Building an omnichannel gambling business certainly poses challenges, particularly in a nation where half the channels are illegal. Banijay, the French media conglomerate that owns Betclic and acquired Tipico last year, took a significant step by announcing on July 6 its intention to purchase a network of 33 regional casinos from Groupe JOA in France, providing it with a foundation in the country's gaming landscape. The deal is slated for completion in the latter half of the year, contingent upon regulatory approvals, and both parties have expressed excitement over what they call the "omnichannel opportunity."
However, the reality in France is complex. With no legal online casino market in place, H2 Gambling Capital data reveals that retail betting amounts fell slightly from €11 billion in 2024 to €10.5 billion in 2025. This raises the question: what is driving Banijay's investment?
Industry analysts offer insights, suggesting that Banijay's interest lies in three main aspects: a dependable source of income through land-based operations, an opportunity to acquire customers at reduced rates in the future, and a strategic position in a potentially lucrative unregulated online casino market once it materializes.
Ollie Woodward, a deal advisory director at BDO specializing in the betting and gaming sector, notes that the transaction likely balances immediate returns from existing casinos with a long-term bet on the regulation of online casinos in France. He emphasizes the clarity of the omnichannel approach in creating a customer ecosystem that encompasses online sports betting, gaming, retail operations, and hospitality.
Nigel Hinchliffe, managing director at Alvarez & Marsal, asserts that the deal cannot be justified on land-based revenue alone, implying that potential growth in the online casino sector is a major driving force. He describes Banijay's decision as a calculated risk, emphasizing that while the opportunity for online casino regulation could yield significant rewards, the current cash flow from JOA can support Banijay’s broader European operations.
JOA's chairman, Laurent Lassiaz, is quoted as stating that while iGaming has yet to pose a substantive threat to traditional gaming, linking online licenses to land-based operations could establish a valuable new market segment. He presents himself as a proponent of evolving from traditional gambling venues to digital platforms, indicating a recognition that iGaming will eventually play a significant role.
The acquisition reflects a wider trend across Europe, as noted by Christian Tirabassi, a senior partner at Ficom Leisure, who discusses the convergence of products and channels within the gaming industry. He argues that even with the current prohibition of online casino activities, companies can benefit significantly from strengthening their digital and physical presence, enhancing customer acquisition and retention in a tightening marketing climate.
Despite the absence of legal online casinos, the French gambling landscape is robust. France hosts over 200 casinos due to licensing policies dating back to Napoleon’s era. H2's data estimates that the total casino revenue will reach €32.2 billion in 2025, with the gaming sector generating around €2.8 billion, primarily from slot machines.
Lassiaz remarks that casinos serve as vital leisure destinations for the local populace, with an average visit costing about €80. This affordability lends the industry durability, particularly during economic downturns. Furthermore, French casinos contribute a GGR tax to their local municipalities, often covering nearly half of their expenses, which creates a significant political resistance to altering the current state of regulations.
According to Banijay CEO François Riahi, the acquisition of JOA echoes the pattern established through their previous ventures in Germany and Austria. He envisions Banijay becoming a dominant force in the French land-based gaming sector.
The role of private equity firms Blackstone and Kings Park Capital in this deal is somewhat ambiguous. Experts suggest that these firms might essentially be acting as sellers, considering their long-term investments in JOA, though Banijay has not clarified their involvement.
In the larger context, the JOA deal exemplifies the desires of investment capital within the gaming sector, which favors established, resource-rich, omni-channel businesses rather than mid-market gaming firms that are struggling amid increased competition and challenges.
