Sportpesa Global Holdings Limited: The fight over SportPesa is getting messier each day. And as the mess is exposed in court, previously hidden secrets of the multi-billion gambling firm are now coming to light. The latest of these is the revelation that SportPesa chief executive officer Ronald Karauri sold the SportPesa brand for Sh. 14.7 million in June this year.
This has been alleged by SportPesa shareholders billionaire entrepreneur Paul Ndung’u and Asenath Wacera. According to a report that appeared in the Business Daily on this sale on Thursday, the deal to sell off SportPesa was signed off in secret by Karauri.
The SportPesa brand was sold off to to UK-based Sportpesa Global Holdings Limited in a transfer decision that shareholders say was not unanimous.
Kalina Karadzhova, a Bulgarian national, signed the deed on behalf of Sportpesa Global. “After the sale, Karauri later emerge with a controlling 54.4 per cent stake in Milestone Games Limited, the company that was subsequently assigned the right to use the SportPesa trade mark in Kenya by Sportpesa Global in the roundabout deal,” the report said.
Ms. Karadzhova wrote a letter dated October 26, 2020 authorizing the use of the SportPesa brand name by Karauri’s milestone. “This letter notifies all interested parties that SportPesa Global Holdings Limited, being the registered and beneficial proprietor of the above stated trade mark in Kenya has granted a non-exclusive licence to M/s Milestone Games Limited in connection with the operations of Milestone Games Limited in Kenya,” she said.
This sale and the subsequent use of the SportPesa name by Karauri’s Milestone has effectively left Pevans – where Ndung’u and Wacera own a combined 38 percent stake – a mere shell.
“In consideration of the sum of £100,000, the assignor hereby assigns to the assignee absolutely with full title guarantee all its rights, title and interest in and to the trade marks. Any payments to be made to the assignor under this clause shall be set off against any amounts owed by the assignor to the assignee or any other member of the assignee’s group to the extent possible,” the sale agreement was quoted by the daily business newspaper which is owned by the Nation Media Group.