 2025.
