Sportpesa has officially announced cancellation of all its sponsorships for various sports entities in the country with immediate effect.
Sportpesa CEO Ronald Karauri said they have been forced to pull the plug due to the implementation of the 35% taxation imposed on gaming firms.
The Tuesday morning announcement by Sportpesa CEO Ronald Kararuri brought the hammer down on Kenyan Sports entities sponsored by the betting firm.
The action followed implementation of the 35% tax onrecommendation of President Uhuru Kenyatta last June.
Those affected by the pull out include the national soccer team Harambee Stars Technical bench, Kenyan Premier League, Kenya Rugby Union, Kenya Boxing Association, Super 8 grass root football league, Gor Mahia, AFC Leopards, Nakuru All Stars and Kenya Harlequins RFC.
Karauri revealed the company is optimizing on their budget to stay afloat and the move will help them save upto Ksh.600 million annually.
Meanwhile Gor Mahia who are the reigning premier league champions and AFC Leopards have announced that they might be forced to withdraw from their forthcoming continental assignments following the withdrawal of their shirt sponsor Sportpesa.
Gor Mahia is set to compete in the preliminary round of the Africa Champions League while AFC Leopards will feature in the Confederations Cup matches.